Many individuals throughout Nevada are conscientious about planning for tomorrow. They often plan what they will wear, what they will eat and even where they will go on vacation. For many, however, not so much thought is put into planning for what will happen if they are not able to plan tomorrow. A living trust may be the answer to this dilemma.
First, it is necessary to understand what a living trust is. A living trust is a trust that is established by an individual. The individual will then transfer his or her assets into this trust. The trust is then able to conduct business on behalf of the individual. Since the individual is still capable of doing so, he or she will usually also serve as the trustee of the living trust, thus maintaining control of it.
This may sound like an unusual method for conducting personal business. However, it can be quite usual in the event that the individual becomes unable to handle his or her personal affairs due to illness or incapacitation. A successor trustee is usually named when the trust is established. If the original trustee is unable to do so, the successor trustee can continue to conduct business on his or her behalf.
Finally, if the individual dies, the trust assets can be distributed without the need for probate. Beneficiaries should be listed within the living trust. Upon the death of the individual, the successor trustee can take care of distributing assets to the appropriate beneficiaries.
In the course of planning for everyday life, some Nevada residents are finding that a living trust is the best way to plan for tomorrow. A list of current assets is a good starting point. The best way to determine if this is the appropriate strategy for a particular individual is to discuss options with experts in this field.
Source: clickorlando.com, “Use a living trust to protect your assets”, Keith Morris, March 27, 2014