Should You Set up a Revocable Living Trust?
Do you ever worry about how your beneficiaries will manage their portion of their inheritance when you pass away? One solution that allows you to still exert some control over your money–even after passing–is with a revocable living trust (RLT).
- A revocable living trust is a trust document created by an individual that can be changed over time.
- Revocable living trusts are used to avoid probate and to protect the privacy of the trust owner and beneficiaries of the trust as well as minimize estate taxes.
- Revocable trusts, however, have several limitations including the expense to have them written up, and they lack features of an irrevocable trust.