What is a Revocable Living Trust?
A revocable living trust can be included in estate planning documents. What is a revocable living trust?
A revocable living trust, or a revocable trust, is a written document that determines how your assets will be handled after you die. Revocable refers to the fact that the trust can be altered or revoked in its entirety at any time according to the grantor’s wishes.
Revocable living trusts are legal entities that allow an individual (known as a grantor) to create an agreement naming people and/or a company (a bank, or a trust firm) as a trustee of their finances and assets.
Living Trust: While Grantor is Living
An irrevocable living trust cannot be modified, amended, or revoked, and it takes effect during the life of the grantor.
The description of a “living trust” refers to the fact that it takes effect upon creation of the document, while the grantor is alive.
Revocable: Can Be Revoked
While a trust may be funded upon the grantor’s death, it is generally preferable to fund it while the grantor is living. This ensures continuity of asset management and financial support of the grantor should he or she become disabled.
Revocable Trusts Minimize Probate Impact
Revocable trusts are created as a tool for minimizing the impact of — or entirely avoiding — probate in Florida.
The other main purposes of a Florida revocable living trust include: giving you control of assets after death; avoiding guardianship court for minor children; asset protection for your beneficiaries, and protection for individuals with special needs.
Other benefits include the ability to manage Medicaid planning, and business succession.
To ensure that you’re cared for, that your family, your children, your pets, and your assets are handled in the manner that you want, begin estate planning while life is good.
About Bloodworth Law
Orlando, Florida, Attorney L. Reed Bloodworth is the managing partner of Bloodworth Law, with offices in Winter Haven, Florida.
Bloodworth Law provides Florida families and individuals with estate planning legal services which include the creation of legal documents to protect your assets. Talk with Reed about how the Bloodworth Law Estate Planning Team can help you, your family, and your future.Consider sharing this post