Are you thinking about how best to pass your assets onto your family, friends or chosen charity? If so, a Living Trust might be worth a closer look.
Unlike a traditional will, a living trust (also called a “revocable trust” or “revocable living trust”) makes passing our assets to the next generation smoother, faster and cheaper. How? Because it avoids the court process known as probate.
In this article, we’ll discuss the advantages and disadvantages of this tool, as well as alternatives, costs and whether it’s the right choice for the estate planning piece of your wealth protection strategy.
What is a Living Trust?
A Living Trust is a legal document created during your lifetime to hold assets. It avoids probate and provides other benefits.
The settlor, also known as the grantor in some places, is the person who transfers assets into a trust. If you’re thinking about setting up a trust, that’s you.
We will use the term “settlor” for the remainder of this article.
The trustee is the person who’s responsible for managing the settlor’s assets on behalf of the beneficiaries— the person, charity or organization that will receive the assets when the settlor dies.
In a living trust, the settlor transfers some or most of their assets to the trust and then serves as the trustee. When the settlor dies or becomes disabled, a successor trustee named in the trust will take over and administer the trust and its assets.
Living trusts only control assets formally put into them. They make it very easy to pass assets on to heirs and can be drafted to provide protection for dependents with special needs after you’re gone.
However, living trusts do not provide asset protection or tax savings.
Who needs a living trust?
Not everyone needs a living trust, but for anyone who is concerned about privacy and wants to pass on their assets as easily as possible to their loved ones when the time comes, it’s worth a serious look.
That’s especially true if you fall into one or more of the following groups:
- High-net-worth individuals with substantial assets. They use a living trust to be able to transfer their assets to the next generation in a private way.
- Business owners. Shares or interest in a company can be moved into a living trust to easily pass them onto the next generation.
- Parents of minor children. The trust can be drafted to ensure the children are properly supported until they reach adulthood. (And, in some cases, even longer depending on your wishes.)
Pros and Cons of a Living Trust
Advantages
- Avoid probate. Many people use wills to set out their last wishes. However, not only is this process public, but it can also take years to complete and cost the beneficiaries a fair bit of money. It also opens the door to fights between heirs. A living trust avoids all that. It’s fast, private, and often cheaper than a will after all costs are considered.
- Control. During your lifetime, you keep control over all your assets in the trust.
- Benefits for the beneficiaries. A living trust can be drafted so that after you pass, the trust changes form in a way that offers strong asset protection for your beneficiaries.
Disadvantages
- Upfront costs and fees. Setting up the trust involves more legal fees than preparing a will. Attorney fees and administrative expenses may be greater.
- Transfer process can take time. Formally changing title to move assets into the trust can take time and effort. Assets left outside the trust may still need to go through probate.
- Doing business with those assets can be harder. Dealing with trust assets can be more complicated and require extra paperwork. This is especially true if you need to borrow money for assets held within the trust.
- It can’t cover everything. Certain assets like retirement accounts, health savings accounts, and life insurance cannot be transferred into the trust. Fortunately, these assets still generally pass to your beneficiaries outside of probate.
Alternatives to a Living Trust
- A Will: This is the standard. However, probate will be involved, which takes time and is very public.
- Joint Ownership / Joint Tenancy: Certain accounts and assets owned jointly with rights of survivorship automatically pass to the surviving owner(s) if you die. This avoids probate.
- Gift Transfers: You can give assets away during your lifetime. This will reduce the size of your estate over time. However, there are some important tax considerations with this strategy, so be sure to check with your tax advisor before setting up such a program.
Each alternative has its own pros and cons, and the best choice depends on your individual circumstances and goals.
Living Trust vs LLC
A Living Trust and a Limited Liability Company (LLC) are both legal tools. They can both be used to manage assets. However, they do different things.
A Living Trust is a legal entity mainly used for estate planning.
The settlor — the person creating the trust — transfers assets to the trust. These assets can be distributed to beneficiaries without going through probate. This can save time and costs.
Trusts themselves are private and do not become part of the public record. They can hold many types of assets. However, a Living Trust does not offer any asset protection.
