How to Prepare a Living Trust Form
A living trust, known legally as an inter vivos trust or "in between living" trust, is a legal document that acknowledges the beneficiaries of a person's estate and other related property. Assigning beneficiaries during your lifetime can eliminate legal and familial chaos associated with the distribution of property and the liquidation of assets upon death. According to the founders of The Living Trust Kit, "Generations ago, the probate system was conceived as one orderly way of transferring the property of a deceased person to his or her heirs. It was designed to protect the heirs. Today it has become an ugly, legal nightmare, bilking widows and orphans out of their inheritance." You can safeguard your assests with a living trust.
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Instructions
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Options for Creating a Living Trust
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Purchase a Living Trust Kit. Complete the step-by-step instructions included in the kit. Otherwise, follow a series of steps to create a living trust on your own.
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Assess and list all assets, both liquidated and non-liquidated. The list should include, among other things, real estate, stocks, bonds, mutual funds, savings, insurance policies, jewelry, car, furniture and royalty rights.
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List all desired beneficiaries to assume trust property and assets upon death. A beneficiary can be a family member (offspring, spouse, parent, sibling) or non-family member, such as a caretaker or friend or even a nonprofit organization and charity (church, synagogue or temple, for example).
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Identify and name a trustee and successor. The trustee creates and manage the trust, thereby having complete control. Upon the death of the original or creating trustee, the successor assumes the role of trustee. He manage debts of the estate and distributes fund assets of the trust to the designated beneficiaries of the deceased accordingly.
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Contact an attorney or consult with a legal aid service to finalize the process. This may require notarization or certain filings. Verbally express to the attorney your wishes as documented in the form, and an attorney can help legally articulate on your behalf. Modification of the trust is at the original trustee's discretion.
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Tips & Warnings
Visit the Estate Plan Center website or the Legal Zoom website for additional tips.
References
Resources
- Photo Credit signing a contract image by William Berry from Fotolia.com
