There are multiple ways to transfer property between parties. While many of the traditional methods, such as wills, work in many situations, they still have their limitations. Selecting the right way to transfer property can ensure the smoothest transition as well as limit tax liabilities or protect your savings from long term care expenses.
In many situations, a trust is the most attractive option. This can allow for the transferal of property at any time, while protecting it from the nursing home. In addition, some trusts can take property out of an owner’s hands to relieve certain tax strains and even help that party qualify for certain government benefits.
A Cranberry Township trusts lawyer could help you to determine if creating this type of document is the right choice. Our estate planning attorneys could review your case and determine how to draft a trust that best meets your goals.
Making the right choice on how to transfer property to another party requires an in-depth examination of one’s needs and how the transfer will impact one’s beneficiaries. In most situations, moving property through a trust will bring significant benefits.
A trust may serve as a substitute for a traditional will. A difference is that trusts do not require probate upon your death. This can ensure a more efficient movement of property.
There are two types of trusts—revocable and irrevocable. Revocable trusts are used to avoid probate and shift control in an easy fashion. Irrevocable trusts can be used to protect assets from a nursing home or accomplish tax objectives. In short, trusts are a flexible and useful way to move property according to one’s desires. A Cranberry Township lawyer could provide more information about the potential uses of trusts.
Trusts are legal documents that must stand up to judicial scrutiny. As a result, it is essential to draft these documents in a way that conforms to the legal standard. According to Pennsylvania Consolidated Statute § 20-7731, a party may create a trust by creating a written instrument demonstrating the intent to do so. Alternatively, a party may create a trust by stating in writing that they hold property in the capacity of a trustee.
The role of the trustee is another essential part of the creation of a trust. The trustee has the sole legal authority to hold the property until the time comes to distribute those assets to the beneficiary. While the trustee holds the assets, they have a duty to maintain them and pay applicable taxes. Trustees who fail in this duty may be personally liable for any resulting damage. A Cranberry Township attorney could help explain the processes behind creating a trust and guide individuals through the necessary steps.
Choosing the correct way to move assets from your ownership to another is a vital part of estate planning. For many people, this plan may include the creation of a trust.
A Cranberry Township trusts lawyer could answer your questions concerning these documents. If this option is right for you, a member of our legal team could take the lead in drafting documents that contain the required information as well as leave no doubt as to your intent. Contact our attorneys today to discuss your estate planning needs.
