In keeping with our mortality vibe we just created a trust

[Andy B]

Why do you/she need a trust/trustee? Are you a zillionaire? If she is of sound mind you can just will everything to her. Also make sure you enter her name as the heir to all your accounts at each bank or investment firm. And for Real Estate have your daughter named on the deed. In most states the deed should say “Mr and Mrs X, and daughter X, with full rights to survivor-ship”.

Deadbeat husband who my wife and I refuse to support. It is heartbreaking to watch. His mommy supported him for better than thirty years. My daughter was picked and groomed to be mommy’s successor. The wedding was hidden from us. Guess who were the witnesses! Our daughter has been in collusion with all of it. Repeatedly lying to us.
If we can set up a reliable trust, we can control what happens to our estate. Most likely what remains of the bulk of our assets will go to charity.

 

[Supertwang]

I cannot state more emphatically than to say a professionally written and legally binding trust is essential. No matter what, family inheritance or contributions to a good cause, avoid probate at all costs. Your well earned money, regardless of the total value, deserves your decisions and no one else’s period.

I think what you are calling a “trust” I would call a “will”. I’m not a lawyer but I just went thru two family estates as executor and co-executor. And, I was with my mom when she was alive at the CPA, and Atty, and financial advisor. She was advised against a trust for her estate. Her estate was simple, just a house and a +$1M financial portfolio with 3 adult children and 2 adult grandchildren as heirs.
An actual “trust” requires a “trustee” and there is usually an annual “trustee fee” of something like $2K-$10K, depending on the details of the trust. Also, an actual “trust” gets taxed differently and at my mom’s estate size the tax would have been considerably higher. So my mom was advised against a “trust”. She had a recent will, all of her accounts had heirs listed, and an “advanced directive” was in place. Her estate did have to go through probate because her estate was over the max $$ allowed to not go through probate. She had her i’s dotted and her t’s crossed but did not have an actual “trust”.
It’s a pretty common misunderstanding for people to call a “will” a “trust”.

 

[Supertwang]

Deadbeat husband who my wife and I refuse to support. It is heartbreaking to watch. His mommy supported him for better than thirty years. My daughter was picked and groomed to be mommy’s successor. The wedding was hidden from us. Guess who were the witnesses! Our daughter has been in collusion with all of it. Repeatedly lying to us.
If we can set up a reliable trust, we can control what happens to our estate. Most likely what remains of the bulk of our assets will go to charity.

See post #22. Every estate needs a “will”. Some estates need a “trust” but not many. I’m not a lawyer. Not legal advice. Just my experience

 

[kuch]

A couple of years ago, before having major surgery, I had a will drawn up with a POA, living will, and all that other stuff. I gave copies to my wife and children. Eventually, I'll set up a trust.

 

[Jasonpatrick]

So our kids can avoid probate when we’re gone. I hope it goes smoothly for them.

We may have signed more documents than at a real estate closing.

My parents did that with me.

 

[Powdog]

I have a will and a living will and POA for my wife so she can pull my plug.
The only assets I'd leave behind are my IRAs and the house, which go straight to her.
Guitars I figure my sons would divvy up and sell off, which is why I'm thinning my herd. Ditto the firearms, although there may be more paperwork involved there.

So would you say I still need a trust?

Yea. What if you both go in the same car crash? Wrap up everything in an irrevocable trust and your son gets it all.

 

[Jasonpatrick]

I think what you are calling a “trust” I would call a “will”. I’m not a lawyer but I just went thru two family estates as executor and co-executor. And, I was with my mom when she was alive at the CPA, and Atty, and financial advisor. She was advised against a trust for her estate. Her estate was simple, just a house and a +$1M financial portfolio with 3 adult children and 2 adult grandchildren as heirs.
An actual “trust” requires a “trustee” and there is usually an annual “trustee fee” of something like $2K-$10K, depending on the details of the trust. Also, an actual “trust” gets taxed differently and at my mom’s estate size the tax would have been considerably higher. So my mom was advised against a “trust”. She had a recent will, all of her accounts had heirs listed, and an “advanced directive” was in place. Her estate did have to go through probate because her estate was over the max $$ allowed to not go through probate. She had her i’s dotted and her t’s crossed but did not have an actual “trust”.
It’s a pretty common misunderstanding for people to call a “will” a “trust”.

Interesting that the tax would be higher? Kinda one of the points of a trust is the lower tax part. Im the trustee for my parents so I just went through the ins and outs. Not much different than what you described about your mom. They did it so I wouldn’t have to deal with probate and taxes. Fathers a CPA as well.

 

[arlum]

When you have more years behind you than in front of you it makes sense.

Since I'm approaching the halfway point I should probably look into this.

 

[Andy B]

See post #22. Every estate needs a “will”. Some estates need a “trust” but not many. I’m not a lawyer. Not legal advice. Just my experience

We have a will. Did all the right stuff. Things are different now. Daughter can no longer be trusted to care for either one of us. This is why we need to get a trust set up.

