Finding the best way to distribute and protect estate assets after one’s passing can be difficult. With so many estate planning choices available, many Arkansas residents may not know which best suit their circumstances. In many cases, individuals, their estates and their loved ones can benefit from trusts, but which kind?
The answer to the question depends on the unique details of the trustmaker and the estate. In many cases, irrevocable trusts can offer various protection benefits, but several types of irrevocable trusts exist. For example, some individuals may want to take advantage of an irrevocable life insurance trust. This trust would allow the payout of a life insurance policy to pass into the trust rather than going directly to the beneficiary. In turn, the trust could protect those funds from resulting in increased estate taxes.
Irrevocable charitable trusts are also worth considering for individuals who want to donate assets after their passing. With a charitable lead trust, the trustmaker can choose the charitable organization to which he or she wants to donate, fund the trust with the intended assets, and allow other assets to pass to other intended beneficiaries. However, different types of charitable trusts exist as well.
Making decisions about the best way to handle estate assets can be tricky. It is not unusual for individuals to feel overwhelmed about the choices and worry about making the wrong decisions. Fortunately, knowledgeable attorneys can help interested Arkansas residents find the right trusts for their estates and go over other planning options to help them ensure their wishes are carried out as intended.