Revocable Trust

A revocable trust, also known as a living trust, is a legal document that allows the creator of the trust (the “settlor” or “grantor”) to change or revoke the trust at any time. The grantor retains control of the trust's assets and can make changes such as adding or removing beneficiaries, or changing terms. 

Revocable trusts are used for a variety of reasons, including: 

• Avoiding probate. A revocable trust can help you avoid the often costly and time-consuming probate process. Additionally, where probate is a public process, use of a revocable trust can help keep a family's assets and privacy intact. 
• Managing property. Successor trustees designated in a revocable trust can manage property if the grantor becomes incapacitated. 
• Distributing assets. A revocable trust can help distribute assets to beneficiaries after the grantor's death. 

However, revocable trusts have some downsides, including: 

• No protection from creditors. Assets in a revocable trust are not protected from creditors. 
• Limited tax benefits. Assets in a revocable trust are not exempt from estate tax. 
• Maintenance. Revocable trusts often require more maintenance than a will. 

It's important to consider your particular circumstances and goals when deciding whether a revocable trust is right for you. You can set up a consultation with us and we will help you find the best options for your situation. 

Schedule a free consultation today to discuss your personal estate planning needs.

RESOURCES

Please see the Washington State Bar Association website for more information on revocable trusts and irrevocable trusts.