One of the most common misconceptions about estate planning is that it is something reserved only for the wealthy or those who already have valuable assets. In reality, there are important estate planning tools that can benefit adults of average incomes, including a trust. This allows a grantor to pass on or protect assets in a way that can be more effective than addressing the assets in a will.
A trust allows an adult to protect specific assets both during his or her lifetime and after death. It allows beneficiaries to avoid probate, and it can help someone accomplish a specific goal, such as charitable giving or providing long-term for an adult child with special needs. Estimates suggest that trusts are useful tools for anyone who has assets amounting to $160,000 or more.
It is also suggested that anyone who owns a home should have a trust. The terms of a trust are private, and they are some of the most comprehensive estate planning tools available to Louisiana adults. There are various different types of trusts, and the right type depends on the specific goals and objectives an individual has for assets, money and beneficiaries.
Trusts are not only for those who earn exceptionally high incomes. Adults of average incomes can benefit from estate planning and perhaps establishing a trust. When considering what is necessary for a complete estate plan, it may help to first seek an assessment of the individual estate. This step can provide insight into the steps necessary for complete protection and long-term security.