On the other hand, an LLC is a legal business structure. It offers limited liability to its owners (called “members” under the law) and managers. In most cases, this protects them from personal responsibility for the company’s debts or liabilities.
At the same time, an LLC can also make it difficult for personal creditors to grab assets held within the LLC.
Do LLCs offer a level of privacy?
Depending on the state, an LLC may not be as private as a trust.
In some states, the name of every “member” [the “owner(s)”] must be filed with the state.
And in other states, only the registered agent is listed. You can pay a registered agent to serve in this capacity if you don’t want your name connected to the LLC. In that case, an LLC can offer a great level of privacy.
A living trust is mainly used for estate planning.
An LLC is used to protect assets — either from claims from an active business the LLC owns, or from personal claims against assets protected by an LLC.
Living Trust vs a Will
Living trusts and wills are both estate planning tools. However, they offer different benefits and drawbacks. Here’s a quick summary:
| Feature | Living Trust | Will |
| Purpose | A flexible, tool to quickly and easily pass assets onto the next generation. | A basic document that outlines your wishes after death. |
| Probate | There is no probate. | Probate is often triggered, meaning a public (and sometimes expensive) court process. |
| Privacy | Private, not part of public record. | After death, becomes a public record, accessible to anyone. |
| Control | You maintain control during life and can make changes. Very difficult to contest if created properly. | You can change any time. But can be contested after you pass. |
| Tax Benefits | No tax benefits to you but potentially can be to your beneficiaries. | No tax benefits to you but potentially can be to your beneficiaries. |
| Cost | Typically more expensive to set up than a will. | Typically less expensive to set up than a living trust. |
How to Create a Living Trust
Step One: Determine how this fits into your overall planning.
For most people, a living trust is a great foundational estate planning tool. But not always.
This is especially true if you have what’s called a “small” or “simple” estate. In this case, if an estate is smaller than a certain minimum under state law, you can apply to skip the probate process entirely.
Step Two: Figure out what should be moved into the trust and what should stay outside.
Once you’re sure you need a living trust, you need to figure out which assets need to be moved over and which ones stay outside… a process called conveyance.
Common Assets to be conveyed:
- Stocks
- Bonds
- Real estate
- Antiques and other collectibles
- Vehicles (cars, boats, planes, etc.)
Assets that don’t need to be conveyed:
- Assets held jointly: If you own an asset with another person and you pass, the ownership will generally pass to the other person automatically and not be included as part of your probatable estate. But there are exceptions such as “tenants in common” property.
- “Pay on death” accounts held in your own name: As the name suggests, these accounts will also automatically be given to a named beneficiary automatically without probate needed.
- Insurance policies: They already include named beneficiaries.
- Retirement accounts: Upon death, the assets inside will automatically be given to the named beneficiary on the account.
Where things get complicated…
Your home: Most states have something called homestead protection (or homestead exemption), which protects a certain amount of home equity in case of a judgment or bankruptcy. In some states, if you move your home into a trust, you can lose this protection.
Real estate held out of state or country: Estate planning becomes more complicated if you hold real estate in another state or country. That’s because the holding of that property will be subject to the laws of that other jurisdiction.
Business interests held in a different state or country: If you own shares or a membership interest in a company that is organized in another state or country, you will need to understand the interplay between planning done in your own state and the fact that the business is subject to the laws of the other place.
In all of these cases, it’s very important to consult with a qualified advisor to get the best answer for your situation.
Step Three: Implement the trust.
Once you’ve accounted for your assets and are clear on what needs to be done, you’ll want to go to a lawyer to draft up the trust deed. You’ll set the terms of the trust, choose your beneficiaries and, in most cases, make yourself the trustee. This lets you keep control over the assets.
You can also purchase an online kit to draft a living trust for you. This can save money up front, but we generally don’t recommend it. It’s safer to have a lawyer create a living trust to better fit your particular needs, especially if your estate planning is complex.
Then it’s just a matter of conveying the assets into the trust. The process for that will vary depending on the type of asset, whether there’s debt on it, and sometimes other factors too.
