The Benefits of a Revocable Trust in New York
A revocable trust is a type of trust that can be amended or revoked by the person who created it, known as the grantor. In New York, revocable trusts can be a useful estate planning tool for a variety of reasons.
One benefit of a revocable trust is that it can help to avoid the probate process. When a person dies, their assets must go through the probate process before they can be distributed to the beneficiaries named in the person's will. Probate can be time-consuming and costly, as the estate must pay fees to the court and to the attorney handling the case. By placing assets in a revocable trust, the grantor can ensure that these assets will be distributed to the trust's beneficiaries without going through probate.
Another benefit of a revocable trust is that it can provide greater control over the distribution of assets. With a will, the grantor can only specify how their assets will be distributed after they die. With a revocable trust, the grantor can specify how the trust's assets will be managed and distributed while they are alive and after they die. This can be particularly useful for individuals who have young children or special needs beneficiaries, as the trust can state how the assets will be used to provide for the care and support of these beneficiaries.
A revocable trust can also provide privacy. When an estate goes through probate, the will becomes a matter of public record. This means that anyone can access the will and see how the grantor's assets will be distributed. With a revocable trust, the terms of the trust are not made public, which can help to protect the privacy of the grantor and the trust's beneficiaries.
Finally, a revocable trust can be a flexible estate planning tool. Because the grantor can amend or revoke the trust at any time, they can make changes as their circumstances or needs change. This can be especially useful for individuals who are unsure about how they want to distribute their assets or who may need to make changes to their estate plan in the future.
Overall, a revocable trust can be a valuable estate planning tool for individuals in New York who want to avoid probate, have greater control over the distribution of their assets, protect their privacy, and have a flexible estate plan. It is important to work with an experienced estate planning attorney when creating a revocable trust to ensure that the trust is properly drafted and meets the grantor's goals and needs. Call us at 516-570-4016 to discuss your estate planning goals.