What is a revocable trust and who should consider using one?
Eden Prairie, MN Estate Planning Attorney Karen Schlotthauer talks about what a revocable trust is.
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Phone: (952) 995-9500
Okay, revocable trust let’s first think about what’s a trust. A trust is like a bucket and at some point, assets might be held in the bucket or they flow into the bucket, let’s say after death.
Revocable trusts are a bucket that the client creates during their lifetime and it provides one avenue of achieving their estate planning goals because they could also do it through a will-based plan. But at any rate, when you do a revocable trust you’re in complete control of it, you’re not locked in, it’s not set in stone you can amend it, revoke it, whatever you need to do.
But a revocable trust is a good planning tool for incapacity planning, managing assets, and all the reason why you’d want to avoid probate your answer can be utilizing a revocable trust. So it would be you want to keep things private, you own real estate in more than one state, you have special beneficiaries where you don’t want it to be public where people know about a chemical dependency issue or a mental health issue. So revocable trusts are very common and really, a great planning tool.