Do I need a trust? - Do I need a living trust?
Do I need a living trust? Most people often wonder if they need a living trust. Do you own your own home? If yes, then you need a living trust. Even if you don’t own your own home, if your probate estate exceeds $50,000, then the costs of the family trust will generally be lower than the probate costs your family would pay if you die without a living trust.
Probate fees start at 4% for the first $100,000 of your probate estate. Probate fees on a $50,000 probate estate would be $2,000 plus the $500 court filing fee is $2,500 which is roughly the same as what most entry-level family trusts costs.
And whoever acts as your probate executor, they are also entitled to the same probate fee. So this would make the probate fees for a $50,000 estate be DOUBLE the cost of an entry level living trust package.
And a living trust covers much more than just probate. A proper family trust with a complete estate plan, also deals with -what happens when you get in an accident and go into a coma? What do you the doctors to do if you are in the hospital? Who will take care of your kids, if you cannot? Who will take care of you if you get Alzheimer’s or dementia? If you die, will your spouse give all your money to the new spouse? Will your children lose their inheritance if your spouse remarries? How fast can your 18 year old spend a million dollars? All of these problems can be avoided with a living trust and proper estate planning package. Call for your estate planning strategy session today – 800-501-9620.