Planning where your assets will go after you pass can be a daunting process. It is always better to have safeguards in place before you need them. An Arlington TX estate planning attorney can help plan your estate by either helping you with a last will and testament or to walk you through other estate planning options, like a living trust. The differences between a last will and testament and living trust may not seem big, however, choosing one over the other can save you both time and money. If you choose not to create an estate plan, your family may be subject to confusing intestate succession laws in Texas.
A living trust is a legal relationship where a person or an Arlington TX estate planning attorney, called the trustee, holds and manages the assets. The goal of a living trust in Texas is to hold and manage your assets while you are alive. Your living trust in Texas can either be revocable or irrevocable. A revocable trust in Texas can be modified after it is created by you and your Arlington estate planning attorney, whereas an irrevocable trust in Texas cannot be modified by you and your Arlington estate planning attorney after it is created. However, both types of living trusts in Texas have to be notarized to become official. Most people name themselves as the trustee, but you also must name a successor for your living trust in Texas, who would take over in the case of your death.
A living trust in Texas is a good option because it does not have to go through probate court in Texas, which will take time and money. Your estate planning attorney in Tarrant County can explain this to you but taking it court can also make your private affairs public. If you were to get a Texas will, this would have to go through Texas probate court, making your private affairs public. A living trust in Texas also will protect you if you become mentally incapacitated from something like Alzheimer’s or any other accident. Having a Texas living trust will protect you and your assets because all your assets are already managed by your estate planning attorney in Arlington. Your trusted Arlington TX estate planning attorney can help you ensure that all of your assets will be taken care of by helping you designate certain instructions at the time of creation.
This will also ensure that if you need long term care, your Arlington estate planning attorney will set up your living trust to help pay for this. Long term care is becoming more expensive and there are different expenses that it is easy to not think about, but your Arlington estate planning attorney is familiar with everything you should consider when creating your Texas living trust.
A living trust requires assets. It isn’t funded until you put your assets inside of the trust. These assets could be properties, business, cars, paintings, dogs, cats, livestock, or really, anything else that is important and valuable to you. An Arlington TX estate planning attorney can discuss those items and decide what should go into your living trust. A will may be a better option for you if you have limited assets or your assets pass outside of probate – meaning, in part, they are contractual in nature – like life insurance or a 401(k).
Your last will and testament in Texas is different because it only goes into effect after you have passed. A last will and testament in Texas allows you to do four important things:
- Leave your property or organizations to certain people after your death
- Name a personal guardian to care for your minor child
- Name a trusted person to manage your property that you leave to your minor child
- And, name an executor, who can be your estate planning attorney in Arlington, who is the person who makes sure that the terms of your will are carried out.
A last will and testament in Texas can be drawn up by your estate planning attorney in Arlington. Our Arlington TX estate planning attorneys offer just the will paper work for a last will and testament in Texas, or we offer a will package that includes a financial power of attorney, medical power of attorney forms, and other forms that will ensure that your assets will be in good hands after your passing.
Another big difference between a last will and testament in Texas and a living trust in Texas is that a will has to go through Texas probate court to ensure there are no outstanding debts. This, again, could take months and delay your loved ones from getting them what you left. Also, once it goes through Texas probate court, all the information from your will in Texas becomes public. Because a Texas will has to go through Texas probate court, it might be more beneficial for you to have a Texas living trust, especially if you value privacy when it comes to this matter.
Determining which option for your estate planning can ultimately be a conversation for you and your Arlington TX estate planning attorney. Many people with a larger estate tend to lean toward a revocable living trust in Texas, but it all depends on what you and your estate planning attorney discuss is best for you and your situation.
In order to set up your living trust or your last will and testament, you should consult an Arlington TX estate planning attorney. Prior to scheduling a meeting with an estate planning attorney, take inventory of all your assets and anything of value or significance to you or your family. Talk to those people closest to you. Do you know who you will name as beneficiaries? Does someone else believe they should be a beneficiary? Do you want to leave everything to charity? Consider discussing the process with trusted confidants. You will need to put someone in charge of your estate after your passing. Do you have someone selected? Have you selected an alternate?
No matter the final estate planning decision, it is best to contact an Arlington TX estate planning attorney to assist. We are happy to discuss a variety of estate planning options at the Brandy Austin Law firm. Our estate planning team will ensure that you completely understand all your options and ensure that you make the right choice for you, your assets, and your loved ones.