Byrd Garrett PLLC| Trusts and Estate Planning: Determining If a Trust is Right For You
Your Last Will and Testament is the cornerstone of your estate plan; however, for most people, an estate plan does not stopthere. Various other estate planning tools are typically used inorder to create a comprehensive estate plan that covers all thevarious facets of estate planning.
More and more people are choosing to include a trust as one of thoseadditional components. While only a lengthy consultation with your estateplanning attorney can help you make the final decision, answering somebasic questions may help you decide if a trust is right for you and if so,which one works for your estate plan.
Decades ago, trusts were used primarily by wealthy families who weretrying to keep the family fortune in the family. Today, trusts have evolved tothe point where even the average individual can benefit from a trust.Whether a trust is intended to guard the family fortune, or simply providefor the family pet, all trusts operate on the same concept and require thesame four elements. At its simplest, a trust is a legal entity wherein you givefiduciary control over assets to a person or institution for the benefit of athird party. To create a trust, you need a trustor (the person who creates thetrust), a trustee (the person who manages the trust assets and administersthe trust), trust assets to fund the trust, and beneficiaries.