In Nevada, a revocable living trust is sometimes used as an estate planning alternative, particularly for probate issues that can’t be solved with a will. Before deciding on using a revocable living trust, an individual should take certain factors into account.
This type of trust is deemed as “living” because it is drawn up when an individual is still living, and it is a helpful estate planning tool if someone is incapacitated by disability or illness. The “revocable” portion of the trust gives the creator the ability to revise the terms of the trust as needed. While a revocable living trust helps keep an estate out of probate, it does not exempt the estate from tax liability.
In order for a revocable living trust to be valid, it must designate a trustee who is also an owner of property protected by the trust. The creator of the trust can be the trustee as well. However, designating a second trustee can ensure the trust is overseen in the event of the creator’s death. A revocable living trust differs from a will because it is legally effective during the creator’s lifetime, whereas the terms of a will become actionable upon a person’s passing.
In Nevada, trust planning can be an effective legal tool for managing assets and designating specific responsibilities when an individual is unable to do so. A revocable living trust can provide estate solutions while a person is still living as well as important instructions regarding the estate if the person dies. Anyone with questions about whether a revocable living trust would be a practical choice for their estate plan may want to seek the advice of an estate planning or probate attorney.
Source: American Bar Association, “What is a Revocable Living Trust?,” Accessed April 24, 2015