Another Way to Protect Your Family
Another Way to Protect Your Family
Financial security means safety for your loved ones. That’s one of the reasons most people investigate their life insurance options and draft a Last Will and Testament. You want to ensure that your property is passed on to the right people, in the event that something happens to you.
However, signing those beneficiary forms is no guarantee that your assets will be distributed quickly and correctly after your death. Much of your estate will be required to pass through probate court, a lengthy process that can take nine months at minimum, and several years in some cases.
Consider some of the high-profile cases that tend to pop up in the news every few years. We’ve all seen firsthand how disputes over inheritances can be dragged out in court for years. It’s unlikely anything that dramatic would happen within your family, but you never know. Even if the process goes smoothly, probate court can delay the grieving process and cost your loved ones considerable attorney fees.
On top of that, there’s one more problem with probate court. Everything concerning your estate will become a matter of public record. Unfortunately, this means the privacy of your heirs is compromised.
One good way to avoid these problems is to establish a trust. Since everything within a trust passes directly to heirs upon your death, you can bypass the probate court system and protect your loved ones from that turmoil.
Many different types of trusts exist, offering different benefits and possible drawbacks. Consulting with your financial team can help you to sort through your options and establish an estate plan that works for your situation. Give us a call, and we’ll help you decide if a trust should become a part of your financial plan.