How much does a living trust cost?
The fees can vary widely depending on factors such as:
- The type of assets to be moved into the trust.
- How complicated the trust agreement (also called a “trust instrument”, “trust deed” or “deed of trust” – depending on the state) has to be.
- Who will serve as the trustee.
- The number of beneficiaries and planning around that group.
- The lawyer you work with.
In general, though, a simple trust can start at anywhere from $1,000 – $1,500. A more complex trust involving higher value estates can cost anywhere from $3,000 – $5,000+.
Frequently Asked Questions
Does a living trust need to be recorded?
Unlike a will, which must be filed with a court at the start of the probate process, a living trust generally need not be filed or recorded anywhere. Unless your trust is involved in a lawsuit, it won’t become a matter of public record.
How do I transfer property into a living trust?
To transfer property into a living trust, you can follow these steps:
- Create the Trust Instrument: This document will be the foundation of the trust and will contain all the legal language necessary. It should include the names of the settlor (the person creating the trust), the trustee (usually you) and the beneficiaries. It should also include the trust’s terms.
- Transfer the Assets: Once the trust document is created, you can transfer the assets into the trust. Your best source will be who set it up for you.
- Notify any relevant parties: Be sure you update anyone that needs to be updated about ownership changes of assets moved into the trust. That especially includes creditors of the transferred assets.
In practice, you will want to let parties know about your intention to “retitle” (i.e. change legal ownership over) the assets BEFORE you make the change. This is especially important when it comes to financial accounts or assets with debt on them.
What happens in a divorce?
The treatment of property held by a living trust in a divorce depends on the state you live in. While the divorce laws of all 50 states are different, the laws follow two models: “equitable distribution” and “community property.”
In both models, property may be owned by either spouse in their own name, jointly, or in a trust (such as a living trust). Assets in a living trust aren’t treated any differently than other assets. The trust may need to be revoked or redrafted to ensure it reflects the changed circumstances of both spouses.
In equitable distribution states, each party has the opportunity to make arguments for the fair distribution of their separate and marital property. The court considers various factors, such as the length of the marriage, the earning capacity of each spouse, and the marital standard of living, to determine a fair and equitable division of assets.
In community property states, assets acquired during the marriage are typically considered community property and divided evenly. Assets acquired before the marriage or through inheritance are considered the separate property of that spouse. If a living trust holds community property, it will be evenly divided between the spouses.
Your lawyer is best placed to evaluate your circumstances. This is especially important if you or your spouse is a beneficiary or settlor of a living trust.
Does a living trust avoid probate?
Yes, assets within a living trust avoid probate.
This saves time, maintains privacy, and can save thousands (even tens of thousands) of dollars in probate costs.
However, many (but not all) types of assets outside your trust will still have to go through probate.
Does it need to be notarized?
Yes, a living trust should be notarized. Notarization is not always required, but it’s recommended to ensure the trust isn’t contested and that the successor trustee (the one that takes your place after you can’t do it anymore) can manage the trust assets more easily. If the trust is going to transfer real estate, then it needs to be notarized.
Should you do it yourself?
Creating a living trust by yourself is possible, but we do not recommend it.
Especially if you have a lot of assets, it’s a good idea to seek professional help.
Does it provide asset protection?
A Living Trust does not provide any asset protection. The settlor, who creates the trust, can change or revoke it at any time.
In the event you lose a lawsuit or declare bankruptcy, you can be forced to pull the assets out of the trust and give them to your creditors.
If I put my house into a living trust, do I still benefit from homestead protections?
A homestead exemption protects a certain amount of equity in your home from creditors. How much that is depends on which state you live in. Some states offer almost no protection. Others offer unlimited protections.
For the most part, however, you need to own and live in the home in order for this protection to apply. Since a living trust officially changes ownership of the house (from your name to that of the trust), there is a question as to whether the homestead exemption would still cover you.
Every place is different but generally, yes, if you move your home into a living trust — and it’s done right — a house in a living trust should still be able to qualify for the homestead exemption.
Is a living trust “revocable” or “irrevocable”?
