The primary benefit of creating a revocable trust is that it provides a prearranged mechanism that will ensure the continued management and preservation of your assets, should you become disabled. It can also set forth all of the dispositive provisions of your estate plan.
Why would someone set up a revocable trust?
Ensures privacy: The main purpose for a revocable trust is to avoid probate, the legal process of distributing assets of a decedent at death. ... Adheres to the wishes of the grantor: Similar to a will, a revocable trust will provide a thoughtful distribution of their assets to their heirs.
What are the pros and cons of a revocable trust?
The Pros and Cons of Revocable Living Trusts
- There are pros and cons to revocable living trusts. ...
- Some of the Pros of a Revocable Trust.
- It lets your estate avoid probate. ...
- It lets you avoid “ancillary” probate in another state. ...
- It protects you in the event you become incapacitated. ...
- It offers no tax benefits.
