While you will certainly need a will as your basic estate planning tool, you may also choose to use a revocable trust. There are several different reasons why revocable trusts can be seen as advantageous when compared with wills.
A revocable trust that has been funded may allow you to list out of state trust companies or unrelated out of state individuals to serve as the primary property administrator when you pass away. Unfortunately, without a trust some jurisdictions would otherwise limit your flexibility in this regard.
Asset Availability at Death
When the grantor passes away, assets placed inside a revocable trust can be used immediately to pay for administration expenses, debts and estate taxes without having to wait for additional probate processes.
No Investment Management Interruption
One of the biggest benefits of using a revocable trust is that you could provide uninterrupted investment management if the grantor were to become disabled as well as after the grantor passes away.
Continued Management During a Period of Disability
One of the best ways to ensure that your property is still available for your own benefit if you become mentally or physically unable to handle your own affairs is by using a revocable trust. A third party like a transfer agent, broker or a bank may have challenges in continuing your management even when a durable power of attorney has been signed. This process is made easier with a revocable living trust.
Contact a New Jersey estate planning attorney today to learn more about revocable trusts.