A revocable trust is a flexible estate planning tool that lets you to keep control over your assets while you’re alive. You generally serve as trustee. You can change it at any time.
An irrevocable trust, on the other hand, is an inflexible planning tool designed for estate planning and asset protection. Once you set it up, it’s very difficult (sometimes impossible) to change. In essence, you give up those assets for the benefit of the beneficiaries, although you can continue to manage the assets on their behalf.
When we talk about a living trust, we refer to a revocable trust under the control of the person (the settlor) who first put assets into it.
Where do I find a Living Trust Lawyer / Attorney in my Area?
Our firm, The Nestmann Group, helps build complete plans for clients interested in wealth protection. A big part of that is helping with estate planning.
However, a proper wealth protection plan is more than that. A good one will look at other factors like asset protection, tax strategies, insurance, and available government protections.
If you’re interested in seeing whether a wealth protection plan is right for you, please schedule a free, no-obligation consultation with one of our wealth protection associates.
More Information per State
Below you’ll find a summary of different living trust laws by state. Feel free to click on your state to learn more:
Alabama
A living trust in Alabama is governed by the Alabama Uniform Trust Code, which is found in the Alabama Code, Title 19, Chapter 3.
An Alabama Living Trust will work for all sorts of clients. However, if your estate is worth less than a certain amount (originally $25,000 — annually adjusted for inflation), then your beneficiaries can use a simplified probate process. As of March 1, 2023, the value of the estate cannot exceed $34,611.
Alaska
A living trust in Alaska is governed by the Alaska Trust Act and the Alaska Uniform Trust Code, which is found in the Alaska Statues, Title 13, Chapter 36.
An Alaska Living Trust will work for all sorts of clients. However, if your estate is worth less than $50,000 in personal property and less than $100,000 in vehicles, then your beneficiaries can use a simplified probate process.
Arizona
A living trust in Arizona is governed by the Arizona Trust Code, which is found in the Arizona Revised Statutes, Title 14, Chapter 11.
An Arizona Living Trust will work for all sorts of clients. However, if your estate is worth less than $75,000 (i.e. cash, bank accounts, stocks and bonds, cars, jewelry, etc.) in personal property and less than $100,000 in real estate, then your beneficiaries can use a simplified probate process.
Arkansas
A living trust in Arkansas is governed by the Arkansas Trust Code, which is found in the Arkansas Code, Title 28, Subtitle 5, Chapter 73.
An Arkansas Living Trust will work for all sorts of clients. However, if your estate is worth less than $100,000, then your beneficiaries can use a simplified probate process.
California
A living trust in California is governed by the California Trust Law, which is found in the California Probate Code, Division 9, Part 2.
A California Living Trust will work for all sorts of clients. However, if your estate is worth less than a certain amount, then your beneficiaries can use a simplified probate process. As of April 1, 2022, the value of the estate cannot exceed $184,500. This amount is tied to inflation and set to increase again in 2025.
Colorado
A living trust in Colorado is governed by the Colorado Uniform Trust Code, which is found in the Colorado Revised Statutes and Constitution, Title 15.
A Colorado Living Trust will work for all sorts of clients. However, if your estate is worth less than a certain amount in personal property and no real estate, then your beneficiaries can use a simplified probate process. This amount is adjusted for inflation each year. For deaths which occurred in 2022, the fair market value of all property can’t exceed $74,000.
You can find more information about a Colorado Living Trust here.
Connecticut
A living trust in Connecticut is governed by the Connecticut Uniform Trust Code, which is found in the Connecticut General Statutes, Title 45a, Chapter 802C.
A Connecticut Living Trust will work for all sorts of clients. However, if your estate is worth less than $40,000 (not including any real estate owned solely by you), then your beneficiaries can use a simplified probate process.
Delaware
A living trust in Delaware is governed by the Delaware Code and Constitution, Title 12, Part V, Chapter 35.
A Delaware Living Trust will work for all sorts of clients. However, if your estate is worth less than $30,000 (not including any real estate owned solely by you), then your beneficiaries can use a simplified probate process.
