katrina
Well-known member
living trust. What does everyone think or know??
Lets talk
- Thread starter katrina
- Start date
All your assets go into a Living Trust. As long as you are alive, you have control over it. You make any changes as to the disposition of the assets. If/when something happens to you, everything is taken care of. It's in the trust. You have an executor of the trust and there are beneficiaries of the trust. Probably the only down side I've ever seen to a trust was with my Grandmother's Trust. The local Co-op would never release her patronage dividend account money after her death. There was more than $50,000 in the account. They said her having a trust was the same as if she wasn't dead. The Co-op was in financial trouble and they absorbed everyone's patronage accounts....imagine that
balestabber
Well-known member
a good lawyer and a living trust is very important.when advised by a doctor we should get things in order,then we understood :???: the sooner the better!!then its between you and the Lord.sometimes when a person has a heart attack or stroke or advised that they may have terminal illness---its to late.good luck
Doug Thorson
Well-known member
I am sure there is more than one way to set them up.
I know of a couple that I don't like how they were set up because the next generation had no incentive to continue to improve the place. If the place made money, they were paid a set wage and if it made more, it went back into the trust. So as long as the land made enough to cover their wages, they didn't care. If the year was looking bad, the fences would fall over before there was a post bought, because it was out of their personal pocket.
My personal opinion is that there is better ways to have the next generation take over. There are rules that can be followed to the letter, and still have the individual come out ahead if you are smart and creative. I still belive risk is what gets a person out and going every day.
If you want to hear more, PM me.
I know of a couple that I don't like how they were set up because the next generation had no incentive to continue to improve the place. If the place made money, they were paid a set wage and if it made more, it went back into the trust. So as long as the land made enough to cover their wages, they didn't care. If the year was looking bad, the fences would fall over before there was a post bought, because it was out of their personal pocket.
My personal opinion is that there is better ways to have the next generation take over. There are rules that can be followed to the letter, and still have the individual come out ahead if you are smart and creative. I still belive risk is what gets a person out and going every day.
If you want to hear more, PM me.
allen57
Well-known member
I have a copy of my Sisters trust setting on my desk since early January. It is about 150 - 175 pages long (8 1/2x11). The objective is for me to model mine after hers and have them flow together after our passing. I don't have children and likely won't ever have an heir to leave my stuff to other than her children. The basic idea is to protect assets from "gold diggers". Also, one of her sons is somewhat mentaly impared and can't function except on a day to day basis. He is 23 and functions on the level of a 13 or 14 yearold. He will need constant financial oversight probably the rest of his life. About the only way to provide for that type of care is through an ironclad trust.
I can say I fell into a sweet spot. My Grandparents, Mom and Dad, Aunts and Uncles, as well as myself, worked dillegently to aquire what I have today. Times and the way of people are different today than they were just a few decades ago. My parents were well at ease that my sister and I wouldn't squander their hard work. Sad to say that many of todays youth and much of today's society are unprepaired or unwilling to sacrafice in the present for the future. A trust is a way let you thump their heads from the grave.
Still haven't done anything on my end.....reading thru her trust, I find it quite complicated. I'm not sure I want to put such strangle hold on my nephew that has his head together. But I was pushing for her to get hers in order for several years, now I'm the one dragging..... I do have a Will but it does not take into consideration the mental health of the second nephew. So basically, it would "not be found" if something happened to me and everything would flow to my Sister. Not exactly what either of us need to happen. :lol:
I can say I fell into a sweet spot. My Grandparents, Mom and Dad, Aunts and Uncles, as well as myself, worked dillegently to aquire what I have today. Times and the way of people are different today than they were just a few decades ago. My parents were well at ease that my sister and I wouldn't squander their hard work. Sad to say that many of todays youth and much of today's society are unprepaired or unwilling to sacrafice in the present for the future. A trust is a way let you thump their heads from the grave.
