FAQs
Q: "Should I have a living trust?"
A: If you're a homeowner, you're not really watching out for your family if you don't consider a living trust! When "something happens" to you, a trust does what a will can't. It can save substantial time, stress and money - and preserve privacy. Done properly, a living trust avoids probate and provides for incapacity. Out of state property makes a living trust especially important.
Q: What are the advantages?
A: Time saving and stress reduction are perhaps the most appreciated advantages. With a trust, there is no public filing and things proceed smoothly & quickly in accordance with your instructions. It typically takes only 4 to 8 weeks. An attorney is usually not even needed, but if one is hired fees are minimized compared to Probate. Probating a will is not only slow and public, but also costly! A Probate Court proceeding generally takes 9 months to 2 years or more with statutory fees based on estate gross value as follows:.
| Estate Size | Attorney Fees | Executor Fees | Total Fees |
| 250,000 | 8,000 | 8,000 | 16,000 |
| 500,000 | 13,000 | 13,000 | 32,000 |
| 1,000,000 | 23,000 | 23,000 | 46,000 |
| 2,000,000 | 33,000 | 33,000 | 66,000 |
A separate probate is required in each state where property is owned!
Isn't a living trust expensive?
A: Surprisingly, a complete estate plan including a living trust often costs only a few hundred dollars more than a will!
Without a trust is probate always necessary?
A: No, there are summary provisions for estates under $100,000. And some things - such as life insurance, IRAs, and some bank and brokerage accounts can pass directly to named beneficiaries.
Do I still need a will?
A: Yes, a pourover will takes care of things not transferred into the trust.
What is a living will?
A: Living will is a popular name for an advanced health care directive. It gives instructions to doctors and hospitals on a providing or stopping health care treatment in the event of permanent incapacity, such as irreversible coma.
What Is Estate Planning?
A: Estate planning is a process of setting up legally effective arrangements to meet your wishes in the event of incapacity — fatal or not. Various legal documents are utilized to achieve the desired result.
Can't I do my own estate planning?
A: Significant legal issues are involved and disastrous mistakes can be made. In something of this importance, it is wise to seek objective legal counsel.
What is a Living Trust?
A: An important advancement over the traditional will, a legal way to avoid Probate.
Who needs a Living Trust?
A: Anyone who owns a home, has over $100,000 in assets, or has property out of state.
Why a Living Trust and not just a simple will?
A: Will: Probate Court proceedings - lengthy, stressful, public, and costly. Living Trust: No Probate - swift, private, inexpensive.
How is time saved?
A: Probate of a will including final distribution generally takes 9 months to 2 years because of such things as filing requirements, notice requirements, court scheduling, obtaining court orders, and answering possible challenges. With a trust, the successor trustee just follows your instructions and it usually takes only 1 to2 months.
Is a Living Trust & a Living Will all I need?
A: No - these are basic, but to cover all contingencies, an Estate Plan includes several additional documents such as Pour-over Wills, Durable Powers of Attorney Advance Health Care Directives, Community Property Declaration, Nomination of Guardian if applicable & Transfer Documents.
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Comments herein are obviously generalizations - incomplete and not intended as recommendations. Take no action without legal advice based on careful consideration of your particular situation*
