About Revocable Trusts
There are many types of “Trusts” available to New York State residents; some are “Revocable” and others are “Irrevocable”. The person creating the Trust is the Grantor, while the person who controls and manages the Trust assets is the Trustee. For Revocable Trusts, the Grantor is often the initial Trustee or Co-Trustee (maintains control over the Trust).
Revocable Trusts, by their nature, can be amended or revoked at any time by the Grantor (unless the Grantor chooses to specify that the terms of the Trust may not be amended if he or she becomes incapacitated).
Revocable Trusts have three primary, beneficial purposes:
- To avoid “Probate”, which is a process by which Wills are subject to scrutiny by Surrogate’s Courts at the county level.
- To offer your heirs “asset protection” from creditors and others seeking money from them. Greater asset protection can be created for assets transferred through a Trust than for assets passing under a Will.
- To provide a mechanism for assets to be managed in the event of the Grantor’s disability and also provide the Successor Trustee with nearly seamless authority and control over the assets after the death of the Grantor.
NOTE: The “asset protection” benefits of a Revocable Trust refer to your Trust beneficiaries gaining asset protection from their creditors. A Revocable Trust does not provide asset protection for the person creating the Trust. Asset protection for the person creating the Trust requires an Irrevocable Trust, described here.
The Witecki Law Office provides the following estate planning services: Wills and Trusts, Asset Protection, Medicaid Planning, Elder Law, Powers of Attorney, Probate and Administration, Guardianships, and Health Care Proxies.
