A Living Trust is a formal arrangement under which a person establishing the trust, the grantor, grants another person, referred to as a trustee, the right to hold or manage property for another, known as a beneficiary. Based on the state’s Trust Code, Revocable Trusts, frequently referred to as Living Trusts, are amendable agreements that can be either changed or canceled during the grantor’s lifetime.
Simply put, Living Trusts are created while the grantor is alive as opposed to at the time of death and under the terms established in the Will. Beneficiaries named in a Living Trust will receive the trust assets based on the grantor’s distribution instructions.
Determine If You Need a Living Trust With the Help of an Experienced Living Trust Attorney Serving Cleveland
One of the many advantages of a Living Trust is to spare loved ones the expense of having to go through the probate process. The State of Ohio does not follow the Uniform Probate Code used by many other states. The Uniform Probate Code governs decedents’ estates and inheritance. It serves to simplify the probate process and since Ohio does not adhere to the Uniform Probate Code, it is a good idea to consider establishing a Living Trust in order to avoid the state’s intricate probate process. Living Trusts allow grantors to control how their assets are managed and distributed, not only during their life but after their passing as well. If you are unsure whether a Living Trust is the best option for your estate, then consider discussing it with an experienced estate planning attorney.
My Ohio Estates is exceptionally versed in the field of estate planning, including Living Trusts and Wills. A Living Trust can offer you many benefits, including control and a more efficient and private method of transferring assets upon death. To ensure you create the best estate plan for you and your loved ones, consider scheduling a no-obligation consultation with My Ohio Estates. Attorney Carr will guide you through your available estate planning options.
What is Probate in Ohio?
In Ohio, probate is the court-supervised process required after the passing of a person. The lengthy and oftentimes costly process sets to make sure the deceased person’s taxes and debts are paid for and that his or her assets or property are transferred to those entitled to the inheritance.
When an Ohio resident passes away with ownership of probate property, the legal process will commence to:
- Determine if the decedent had a valid Will,
- Determine if the decedent had assets subject to probate,
- Determine the value of the decedent’s assets,
- Establish the decedent’s debts, and
- Establish the method of property allocation
There are ways the probate process can be avoided and one method includes the creation of a Living Trust.
An Ohio Living Trust Simplifies the Transfer of Property and Assets
Creating a Living Trust will have little to no effect on the grantor’s use of the assets in the trust. After the grantor has passed away, his or her duties as a trustee pass on to the person he or she appointed to manage the trust as successor trustee. The benefits of a Living Trust include:
- Living Trusts Avoid Probate Court – Probate is not only a tedious process, it also delays the distribution of the inheritance. In most cases, probate can be very costly and ultimately cut down on what the decedent’s survivors inherit. By placing the property and assets in a Living Trust, the probate process can be avoided because the successor trustee will distribute the property and assets following the trust instructions without the need for a court intervention. By establishing a Living Trust, the distribution process will be much faster. Additionally, if there is property from outside the state, a Living Trust can streamline the transfer of property without having to go through the probate process in that state.
- Living Trusts Save Money – Since establishing a Living Trust will avoid the probate process, it will also avoid all of the expenses associated with probate. In addition, a Living Trust can also be a better option than a Will, as it will usually hold up better when a party contests the distribution of the property. When the distribution of property and assets is challenged in court, this process can also be very costly.
- A Living Trust Can Protect Your Privacy – As previously mentioned, one of the key benefits of a Living Trust is avoiding the probate process. While probate records are public, Living Trusts are private agreements made between the parties involved. These documents do not become public and outside parties cannot request copies of the documents. When going through the probate process, however, the information concerning the distribution of the estate becomes public record and anyone can obtain information on the distribution of the estate.
- Living Trusts are Beneficial in the Event of Incapacitation – When a person becomes ill or is suddenly incapacitated, the individual chosen to serve as a successor trustee will have the legal authority to manage his or her affairs without court intervention. Through a Living Trust, a court-appointed conservatorship can be avoided.
- Living Trusts Provide Peace of Mind – Living Trusts that are created prudently set a clear plan for the future of a person’s property and assets. A well-established Living Trust will control and protect assets and ensure that wishes are carried out. An important feature of Living Trusts is that they can protect assets from being subject to a beneficiary’s creditors, divorce, and poor spending habits. Living Trusts also help make sure loved ones are taken care of in the future, especially for those with medical disabilities and special needs. Moreover, Living Trusts can prevent certain individuals from accessing the assets when the grantor is no longer able to protect what he or she worked so hard to build.
A Living Trust can provide peace of mind knowing that the estate will be protected and managed as wished. With the existence of the Living Trust, the grantor’s loved ones can find comfort in knowing that the distribution of property has been simplified for them.
Schedule a Complimentary Consultation with an Experienced Living Trust Attorney serving Cleveland Ohio
The tasks associated with probating an estate can be daunting and stressful. One of the best ways to avoid the probate process is by establishing a Living Trust. If you would like to create a new estate plan or if you have questions about an existing trust, including amending a trust, contact an experienced estate planning attorney today.
My Ohio Estates is committed to providing clients with creative estate planning solutions that ensure asset protection and probate avoidance. With My Ohio Estates, clients can have peace of mind in knowing that they are receiving the utmost professional legal guidance when it comes to their legal issues. To schedule a complimentary consultation with the firm, call (330) 562-5951 or complete the confidential contact form here.