Probate Law Firm Palatine, Illinois
Bott & Associates, LTD. Attorneys at Law is a probate law firm Palatine, Illinois residents recommend. Our lawyers will tell you that many people have never heard of a Revocable Living Trust. What is it? Is it only for the rich and famous and those trying to keep up with the Kardashians? No, it is not. A Revocable Living Trust can be a good idea for anyone. It is an estate planning tool like a will but with more to it. It can also save your family money from probate and a great deal of pain from uncertainty as well.
Understanding a Revocable Living Trust
A Revocable Living Trust is set up by the original person, the “guarantor.” That person then names a “trustee” to administer the trust. The trustee can be themselves or someone else – a friend, family member, lawyer, or entity like a bank. Our probate law firm serving Palatine, Illinois, can help you to understand a trustee’s role and identify the appropriate party based on your situation. The trustee oversees managing what happens with the assets that are put into the trust. Next, the guarantor titles all their assets into the trust. They reassign vehicles, cars, and investments, in the name of the trust instead of the name of the individual. The trust and the individual are both identified by the individual’s social security number. While the guarantor is in good health, the only other duty is to make sure to update the trust as they add new assets and remove old ones.
Our probate lawyer in Palatine, IL, will tell you that usually, when a person dies, their estate passes into probate. Probate is a process where the court system takes over the will and assets and holds onto everything. The estate stays in probate until lawyers prove that the assets and will are in order, all debts paid, and everything can be appropriately passed on to the beneficiaries. This process can take years and cost between 3-7% of the net worth of the estate. If you have $200,000 in assets overall, this would mean your children and grandchildren would end up losing between $6,000-$14,000 of the money you intended to leave for them. Our trusted Palatine, Illinois probate law firm may be able to assist you with this process so that your family can retain as much of their inheritance as possible. With a Revocable Living Trust, the guarantor assigns a successor trustee who is responsible for handling their assets if they are either incapacitated or deceased. The estate does not pass into probate but transfers to the successor trustee with the instructions of the guarantor. Therefore, none of the costs of probate are incurred.
The successor trustee also steps in to take over management of the estate in case of medical or mental incapacitation of the guarantor. In an accident, there is a plan for the successor to manage the trustee’s accounts until their health improves. Our probate law firm in Palatine, Illinois, is prepared to help by reviewing your situation and presenting you with options that may be in your best interest.
A Revocable Living Trust is a flexible tool that allows for avoiding probate costs, planning for your beneficiaries, and planning in case of incapacitation. It is, as the name implies, revocable, or changeable at any time. To help protect yourself and your family, contact Bott & Associates, LTD. Attorneys at Law, a Palatine, Illinois based probate law firm today to get started.