Overview
The Law Office of Howard L. Hibbard prepares Wills and Trusts for clients with estate values of less that $5 million. Estate planning, including wills, trusts, and powers of attorney, can lessen the burden on your heirs and loved ones in the event of your incapacitation or death. A trust or power of attorney can also save time and money by avoiding lengthy probate procedures.
It is important to discuss estate planning options and tax consequences with an attorney and financial professional to determine the best estate planning options for your unique situation. Please contact us for a free consultation regarding options to set up a trust and protect your assets and your loved ones. If you are considering a revocable trust, pour-over will or durable power of attorney, please visit our Fixed Fee Services page.
General Information about Trusts
A trust is created by a person or entity to manage property (real property, personal property, intangible property, etc.), for the benefit of another person or entity. The person/entity who sets up a Trust is a Trustor/Settlor and the person/entity designated to manage the Trust is a Trustee. The Trustee holds the legal title to the property in the Trust, but has a fiduciary and legal obligation to hold and administer the property in the Trust for the benefit of the Beneficiary. Generally, the Trustor designates a person(s) or entities as the beneficiary of the Trust.
Types of Trusts
There are many different types of trusts including: (1) Living (Inter Vivos) Trusts and (2) Testamentary Trust. Trusts can either be Revocable or Irrevocable. A revocable trust may be changed by the trustor and an irrevocable trust cannot. Additional types of trusts include: special needs trusts, protective trusts, etc. Our attorneys complete a through interview with each of our clients to determine what type of trust, or other estate planning instrument is right for them. Please contact us with any questions.
Living (Inter Vivos) Trust
A Living or Inter Vivos Trust is a trust that can be used to encompass and address many types of estate planning concerns. A living trust is revocable during the lifetime of the trustor and as such is useful if a client anticipates future inheritances or life changes such as marriage, divorce, childbirth, etc… A living trust can, when properly executed, avoid costly and time-consuming probate or conservatorship proceedings. In addition, for married couples subject to federal taxes, an Exemption Trust, is a type of living trust that can be set up to reduce or eliminate federal tax liabilities.
Testamentary Trust
A Testamentary Trust is created during the lifetime of the trustor as a part of the Trustor’s Will does not come into effect until the Trustor’s death and execution of the will. This type of trust does not avoid probate as it is incorporated into a will. Testamentary trusts will be taxed as whole, but the beneficiaries of the trust will not be taxed. This type of trust is generally incorporated into a will for the benefit of minor children, to establish education funds, or to keep beneficiaries under the will from taking all their inheritance at once.
Services We Provide
Our office provided customized and thoughtful solutions to our estate planning clients. Available services include: (1) case-by-case assessment of each client’s requests, wishes and needs; (2) preparation of customized estate planning documents, (3) legal research as necessary, (4) legal representation and dispute resolution as necessary. If you have questions regarding trusts or other estate planning options, please contact us for a free consultation.