If you're looking to protect your assets and provide for your loved ones after you're gone, creating a family trust is an excellent option. A family trust is a legal document that allows you to transfer your assets into a trust for the benefit of your family members or other beneficiaries. To create a family trust, you'll need to work with an experienced family trust attorney in Wisconsin.
At Heritage Law Office, our attorneys are knowledgeable in all areas of estate planning, including the creation of family trusts. We understand that every family is unique, which is why we take the time to thoroughly review your needs and wants when planning your estate. Our attorneys will provide an outline of your best options, including the creation of an irrevocable trust.
Contact us either online or at 414-253-8500 to schedule a free consultation today.
What is a Family Trust?
A family trust is a type of trust that is established to hold assets for the benefit of family members or other beneficiaries. The trust is managed by a trustee, who is responsible for distributing the assets to the beneficiaries according to the terms of the trust. A family trust can be created during your lifetime or established through your will after you pass away.
One of the primary benefits of a family trust is that it allows you to avoid probate. Probate is the legal process that occurs after a person passes away to distribute their assets according to their will or state law. Probate can be time-consuming and expensive, and it can also be emotionally difficult for your family members. By creating a family trust, you can transfer your assets outside of probate, which can save your family time, money, and stress.
Understanding the Benefits of a Family Trust in Wisconsin
Creating a family trust in Wisconsin can offer many benefits, including:
Control Over Your Assets
When you create a family trust, you retain control over your assets while you're alive. You can continue to manage your assets and make changes to the trust as needed. You can also designate a successor trustee to manage the trust in the event that you become incapacitated or pass away.
Protecting Your Privacy
When you pass away, your will becomes a public record, which means that anyone can access it. By creating a family trust, you can keep your wishes private and protect your family's privacy.
Avoiding Probate
As mentioned earlier, creating a family trust can help you avoid probate, which can be time-consuming, expensive, and emotionally difficult for your family members.
Estate Tax Savings
By creating a family trust, you may be able to reduce or eliminate estate taxes. The tax savings can help you provide more for your family members or other beneficiaries.
How to Create a Family Trust in Wisconsin
To create a family trust in Wisconsin, you'll need to work with an experienced family trust attorney. The process of creating a family trust typically involves the following steps:
Step 1: Choose a Trustee
The trustee is responsible for managing the trust and distributing the assets to the beneficiaries according to the terms of the trust. You can choose yourself as the trustee, or you can designate someone else to serve as the trustee.
Step 2: Determine the Terms of the Trust
You'll need to decide how you want the assets to be distributed to the beneficiaries. You can specify that the assets be distributed immediately, or you can specify that the assets be distributed over time or under certain conditions.
Step 3: Transfer Your Assets to the Trust
To transfer your assets to the trust, you'll need to retitle the assets in the name of the trust. For example, if you have a bank account, you'll need to change the name on the account to the name of the trust.
Step 4: Execute the Trust Document
Once you've chosen a trustee, determined the terms of the trust, and transferred your assets to the trust, you'll need to execute the trust document. This document is a legal agreement that outlines the terms of the trust and how the assets will be managed and distributed.
Step 5: Review and Update the Trust as Needed
It's important to review and update your family trust periodically to ensure that it still meets your needs and reflects your wishes. Life changes such as marriages, births, deaths, and changes in financial circumstances may require you to make changes to the trust.
Contact a Family Trust Attorney in Wisconsin
Creating a family trust can provide you with peace of mind knowing that your assets will be distributed according to your wishes and that your family members will be taken care of after you're gone. If you're considering creating a family trust in Wisconsin, it's essential to work with an experienced family trust attorney.
At Heritage Law Office, our attorneys are knowledgeable in all areas of estate planning, including the creation of family trusts. We understand that every family is unique, which is why we take the time to thoroughly review your needs and wants when planning your estate. Our attorneys will provide an outline of your best options, including the creation of an irrevocable trust.
To learn more about our estate planning services or to schedule a free consultation with a family trust attorney in Wisconsin, contact our office either online or at 414-253-8500.
Frequently Asked Questions (FAQs)
1. What is a Family Trust and Why is it Important?
A family trust is a legal document that allows you to transfer your assets into a trust for the benefit of your family members or other beneficiaries. Its primary advantage is that it enables the avoidance of probate, which is typically a time-consuming, costly, and stressful process. Additionally, a family trust offers you control over your assets, safeguards your privacy, and can also help reduce or eliminate estate taxes.
2. How Does a Family Trust Work in Wisconsin?
In Wisconsin, creating a family trust involves selecting a trustee, determining the terms of the trust, transferring your assets into the trust, and executing the trust document. The trustee is then responsible for managing the trust and distributing the assets to the beneficiaries in accordance with the terms of the trust. It's vital to review and update the trust periodically to ensure it aligns with any changes in life circumstances.
3. What is the Role of a Trustee in a Family Trust?
A trustee manages the family trust, and is responsible for distributing the assets to the beneficiaries based on the terms of the trust. The trustee can be you or someone else you appoint. If you become incapacitated or pass away, a successor trustee, who you have designated, takes over the management of the trust.
4. What Assets Can be Included in a Family Trust?
You can include a variety of assets in a family trust, such as real estate, bank accounts, stocks and bonds, and personal possessions. To transfer these assets to the trust, you'll need to retitle them in the name of the trust.
5. How Can a Family Trust Attorney Help in Creating a Family Trust?
A family trust attorney has the knowledge and experience to guide you through the process of creating a family trust, ensuring it is done correctly and in line with your specific needs and wishes. They can help you understand the implications of various decisions, assist in choosing a trustee, define the terms of the trust, facilitate the transfer of assets, and execute the trust document. A family trust attorney also aids in reviewing and updating the trust as required.