| What Is a Living Trust? A Living Trust is a legal document that allows you to transfer ownership of your titled property from your individual name to a trust which you control. When you die your family avoids probate and its related costs, financially and emotionally. The legal name for a Living Trust is a revocable inter vivos trust. Inter vi-vos means that it was created while you are alive. Revocable means that it can be revoked or changed by you at any time. A Living Trust lets your property be distributed to the people or organizations you specify, but it does not go through probate as with a will. How Does a Living Trust Work? When you create a trust, you are called the grantor. If you and your spouse set it up together you are both grantors. You then name a trustee to manage the assets of the trust. This can be yourself, or someone else may be appointed. Spouses may be co-trustees so either of you can automatically act for the other. Then, if one of you becomes incompetent or dies, the other instantly has control of all trust property with no court involvement. When you die, your back up trustee, or co-trustee, will basically act as an executor if you had a will. The difference is they do not have to report to the court. He or she will pay you final bills and distribute your assets to your beneficiaries. This process is much quicker, less expensive, and more private than probate.  How Is a Living Trust Set Up? An attorney prepares your Living Trust from your decisions about what you want if you become desabled or when you die. The attorney will make sure the living trust satisfies your state's legal requirements and will prepare it for you to sign. The document is signed and notarized. You then change titles on your property (deeds, bank accounts, investments, cars, etc.) from your name to the name of the trust. I Have a Will, Why Would I Want a Trust? A Will may not be the best way to distribute your estate because a Will does not avoid probate. Additionally, a Will goes into effect after you die, and therefore provides no protection against physical or mental incapacitation where you could end up under the control of the orphan's court. Is a Living Trust Expensive? NO!! It doesn't compare to the costs of probate. How much you pay will depend on how complicated your plan is, the type and amount of your assets, and if you need additional tax planning. etc. Be sure to ask for an estimate in advance. | 
