One of the better ways to financially protect an elderly individual is setting up a trust.
The type selected depends on the goals and circumstances of the donor or grantor who is providing the money and property to fund the trust. It also depends upon the circumstances of the person who is to benefit from the trust.
A living trust, also known as a Revocable Living Trust, is not the same as a living will, which provides medical care decisions. A revocable living trust is created while the person is still alive and can be modified at any time; it’s an easier alternative to organize assets and allows for efficient property distribution upon one’s death.
When considering setting up a revocable living trust for an elderly individual, it’s also important to first consider their mental capacity. Do they have the ability to: transact ordinary business and understand the trust that they are signing?
Did you know?
- If the person with the trust becomes mentally incapacitated, their trustee can manage their assets rather than a court-supervised guardian or conservator.
- A Revocable Living Trust helps avoid probate and the details of trust agreement cannot become public record.
- When the person with the living trust dies, those assets go directly to the beneficiaries named in the trust agreement.
The attorneys of Peck Ritchey, LLC are recognized leaders in estate, trust and guardianship litigation. For more information on setting up a trust by speaking to a trust litigation attorney, visit our website or call directly at (855) 328-5787.