Take a look at all your ongoing responsibilities that involve managing money. You probably make investment decisions, write checks for loan payments, insurance premiums, property taxes, and other expenses, file tax returns, and handle many other obligations.

As long as you want and are able to take care of all these responsibilities yourself, there's no problem. But what will happen if you become seriously ill or too busy pursuing other interests to devote so much time and effort to your finances? Problems could develop if you rely on an inexperienced spouse or other family member to fill in for you. And the problems may not become apparent until it is too late to remedy them.

It is a much better idea to take prudent steps now to protect your finances from possible future problems. You might do this in a fragmented way by making separate arrangements for an investment manager, accountant, property manager, etc., to substitute for you should the need arise. But you can be best protected if you ensure unbiased professional management for all your financial affairs by setting up a Revocable Living Trust.

A Custom Arrangement

Once you legally establish a Revocable Living Trust, the trustee can immediately take over as much of the responsibility for your finances as you desire, or stand by to help as needed during your lifetime. The responsibilities you give the trustee are very flexible. You can have the trustee manage only your investment portfolio, or also take care of paying taxes, insurance, and other obligations, as you instruct in your trust document. Beyond protection during your lifetime, a Revocable Living Trust is also a very advantageous strategy for transferring assets after your death.

Assured Asset Management

A Revocable Living Trust can reliably provide management of your investment assets regardless of your physical or mental health. If you select a professional trustee with experience and skills in managing investments, you can be assured the trustee will be there for you -- continuously or whenever help may be needed in the future. And the trustee's involvement may make a cumbersome court-supervised guardianship unnecessary, under any health circumstances.

Stay in Overall Control

A Revocable Living Trust also lets you keep your options open. You are completely free at any time, for any reason, to revoke the trust, add or withdraw assets, change the trustee's responsibilities, or change beneficiaries. (Of course, this wouldn't be allowed if you were to become mentally incapacitated.)

Estate Benefits

A Revocable Living Trust can make asset transfers after your death easier and faster. You can arrange for your trustee to distribute the trust assets privately and without delay to your family or other beneficiaries exactly as you have specified. Alternatively, the trust can be designed to continue so that the trustee will manage the trust assets for the benefit of your surviving spouse, children, or other heirs.

A Revocable Living Trust can serve as an effective substitute for a Will if you use it to distribute assets to your survivors, or if you continue the trust irrevocably for your family. Assets held in a Revocable Living Trust pass outside of your Will, avoiding the expense and possible delays of probate court proceedings. Also, the trust may reduce the possibility of a successful (and public) challenge to your Will.

But please do not think a Revocable Living Trust can be a complete substitute for a Will. Putting all your property in trust is difficult. You still need a Will to transfer your personal possessions and any other non-trust assets, and put into effect a number of tax-saving strategies.

Let Us Help

Do you want to find out more about the financial protection you can obtain for yourself and your family by establishing a Revocable Living Trust? Please call us. We would be happy to discuss your needs.

A Trustee's Responsibilities
- Make investment decisions
- Collect trust income
- Distribute or reinvest income as directed
- Pay bills and other financial obligations as necessary
- Maintain complete records
- Prepare trust tax returns
- Hold trust assets in custody