How to Form a Revocable Trust
A revocable trust is a legal document that controls the disposition of your estate when you pass away. It differs from a will in that you do not need to take the trust through probate (where the court would oversee the distribution of your assets according to the document). Instead, when you die, the trust becomes effective, and your trustee must follow the instructions set forth in the document but does not have to go to court. A revocable trust is a trust that you can amend and revoke during your lifetime.
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Instructions
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1
Begin your trust by identifying yourself and declaring your intent to create a revocable trust. An example of an opener would be: "I, John Smith of Glendale County, Arizona, being of sound mind and understanding the nature of my property and assets, hereby create a revocable trust."
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2
List yourself as a trustee. While you are living, you can act as the trustee to your own trust. This will become important in step 7 when you transfer title of your property into the trust.
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3
Name a trustee and a backup trustee for when you pass away. The trustee will manage your estate according to the instructions in your trust document. A statement to the effect "I name Robert Smith of Glendale County, Arizona, as my trustee. In the event that Robert Smith is unwilling or unable to serve as my trustee, I name Edna Smith of Glendale County, Arizona" will suffice.
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4
List the duties and responsibilities of your trustee. In the third section of your trust document, set forth what you intend your trustee to do. For example, if you wish to distribute your estate to your beneficiaries in equal shares, explain this. If you wish to make distributions at certain times, list the times. To aid you in this section, look at a revocable trust form (see Resources).
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5
Name your beneficiaries. List who will inherit your property; these people are called your "beneficiaries." Typically, these include family and friends; a beneficiary could be a charity or an organization. This is your property; you decide who it goes to.
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6
Sign the trust and have it notarized. After you have prepared the trust document, sign and date it and have it signed by a public notary.
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7
Transfer title to property you wish to be included in your trust to yourself as the trustee of your trust. The document you completed in the above steps creates the trust; but, in order to be effective, your trust must have property in it. Whatever property you wish to pass through your trust, title that property in the trust's name and list yourself as the trustee.
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