District of Columbia
A living trust in the District of Columbia is governed by the Uniform Trust Code, which is found in the District of Columbia Code, Division III, Title 19, Chapter 13.
A District of Columbia Living Trust will work for all sorts of clients. However, if your estate is worth less than a certain amount, then your beneficiaries can use a simplified probate process. For people who died after April 26, 2001, the fair market value of all property can’t exceed $40,000,
Florida
A living trust in Florida is governed by the Florida Trust Code, which is found in the Florida Statutes, Title XLII, Chapters 736 through 739.
A Florida Living Trust will work for all sorts of clients. However, if your estate is worth less than $75,000, then your beneficiaries can use a simplified probate process.
Georgia
A living trust in Georgia is governed by the Georgia Code, Title 53, Chapter 12.
A Georgia Living Trust will work for all sorts of clients. However, if your estate is worth less than $15,000, then your beneficiaries can use a simplified probate process.
You can find more information about a Georgia Living Trust here.
Hawaii
A living trust in Hawaii is governed by the Hawaii Revised Statutes, Division 3, Title 30.
A Hawaii Living Trust will work for all sorts of clients. However, if your estate is worth less than $100,000 (not including motor vehicles), then your beneficiaries can use a simplified probate process.
Idaho
A living trust in Idaho is governed by the Idaho Statutes, Title 68.
An Idaho Living Trust will work for all sorts of clients. However, if your estate is worth less than $100,000 and does not involve real estate, then your beneficiaries can use a simplified probate process.
Illinois
A living trust in Illinois is governed by the Illinois Trust Code in the Illinois Compiled Statute, Chapter 760, Act 3.
An Illinois Living Trust will work for all sorts of clients. However, if your estate is worth less than $100,000 and does not include any real property, then your beneficiaries can avoid the probate process.
You can find more information about an Illinois Living Trust here.
Indiana
A living trust in Indiana is governed by the Indiana Code, Title 30, Art. 4.
An Indiana Living Trust will work for all sorts of clients. However, if your estate does not exceed $50,000 for deaths before or on June 30, 2022, or $100,000 for deaths after June 30, 2022, then your beneficiaries can use a simplified probate process.
Iowa
A living trust in Iowa is governed by the Iowa Trust Code found in the Iowa Code, Title XV, Subtitle 4, Chapter 633A.
An Iowa Living Trust will work for all sorts of clients. However, if your estate is less than $25,000 and there’s no real property involved, then your beneficiaries can avoid the probate process altogether.
Kansas
A living trust in Kansas is governed by the Kansas Uniform Trust Code, which is codified in the Kansas Statutes Annotated (K.S.A.) under Chapter 58a.
A Kansas Living Trust will work for all sorts of clients. However, if your estate is less than $75,000 and no real property is involved, your beneficiaries can use a simplified probate process.
Kentucky
A living trust in Kentucky is governed by Kentucky Revised Statutes, Title XXXIII, Chapter 386.
A Kansas Living Trust will work for all sorts of clients. However, if your estate is less than $30,000, your beneficiaries can use a simplified probate process.
Louisiana
A living trust in Louisiana is governed by Louisiana Revised Statute, Title 9.
A Louisiana Living Trust will work for all sorts of clients. However, if your estate is $125,000 or less, your beneficiaries can use a simplified probate process.
Maine
A living trust in Maine is governed by the Maine Uniform Trust Code found in the Maine Revised Statute, Title 18-B.
A Maine Living Trust will work for all sorts of clients. However, if your estate is less than $40,000 ($49,700 adjusted for inflation in 2024), then your beneficiaries can use a simplified probate process.
Maryland
A living trust in Maryland is governed by the Code of Maryland, Estates and Trusts, Title 14.5.
A Maryland Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, ($100,000 if the only beneficiary is a surviving spouse), your beneficiaries can use a simplified probate process.
You can find more information about a Maryland Living Trust here.
Massachusetts
A living trust in Massachusetts is governed by the Massachusetts General Law, Part II, Title II, Chapter 203.
A Massachusetts Living Trust will work for all sorts of clients. However, if your estate is less than $25,000, your beneficiaries can use a simplified probate process.
