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Trust Basics: Is a Trust Right for Your Estate Plan?

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Trust Basics: Is a Trust Right for Your Estate Plan? Powered By Docstoc
					          TRUST BASICS
Is a Trust Right for Your Estate Plan?
Creating an Estate Plan
Over half of all Americans
do not have an estate plan
   LACK OF KNOWLEDGE
   is a common reason why
people have yet to create a plan
 Understanding more about estate
planning may encourage you to start
         your estate plan
What Is a Trust?
A separate legal entity
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                        Beneficiaries
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            A trustee
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 A beneficiary may be a person, an
organization, a charity, or even a pet
Assets may be cash, stocks, property,
  or almost anything else of value
Why Include a Trust?
1   Probate avoidance
    A properly constructed trust
 allows the assets held in the trust
    to avoid the probate process,
making them immediately available
           to beneficiaries
2   Tax Advantages
A trust can help decrease your taxable
   estate at the time of your death,
 thereby lowering the amount of gift
and estate taxes due from your estate
3   Continued Control
 A trust allows the grantor to create
    trust terms that will, in effect,
allow a certain amount of continued
  control over the use of the assets
          by the beneficiaries
4   Staggering Inheritance
A large inheritance left to a young,
 or financially naïve beneficiary,
      can be a huge mistake
A trust allows you to stagger the gift
  over many years, decreasing the
   likelihood that the gift will be
             squandered
5   Guarding Assets for Minors
Gifts cannot be left to minors
             CREATING A TRUST
         is an excellent way to
  guard the gift and grow the funds
 until the intended beneficiary is old
enough to legally benefit from the gift
Types of Trust
 Assets transferred into an irrevocable trust
cannot be removed once transferred and are
   legally no longer owned by the grantor
Specialized Trusts
  Trusts were once used primarily by
wealthy families to pass the family wealth
    down to succeeding generations
Now, even the average estate planner
 can make use of one of the many
         specialized trusts
1   Asset Protection Trust
1   Asset Protection Trust
2   Special Needs Trust
4   Charitable Trust
5   Pet Trust
5   Pet Trust
6   Generation Skipping Trust
6   Generation Skipping Trust
Learn More About Trusts
   in Portland Oregon
Learn More About Trusts
   in Portland Oregon

				
DOCUMENT INFO
Description: A look at trusts in Portland Oregon and its importance to your estate plan.