A living trust is a legal instrument that holds the title to the personal assets of an individual or a family, including bank accounts, real estate, LLC and share interests, etc. As a will, a living trust contains instructions for the distribution of all of your assets after you die.
The main difference between a will and a trust is that the trust avoid probate, while a will not. Probate will require continuing costly probate filings, notices of newspaper publications, letters to all heirs even if the oppressed and the waiting time law. You can hire Encinitas estate planning lawyer for choosing the best estate planning.
Once the person who established living trust, called the trustor, dies, the successor trustee (s), which are usually adult children or relatives of the trustor, distribute the trust assets to the beneficiary named appointed.
This is a very common misconception that holds property in the joint lease provides protection similar to a living trust judges, but this did not happen. Joint rent just to avoid probate on the death of the first joint tenant, but the surviving joint tenant will be left with the same problem except probate planning carried out after the first death.
In addition, the joint lease may also lead to the loss of a step-up in basis on the estate, which can cause unnecessary capital gains tax. In conclusion, implementation and funding of a living trust attorney prepared, when both partners are healthy, avoiding probate and eliminate the possibility that the surviving joint tenant may not achieve real future planning for incapacity or accident.