In Florida, a living trust (also known as an inter vivos trust) is one probably your best option if you want your estate to avoid probate after you die. Why does that matter? As our South Florida living trust attorneys can explain, it means more of your assets – the things you worked hard for during your life, the things you want to see preserved and passed on – will not only go straight to the individuals you want to see in receipt, less will go to court fees and the state of Florida.
In general, a trust is an agreement entered into by the person who creates the trust (settlor or grantor or trustmaker) and the beneficiaries of that trust (i.e., those who benefit from it). That contract will determine what happens to the assets contained in the estate when you die. A living trust allows for one not only to make plans for an estate to avoid probate (and save a great deal on legal expenses), as well as allow you to map out a plan for disability, preserve Medicaid benefits and lower estate taxes.
The most common type is called a revocable living trust, and it’s created during one’s lifetime (rather than upon the trustmaker’s death), and can be revoked by the trustmaker at any point, rather than one that is established and cannot be undone. Revocable living trusts are often the preferred way to transfer assets in states like Florida where we know probate is both time-consuming and incredibly costly. Continue reading