Michigan
A living trust in Michigan is governed by the Michigan Compiled Laws, Chapter 700.
A Michigan Living Trust will work for all sorts of clients. However, if your estate is less than $25,000 for deaths that occurred in 2022 (adjusted every two years for inflation), your beneficiaries can use a simplified probate process.
Minnesota
A living trust in Minnesota is governed by the Minnesota Statutes, Chapter 501C.
A Minnesota Living Trust will work for all sorts of clients. However, if your estate is less than $75,000, your beneficiaries can use a simplified probate process.
Mississippi
A living trust in Mississippi is governed by the Mississippi Code, Title 91.
A Mississippi Living Trust will work for all sorts of clients. However, if your estate is less than $75,000, your beneficiaries can use a simplified probate process.
Missouri
A living trust in Missouri is governed by the Missouri Uniform Trust Code which can be found in the Missouri Revised Statutes, Title XXXI, Chapter 456.
A Missouri Living Trust will work for all sorts of clients. However, if your estate is $40,000 or less, your beneficiaries can use a simplified probate process.
Montana
A living trust in Montana is governed by the Montana Trust Code in the Montana Code Annotated, Title 72, Chapter 38.
A Montana Living Trust will work for all sorts of clients. However, if your estate is $50,000 or less, your beneficiaries can use a simplified probate process.
Nebraska
A living trust in Nebraska is governed by the Nebraska Uniform Trust Code under the Nebraska Revised Statutes, Chapter 30, Art. 38.
A Nebraska Living Trust will work for all sorts of clients. However, if your estate is $50,000, your beneficiaries can use a simplified probate process.
Nevada
A living trust in Nevada is governed by the Nevada Revised Statute, Title 13, Chapter 163.
If you do have an estate smaller than $100,000 (which does not contain any real estate), it can pass to your beneficiaries without a probate process.
With the approval of a probate court, a simplified probate procedure for small estates in Nevada is available if the gross value of the estate is less than $300,000.
You can find more information about a Nevada Living Trust here.
New Hampshire
A living trust in New Hampshire is governed by the New Hampshire Trust Code found in the New Hampshire Revised Statutes, Title 564-B.
A New Hampshire Living Trust will work for all sorts of clients. New Hampshire has no specific threshold for a simplified probate process. However, your beneficiaries can use the Waiver of Administration in certain situations to avoid the regular probate process.
New Jersey
A living trust in New Jersey is governed by the New Jersey Uniform Trust Code under the New Jersey Revised Statutes, Title 3B, Chapter 31.
A New Jersey Living Trust will work for all sorts of clients. However, if your estate is $50,000 or less and does not involve real property, your beneficiaries can use a simplified probate process.
New Mexico
A living trust in New Mexico is governed by the New Mexico Uniform Trust Code in the New Mexico Statutes, Title 46A.
A New Mexico Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
New York
A living trust in New York is governed by New York Estates, Powers and Trust Law (EPTL) found in New York Consolidated Laws, Article 7.
A New York Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
North Carolina
A living trust in North Carolina is governed by the North Carolina Uniform Trust Code found in North Carolina General Statutes, Chapter 36C.
A North Carolina Living Trust will work for all sorts of clients. However, if your estate is $20,000 or less (or less than $30,000 if the only beneficiary is a surviving spouse), your beneficiaries can use a simplified probate process.
North Dakota
A living trust in North Dakota is governed by the North Dakota Century Code, Title 59.
A North Dakota Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
Ohio
A living trust in Ohio is governed by the Ohio Revised Code, Title LVIII, Chapter 5804.
An Ohio Living Trust will work for all sorts of clients. However, if your estate is less than $35,000 (or less than $100,000 if the only beneficiary is a surviving spouse), your beneficiaries can use a simplified probate process.
Oklahoma
A living trust in Oklahoma is governed by the Oklahoma Statutes, Title 60.
An Oklahoma Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
Oregon
A living trust in Oregon is governed by the Oregon Uniform Trust Code found in the Oregon Revised Statutes, Title 13, Chapter 130.