Still haven't done anything on my end.....reading thru her trust, I find it quite complicated. I'm not sure I want to put such strangle hold on my nephew that has his head together. But I was pushing for her to get hers in order for several years, now I'm the one dragging..... I do have a Will but it does not take into consideration the mental health of the second nephew. So basically, it would "not be found" if something happened to me and everything would flow to my Sister. Not exactly what either of us need to happen. :lol:balestabber
Well-known member
i'm not very smart but have a good honest,reputable lawyer.i do know that my grandfathers trust was different.i have a family farm set up in a trust from my parents,its also different.my wife is very ill and i have had a stroke so the lawyer advised a LIVING trust ,which is also very different than the other two.i also think there are several ways to go .different strokes for different folks!security is something to think about for the future.its just my opinion folks,---talk'n
jeff in ca
Well-known member
Make sure your bank or financial institution recognizes a living trust. When my Dad past away 2 1/2 years ago our bank that where we had all our accounts didn't recognize the trust. I went from being able to sign checks and conduct business to having some assets frozen. Needless to say, we are not with that bank anymore. Death is a high drama event on a ranch.
balestabber
Well-known member
DejaVu said:All your assets go into a Living Trust. As long as you are alive, you have control over it. You make any changes as to the disposition of the assets. If/when something happens to you, everything is taken care of. It's in the trust. You have an executor of the trust and there are beneficiaries of the trust. Probably the only down side I've ever seen to a trust was with my Grandmother's Trust. The local Co-op would never release her patronage dividend account money after her death. There was more than $50,000 in the account. They said her having a trust was the same as if she wasn't dead. The Co-op was in financial trouble and they absorbed everyone's patronage accounts....imagine that
very well said,with divorce,bankruptcy,and forclosure in this economy,some lawyers won't touch this.all assets include all accounts.
my father has passed,his trust was not a "living trust" i think there is a difference.i know they can't touch any bad judgements from the past.can't share much more.but hope i have been helpful :wink:
marksmu
Active member
I am technically an attorney, though I do not practice in wills/trusts. I can tell you that a living trust does absolutely nothing if you do not transfer the assets to the trust.
If you just set it up but do not formally transfer the assets from your name into the trusts name( accounts, titles, deeds, etc) then it was all for nothing. If you spend the money to set up the trust, fund it.
I know a little more, but just enough to get myself into trouble, and make it worse for everyone reading.
If you just set it up but do not formally transfer the assets from your name into the trusts name( accounts, titles, deeds, etc) then it was all for nothing. If you spend the money to set up the trust, fund it.
I know a little more, but just enough to get myself into trouble, and make it worse for everyone reading.
katrina
Well-known member
marksmu said:
Great feddback everyone....... I think this is something we all need to know very well.... mark, you might as well spill the beans or let the cat out of the bag sooo's to speak..... We're all pretty level haeded and can sort out the bs.....
except for muddy, cal, burnt, h, sandy, tam, fh, ot,buckaroo, doug,tap, did I leave anyone else out???? Oh soap..... he's really a stinker! LOL...
marksmu
Active member
I can answer a few specific questions if people wanted to PM me...but I really do not practice in that area, and my knowledge is limited to my direct dealings with my own will, my grandfathers trust, and law school.
I could tell you whatever you wanted to know about employment law, or contracts, but the entire family law arena is complicated, constantly changing, and varies from state to state.....and I don't have a clue about anything legally in Canada.
I could tell you whatever you wanted to know about employment law, or contracts, but the entire family law arena is complicated, constantly changing, and varies from state to state.....and I don't have a clue about anything legally in Canada.
katrina said:
The best thing you can do katrina is go visit with an estate planning/probate attorney in your area. What you say is a living trust, may not be what others on here are thinking is a living trust.
States differ on what the requirements are, what they do, how they protect your assets and what you are able to do and not within the perimeters of it. The IRS regs should also be checked when forming a trust.
There are also different types of living trusts...revocable and irrevocable. Someone posted here that you set it up and are in charge of it, it takes care of things when you are gone....and so on. Part of that statement is NOT true, depending on the type of trust you may set up.
Depending on what your motivation is behind establishing one and your total asset picture, an attorney in your area/state is the best person to consult with regarding what will work best for you.
Trusts are great things under the right circumstances. Not so great in others. I have seen the elderly get swindled by some "probate" companies that come and visit them and get them to pay for a living trust to be set up. These people have so little, but yet these companies convince them they should set this trust up. When I say these people have very little, I mean they live on social security and have nothing more than a couple thousand dollars in their savings accounts. Yet these companies set this thing up, charge them $2,500-$3,000 to do it and they didn't need it.
So be wise when going into this. Like I said, there are advantages to them and disadvantages to them. Depending on your individual circumstance, it may be advisable to have one created and transfer assets to it.... But you won't know unless you go to an estate planning/probate attorney in your State.
One other note -- most living trusts have a companion "pour over will" to it so that if you acquire assets after forming the trust and forget to put it in the trust, the pour over will does it when you pass.
Food for thought. I hope you find very good guidance from a knowledgeable attorney in your area.