The Importance of Trusts in Planning Your Estate

TrustThe Gierach Law Firm provides sophisticated and personal estate planning and probate services to all clients, regardless of the size of their holdings. Our experienced estate planning lawyers are committed to providing the individualized services and timely response and follow-up that are essential to meeting each client’s personal needs.

Whether you are young or old, married or single, a parent or without children, you need to invest in an estate plan. There is a lot to be gained by you and your loved ones through estate planning; moreover, even more can be lost if you don’t.

Estate planning is the process by which an individual or family arranges the transfer of assets in anticipation of death. An estate plan aims to preserve the maximum amount of wealth possible for the intended beneficiaries and flexibility for the individual prior to death.

Estate planning is much more than having a will. Proper estate planning will avoid the chaos and wasted assets of an unplanned estate, enhance your sense of security, and provide a dimension of personal well-being to your loved ones.

Trusts are common ways in which individuals dispose of their wealth. Trusts, unlike wills, have the benefit of avoiding probate, a lengthy and costly legal process that oversees the transfer of assets.

Generally, a trust is a right in property (real or personal) which is held in a fiduciary relationship by one party for the benefit of another. The trustee is the one who holds title to the trust property, and the beneficiary is the person who receives the benefits of the trust.

A trust is a form of property ownership. The person who sets up a trust is called the “grantor” or “settlor.” The trustee is the “legal” owner of the trust property, and her name is on any document of title. The beneficiary is the person who receives the benefits of ownership, such as the right to receive the income from the trust’s investments. A “living” or “inter vivos” trust is one that is set up and funded while the grantor is alive. Usually the grantor names his or her self as both trustee and beneficiary. In contrast, a trust which comes into being under the terms of a will, after the grantor’s death, is called a “testamentary” trust.

For more information on Trusts, Wills, and Estate Planning in the DuPage County Illinois area contact a trusted estate planning lawyer in The Gierach Law Firm at (630) 756-1160