Can You Probate Trust Accounts?With so many questions that rise in the planning of your estate, you are looking to find all of the answers possible. It is likely that in the process of doing research into planning your estate you have come across the term probate trust. Yet, while this term is raised often what does it really mean? There are several ways to explain it, but let us try to make this as simple as possible to understand. In plain and simple terms, probate is the process of settling an estate. This means that any claims against the estate are resolved; all proceeds of the estate are divided up amongst the beneficiaries. This process typically involves a waiting period before assets are actually distributed. When you use a will, there is no way to avoid this probate period. However, if you use a living trust, you can avoid probate entirely. Probate trust is avoidable completely because the property in a trust is passed through to the beneficiaries immediately at death. With a living trust, there is no settlement of the estate. However, there is generally no estate that involves only a living trust. Most estates that have a living trust also involve a will as well to distribute the personal items that have been left by the deceased. While this probate occurs for items in the will, anything that is involved in the living trust is passed without waiting on the probate period. By reducing the assets involved in a will you greatly reduce the amount of time that probate will take. When you have carefully planned your estate to reduce the probate time and expenses as much as possible you and your beneficiaries will both experience fewer problems. Many trust accounts also offer great savings for tax purposes depending upon exactly how they are structured. With the large number of estate planning options available you are capable of finding the perfect solution to reduce the amount of time that your estate will sit waiting on probate to be completed. If you do not carefully plan your estate, your beneficiaries will discover that the amount of time for probate, as well as the probate trust fees are quite expensive. Fees associated with probate can be reduced if fewer assets are involved in the probate process. However, reducing the amount of the estate involved in probate will not eliminate the need for probate completely. If you use a good lawyer to help plan your estate, then it will be their job to help ensure that your estate is set up to transfer as smoothly as possible to your beneficiary. With a good lawyer, the time spent in probate will be reduced, while probate will not be a problem for you, it will be a problem for your beneficiaries who must wait on the probate process to be resolved before taking possession of your estate. Remember, one of the most effective ways to reduce the amount of time an estate is in probate is to reduce the amount of assets that are in your will. The more items you have transferred from your estate to a living trust the shorter the time probate will cost. Remember, probate does not apply to any form of trust account, which means that you are saving both time and money. Using a good experienced lawyer will also help reduce the problems that can be experienced with your estate upon your death. A good lawyer should be able to make the process as smooth as possible, both in setting up your estate, and in transferring it to the beneficiaries of your choice. |