Whenever someone has specific ideas or plans for a certain amount of money after their passing, they may have a number of options. One viable option that ensures funds are given precisely to the intended beneficiary is the creation of a trust. However, creating a Nevada trust and planning for trust administration may not be a one-time event.
There are two types of trusts, revocable and irrevocable. A revocable trust can be altered or changed at any time. However, an irrevocable trust — as a general rule — cannot be changed by anyone. If there is a revocable trust as part of an estate planning package, it is recommended that it be updated or reviewed every few years.
There are many reasons to review a trust and reconsider who may be in charge of trust administration. One reason may be to increase the amount given to a beneficiary. Another reason is if there is an issue with the trustee, such as getting into legal trouble or becoming someone of questionable character who may no longer be trusted to follow through with the duties that come along with being trustee.
A trust is an easy and generally uncomplicated way of leaving direct funds to specific family members without the hassle, time or expense needed for probate. As with any part of the estate planning process, the creation of a trust and trust administration should be accomplished with an understanding of the laws pertaining to trusts. Nevada residents can decide between an irrevocable trust and a revocable trust,based on their unique needs and wishes for beneficiaries. Seeking professional assistance is often the best place to start.
Source: timesdispatch.com, “Estate planning: A checklist for reviewing your trust”, Pamela Yip, May 11, 2014