Nevada residents may be interested in understanding more about the benefits and process involved with creating a charitable trust. These trusts allow individuals to donate significant funds to certain charities without diminishing the wealth held in personal banking accounts. Estate owners may consider using a charitable lead trust or a charitable remainder trust. Many estate owners wait to secure college tuition and retirement savings before using discretionary income to fund charitable trusts.
A trust may be used to help protect a Nevada resident's assets as well as provide a degree of privacy after the grantor dies. Unlike a will, the use of a trust helps to avoid expensive and public probate proceedings. However, many people think that such an estate planning document is too expensive to create or is only for people who have large estates.
There is a new 3.8 percent federal tax that will be imposed upon net investment income from trusts and estates. The tax will be applicable to these trusts and estates if the gross income exceeds $11,950.