 

[----RIP----]

Since I'm approaching the halfway point I should probably look into this.

You're going to live past 140?! Me too!

 

[Supertwang]

Interesting that the tax would be higher? Kinda one of the points of a trust is the lower tax part. Im the trustee for my parents so I just went through the ins and outs. Not much different than what you described about your mom. They did it so I wouldn’t have to deal with probate and taxes. Fathers a CPA as well.

I know there are state differences. For example, in Indiana, all estates valued above a certain $$ value go through probate no matter what. The max estate value level allowed to escape probate in Indiana was something like $100K,…I can’t remember exact amount as we were well above the value so it didn’t pertain to my mom’s estate

 

[Supertwang]

Interesting that the tax would be higher? Kinda one of the points of a trust is the lower tax part. Im the trustee for my parents so I just went through the ins and outs. Not much different than what you described about your mom. They did it so I wouldn’t have to deal with probate and taxes. Fathers a CPA as well.

You were probably named as “trustee” and “entrusted” to financially take care of a surviving elderly spouse when and for the other spouse upon their passing. Quite a different scenario than my mom’s estate. My mom was passing her estate to 5 healthy adults,…non being elderly or “incapacitated”

 

[imwjl]

So our kids can avoid probate when we’re gone. I hope it goes smoothly for them.

We may have signed more documents than at a real estate closing.

Something I pointed out to associates who should do this was liking how our attorney requires bringing your laptops and not letting anyone out until in addition to all the signing, you log in and address all of your accounts being set up correctly such as contacts, access and beneficiaries. Also actually going through everything for a final check.

That avoids what occurred when my father in law passed away and there was a mistake that cost time, money and grief.

Trusts can be very good things when they're well put together.

I'd replace "can" with "are". You avoid probate costs, possibility of some matters argued or contested, save time and make things much easier.

When you have more years behind you than in front of you it makes sense.

I'll disagree in this sense. In part from the baggage of losing a parent young there was a lesson but stuff can occur at any time. Matters are just set. We first created a revocable trust decades before my being at retirement age and it made plans and changes later easier and cheaper. Tragedies do occur and it makes things settled. It is also an opportunity to cement other matters.

@Jim D aka JDR pretty much said it!

Go get it done everyone. Shop for an attorney who specializes in family law. Compare how they bill and do it.

 

[Jasonpatrick]

You were probably named as “trustee” and “entrusted” to financially take care of a surviving elderly spouse when and for the other spouse upon their passing. Quite a different scenario than my mom’s estate. My mom was passing her estate to 5 healthy adults,…non being elderly or “incapacitated”

Nope. Not that kind of trustee. That’s already figured out. This was all done so there is no costs after the fact and no probate bs. They croak, everything transfers to me and I dictate what goes where.

 

[Supertwang]

Nope. Not that kind of trustee. That’s already figured out. This was all done so there is no costs after the fact and no probate bs. They croak, everything transfers to me and I dictate what goes where.

I'm not familiar with Oregon estate law so I'd have to defer to everyone more familiar with your local state laws,...or whichever state the estate will be located in. I've been involved in 4 estates, all in Indiana. I was an heir in all 4 estates, an "Executor" in 1 of those estates, and a co-executor in 1 of those estates. 3 of 4 estates were pre-arranged to the max yet all 4 estates went through a "probate" court process. In Indiana, where I live, an estate with a surviving spouse of the deceased is about the only time a "probate-less" estate is OK. Another exception, is when someone dies that's not leaving much to heirs.

 

[stephent2]

So our kids can avoid probate when we’re gone. I hope it goes smoothly for them.

We may have signed more documents than at a real estate closing.

A living trust is the way to go, congrats. Assign an executor carefully. My Dad was a proponent of the trust and when he passed it was fairly easy to deal with his estate.

 

[sax4blues]

In addition to recommendations for legal preparedness. I am working to get rid of stuff, including treasured music gear. I know many friends who were stuck disposing of households full of their parents stuff, sometimes needing a year of weekend work to get the inherited house ready to sell. I believe this is an unnecessary and borderline selfish situation by parents
One friend has 50+ guitars and believes it’s a gift his kids will be able to sell. To me that’s a burden not a gift

 

[Mjark]

In addition to recommendations for legal preparedness. I am working to get rid of stuff, including treasured music gear. I know many friends who were stuck disposing of households full of their parents stuff, sometimes needing a year of weekend work to get the inherited house ready to sell. I believe this is an unnecessary and borderline selfish situation by parents
One friend has 50+ guitars and believes it’s a gift his kids will be able to sell. To me that’s a burden not a gift

My parents got a rid of a lot stuff from their big home when they went to the senior living community. They had a dumpster in their driveway. My brothers and I took some things they didn't have room for but a lot went in the dumpster. I'll have 30 days to clear out his unit after he passes. Then after they rehab it his buy in comes back to his estate less flat fee they charge.

We need to get rid of more stuff here.