When considering what should be included in an estate plan, Maryland adults may consider issues such as how to efficiently pass wealth on to loved ones. In some cases, a basic will is a simple and effective way to outline one’s preferences regarding what happens to property and assets. In others, it is more effective to leverage the benefits of a trust. This is a specific estate planning tool that can help protect wealth for a specific purpose.
What does it do?
It is possible to set up a trust so that one person is managing the assets. This is the trustee, and that person may act on behalf of another, such as a minor heir. The beneficiary is the individual who will benefit from the trust. There are several different types of trusts, and they can be set up in specific ways that will help one accomplish precise goals and individual objectives.
There are tax benefits to a trust, but this is not its primary benefit. A trust allows one to set aside and protect assets for a purpose, such as for the care of a special needs loved one, charitable giving and more. Depending on the type, placing assets in a trust does not necessarily mean one is relinquishing access to them.
The right tools for a specific plan
Maryland adults may benefit from including a trust in their estate plans. The best way to know if this is the right step is to seek a careful evaluation of the individual estate plan. An experienced attorney can help one know what tools will provide the most benefit for his or her specific goals.