An Oregon Living Trust will work for all sorts of clients. However, if your estate is less than $75,000 of personal property and less than $200,000 of real estate, your beneficiaries can use a simplified probate process.
You can find more information about an Oregon Living Trust here.
Pennsylvania
A living trust in Pennsylvania is governed by Pennsylvania Statutes, Title 20, Chapter 77.
A Pennsylvania Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
Rhode Island
A living trust in Rhode Island is governed by Rhode Island General Laws, Title 18, Chapter 1.
A Rhode Island Living Trust will work for all sorts of clients. However, if your estate is less than $15,000 and does not involve real property, your beneficiaries can use a simplified probate process.
South Carolina
A living trust in South Carolina is governed by the South Carolina Trust Code, Title 62, Art. 7.
A South Carolina Living Trust will work for all sorts of clients. However, if your estate is below $25,000, your beneficiaries can use a simplified probate process.
South Dakota
A living trust in South Dakota is governed by the South Dakota Codified Laws, Title 55.
A South Dakota Living Trust will work for all sorts of clients. However, if your estate is less than $50,000, your beneficiaries can use a simplified probate process.
Tennessee
A living trust in Tennessee is governed by the Tennessee Uniform Trust Code found in the Tennessee Code, Title 35, Chapter 15.
A Tennessee Living Trust will work for all sorts of clients. However, if your estate is less than $15,000, your beneficiaries can use a simplified probate process. There is also an expedited probate procedure available for estates valued at less than $50,000 that don’t include real estate holdings.
Texas
A living trust in Texas is governed by the Texas Property Code, Title 9.
A Texas Living Trust will work for all sorts of clients. However, if your estate is less than $75,000 in non-land assets, your beneficiaries can use a simplified probate process.
You can find more information about a Texas Living Trust here.
Utah
A living trust in Utah is governed by the Utah Uniform Trust Code found in the Utah Uniform Probate Code, Chapter 7.
A Utah Living Trust will work for all sorts of clients. However, if your estate is less than $100,000 and does not include real estate, your beneficiaries can use a simplified probate process.
Vermont
A living trust in Vermont is governed by the Vermont Statutes, Title 14A.
A Vermont Living Trust will work for all sorts of clients. However, if your estate is less than $45,000 and does not include real property, your beneficiaries can use a simplified probate process.
Virginia
A living trust in Virginia is governed by the Virginia Trust Code in the Virginia Code, Title 64.2, Subtitle III.
A Virginia Living Trust will work for all sorts of clients. However, if your estate is less than $50,000 and does not include real property, your beneficiaries can use a simplified probate process.
You can find more information about a Virginia Living Trust here.
Washington
A living trust in Washington is governed by the Revised Code of Washington, Title 11, Chapter 11.98.
A Washington Living Trust will work for all sorts of clients. However, if your estate is less than $100,000 and only involves real property, your beneficiaries can use a simplified probate process.
West Virginia
A living trust in West Virginia is governed by the West Virginia Uniform Trust Code in the West Virginia Code, Chapter 44D.
A West Virginia Living Trust will work for all sorts of clients. However, if your estate is less than $100,000 and excludes real property, your beneficiaries can use a simplified probate process.
Wisconsin
A living trust in Wisconsin is governed by the Wisconsin Statutes, Chapter 701.
A Wisconsin Living Trust will work for all sorts of clients. However, if your estate does not exceed $50,000, your beneficiaries can use a simplified probate process.
Wyoming
A living trust in Wyoming is governed by the Uniform Trust Code found in the Wyoming Statutes, Title 4.
A Wyoming Living Trust will work for all sorts of clients. However, if your estate is $200,000 or less, your beneficiaries can use a simplified probate process.
Need some help?
Since 1984, we’ve helped build complete plans for clients interested in wealth protection. A big part of that is helping with estate planning.
However, a proper wealth protection plan is more than that. A good one will look at other factors like asset protection, tax strategies, insurance, and available government protections.
If you’re interested in seeing what’s right for you, please schedule a free no-obligation consultation with one of our Wealth Protection Associates. You can do that here.
