Trust

General Overview Of Revocable And Irrevocable Trusts

One way to think about a trust is that the trust itself is a book of instructions. A grantor authors the trust, and provides instructions concerning the use of the grantor’s assets while the grantor is alive, including who is permitted to access the trust assets, and what will occur at the grantor’s incapacity and [...]

By | 2018-06-27T02:19:05+00:00 June 17th, 2018|

How Do I Know If My Assets Are Properly Titled To My Revocable Trust?

The account statement, stock certificate, title or deed will make some reference to the trust or to you as trustee. You might also elect to fund your trust by naming the trust as a beneficiary of life insurance or other similar arrangements. Your attorney and financial advisor may assist you with the transfer of assets [...]

By | 2018-06-27T02:23:50+00:00 June 5th, 2018|

Who Pays Federal Income Tax On Trust Income?

In most instances, the revocable trust is ignored for federal income tax purposes during the grantor’s lifetime. The income and deductions are reported directly on your individual income tax return. The trust will use your social security number as its tax identification number. A revocable trust becomes a separate entity for federal income tax purposes [...]

By | 2018-06-27T02:22:19+00:00 June 3rd, 2018|

What Is A Qualified Income Trust (QIT)?

If an individual’s income is over the limit to qualify for Medicaid long-term care services (including nursing home care), a Qualified Income Trust (QIT) allows an individual to become eligible by placing income into an account each month that the individual needs Medicaid. The QIT involves a written agreement, establishing a special account, and making [...]

By | 2018-06-27T02:54:12+00:00 May 28th, 2018|

What Is A Trust?

A trust is a fiduciary relationship where a trustee is tasked with investing, protecting and managing property as well as the income that the property generates for a beneficiary. There can be more than one trustee and more than one beneficiary in a trust. The intent of the grantor, as expressed in the terms of [...]

By | 2018-06-27T02:17:48+00:00 May 7th, 2018|

Is A Trust A Substitute For A Will?

No, in most situations. A trust may be used in addition to a will. This is because a trust can handle only the property that has been put into it. Any property of yours that is not placed in the trust either during life or at death in most instances escapes the control of the [...]

By | 2018-06-27T02:26:27+00:00 May 1st, 2018|

Who May Act As Trustee Or Successor Trustee?

The choice of a trustee is extremely important, and may have tax consequences. You can name almost anyone as your trustee. Unlike the appointment of a personal representative of a probate estate, a trustee does not have to live in Florida or be related to you. You can name yourself or any other individual (subject [...]

By | 2018-06-27T00:57:41+00:00 March 1st, 2018|

Does The Trust Provide Protection From Creditor Claims?

In Florida, the trust assets are not protected from the claims of your creditors. During your lifetime the assets in a revocable trust are treated as owned by you, and subject to the claims of your creditor as if you owned them in your personal name. If the trust assets remain in trust after your [...]

By | 2018-06-27T01:06:23+00:00 March 1st, 2018|

How Does A Revocable Trust Avoid Probate?

A revocable trust avoids probate by effecting the transfer of assets during your lifetime to the trustee. This avoids the need to use the probate process to make the transfer after your death. The trustee has immediate authority to manage the trust assets at your death; appointment by the court is not necessary. The “funding” [...]

By | 2018-06-27T01:29:55+00:00 March 1st, 2018|