Greeley Trust Planning Lawyer

Experienced Greely Trusts Lawyer Providing Comprehensive and Custom-Tailored Estate Planning Services

Choosing the right type of trust is as important as creating one itself. There are so many pros you have to look at, and so many cons you have to bypass. It can be a very tiring process in its entirety. That’s where our experienced Greeley trust planning lawyer comes in. We have extensive experience helping clients create trusts to protect their assets and their loved ones, and we have been serving Greeley and the surrounding areas for years.

At Colorado Estate Planning Law Center, we have been assisting people with all of their trust planning needs for more than 20 years. We can help you determine which type of trust is best for you, and then we can guide you through the estate planning process.

As a full-service trust planning firm, our goal is to make this process as simple as possible for you. Call our office at (303) 653-9237 or contact us online to set up a free initial interview and learn how our Greeley trust planning lawyer can be of assistance to you and your family.

The Two Basic Types of Trust

When putting together an estate plan, a knowledgeable approach is key. If you are informed about your options, you will be able to make informed decisions with confidence. With this in mind, it’s essential to learn the details of each type of trust so you can determine which kind of trust would fit your particular needs.

1. Revocable Trust

Just like the name implies, a revocable trust is a flexible type of trust. Anything you transfer into a revocable trust can be easily amended or revoked while the grantor is still alive. The income earned from this revocable trust goes to the grantor while they are alive and can only be transferred to the beneficiary in case of the grantor’s death. The grantor can change their beneficiary, remove or add any of their assets, change instructions, or even totally terminate the trust.

However, it’s important to note that anything that was transferred into the trust is automatically rendered irrevocable upon the grantor’s death. It’s also important to keep in mind that a revocable trust does not protect you and your assets from lawsuits and creditors. Our team can provide the guidance you need to decide if a revocable trust is the right choice for protecting your wealth in the decades to come.

2. Irrevocable Trust

An irrevocable trust is quite different from a revocable trust in many ways. When you create an irrevocable trust, the terms of the trust cannot be modified or amended without the consent of the grantor’s chosen beneficiary.

Unlike the revocable trust, where the grantor is the only one who can make changes to the trust because they remain the sole owner until death, this is not the case for a revocable trust. If you transfer property into an irrevocable trust, for example, and later decide you wish to sell that property, it’s unlikely that you would be able to do this. However, in the case of a lawsuit, the assets you transferred into an irrevocable trust will be much more protected.

There are several different types of irrevocable trusts that can be used to protect different interests and achieve different goals. Our team can explain the intricacies of the various types of irrevocable trusts that are available, empowering you to make informed decisions based on your individual circumstances.

Which Trust Is Best for You? A Legal Professional at Our Law Firm Can Help

There are advantages and disadvantages to both types of trusts, so it depends on your needs. If you aren’t sure what kind of trust you should set up, an experienced Greeley trust planning attorney can help you understand your options. However, consider the following when you are trying to make this decision.

Some of the significant advantages of a revocable trust include its flexibility and the fact that you maintain control and ownership over the property or assets in the trust while you are alive. The major disadvantage is that it doesn’t act as an asset protection tool in the event of a lawsuit. Conversely, there is not much flexibility in irrevocable trusts, but they provide you with much more protection.

If you want more flexibility, and more wiggle room, then the revocable type will be best for you. It allows many chances for amendments and any other modifications you might want to make, unlike an irrevocable trust, where you can no longer make decisions concerning the assets alone. Crucially, both revocable and irrevocable trusts allow grantors’ family members to avoid probate—whether they are dealing with real estate, a business, or any other assets.

Frequently Asked Questions

What is the 5 by 5 rule in estate planning?

The 5 by 5 rule is an optional trust provision that allows a beneficiary to withdraw the greater of $5,000 or 5 percent of the trust’s value each year. It is not a legal requirement and does not apply automatically. It is a drafting choice that gives a beneficiary a predictable amount of access without handing over full control of the trust. An unused withdrawal right typically expires at the end of the year rather than accumulating. Whether it belongs in your trust depends on your goals, the size of the trust, and how much access you want a particular beneficiary to have.

What assets do not form part of an estate?

Not everything you own passes through your estate. Assets that transfer automatically at death, whether by contract, by how they are titled, or through a trust, generally bypass probate entirely. These include retirement accounts, life insurance, and annuities with a named beneficiary, payable on death and transfer on death accounts, real estate held in joint tenancy with right of survivorship, and assets properly titled in the name of a revocable living trust. Non-probate transfers follow whatever form was filled out, not your intentions, so reviewing them periodically is how you keep everything pointed in the same direction.

What is the best way to leave your assets to your children?

There is no single best way to leave assets to children. The right approach depends on their ages, their circumstances, and how much protection you want the inheritance to carry. Minor children cannot hold significant property directly, so a trust or custodianship is usually needed. For adult children, the choice between leaving assets outright or in trust depends on their situation. A trusted can protect an inheritance from divorce, creditors, or poor timing in a way an outright gift cannot. Choosing the right trustee is often the decision that matters most, since that person will be interpreting your intentions when you are no longer there to clarify them.

A Comprehensive Estate Plan May Include Several Other Documents as Well

When putting together an estate plan, it is important to ensure that you are taking a comprehensive approach. Along with deciding how your assets will be distributed, putting together a comprehensive estate plan will typically involve addressing a variety of other matters as well.

This means that it will also typically involve using a variety of other estate planning documents. Some examples of documents we commonly prepare (or review) for our clients include:

Working closely with an experienced Greeley trust planning lawyer will ensure that you have the opportunity to consider all of the options you have available. It will also help ensure that your family knows what to expect should you become incapacitated in the future and during the estate administration process. Planning ahead takes the burden off of your children and other loved ones, and it ensures that they will be aware of your wishes and intentions when the time comes.

Let a Greeley Trust Planning Lawyer at Our Law Firm Help You

If you aren’t sure what type of trust is best for you, consulting with an experienced trust planning attorney at our law firm is the first step in the process of making informed decisions. At Colorado Estate Planning Law Center, our Greeley estate planning attorneys can help you determine your goals and needs and help you set up the appropriate trust.

As a full-service trust planning firm, our goal is to make this process as simple as possible and provide peace of mind for the future. If you are ready to get started, call our office at (303) 653-9237 or contact us online to schedule a free initial interview.