Nevada residents need to be on top of their estate plan to better protect their assets and ensure a smooth transition for their beneficiaries. When it comes to estate planning for Nevada homeowners, there are many benefits of a living trust that you should be aware of.
If you want to better prepare for the management and distribution of your assets, you need to hire a Nevada estate planning attorney who can help you create a revocable living trust. At Morris Estate Planning Attorneys, our collective years of experience in estate planning have equipped us with the knowledge we need to help Nevada homeowners navigate estate planning. Keep reading to find out what the benefits of a revocable living trust are and what this type of trust does.
What is a Living Trust?
Whether you live in Henderson, Nevada or elsewhere, it is essential that you have some type of estate plan in place. One aspect of this usually involves creating a revocable living trust, which is especially important if you are a homeowner. For many people, their home is their most valuable asset, and you want to ensure it will be administered according to your wishes after you have passed away.
A revocable living trust is a commonly used legal document that allows you to transfer title of your assets into your trust and ultimately ensure a clear and efficient distribution of those assets after you have passed away.
There are two general types of trusts used by Nevada residents: revocable trusts and irrevocable trusts. A revocable trust is often known as a living trust or a family trust. Most people will benefit from having a revocable trust, which can be changed without restriction. Some people may also benefit from an irrevocable trust, which accomplishes specific objectives but generally is not as easily changed.
Before you begin creating a revocable living trust, it is a good idea to hire an estate planning attorney in Henderson, Nevada. An estate planning lawyer will understand the laws you need to follow so that your living trust is legally binding.
Advantages of a Revocable Living Trust
What are the benefits of a living trust for Nevada homeowners?
Avoiding Probate
One of the biggest benefits of having your home titled into a trust is that it will avoid probate after you die. Probate is a court-supervised process that many estates have to go through, but it can be time consuming and expensive compared to a trust. By having your home in your trust, it can be sold or distributed in an efficient and timely fashion after you die, without a probate court being involved.
Flexibility
A revocable living trust allows you to make changes to the trust during your lifetime. This means you can update the trust to address specific scenarios regarding your home. For example, if you want to allow someone to reside in your home after you die and not have it be sold right away, you can include language in your trust to accomplish this. You may also want to ensure that certain people do or do not inherit your home, or receive proceeds from the sale of the home after you die.
Increased Privacy
Another benefit is increased privacy. Probate administrations are public record after you die. Trust administrations are not. Having your home in your trust means that after you die, the management or sale of the home can take place privately. Also, for those who are concerned with privacy during their lifetime, it may be possible to own your home in your trust in a way that makes it less transparent on the public records.
Incapacity Planning
Estate planning goes beyond preparing for your death, as it can also help you prepare for situations where you may become incapacitated. For instance, if you are seriously injured or develop a health condition, a revocable living trust ensures there is somebody to oversee your affairs, including someone who can maintain your home if needed.
Reduced Tax Liability
If you have a larger estate that may result in estate taxes, your home will be part of that liability. Through a trust, you can leave your home and other assets in a way that minimizes estate tax liabilities.
Homestead Protection
The Nevada Homestead Act allows you to protect your residence up to $605K in equity. A Homestead can be filed even if you residence is owned in your trust. This can help protect your home in the event a creditor attempts to reach it.
Contact a Dependable Estate Planning Attorney at Morris Estate Planning Attorneys
There are many benefits of living trusts, especially if you are a homeowner and want to enjoy your assets for as long as possible. Taking the step of creating an estate plan with a revocable living trust is absolutely essential for better protecting your assets and ensuring a timely and cost-effective outcome for your beneficiaries.
At Morris Estate Planning Attorneys, our estate planning lawyers are dedicated to providing our Nevada clients with the help they need as they navigate estate planning as homeowners. Contact us today at 702-471-0990 to schedule a meeting with one of our attorneys.