Q: What Property Can I Put In My Living Trust?
– Planning For the Future
A: Dear Planning:
A living trust is, by definition, changeable while you’re still alive, you have the wiggle room to change your mind about what you want to place in there. That said, keep in mind that usually the point of a living trust is to avoid probate fees. You should therefore consider placing items and property of higher value in it. These might include:
● real estate (even mortgage);
● intellectual property;
● family heirlooms or valuable items of sentimental value such as musical instruments, antiques, and artwork;
● security accounts held by brokerages;
● and small business interests.
Be aware that certain things cannot be kept in a living trust, and you’ll need to have back-up plans for how they’ll be dealt with upon your death. For example, 401k accounts must be owned by you during your lifetime, though you can name your trust as the beneficiary. It’s also not very practical to place items, such as a vehicle you use frequently, into a living trust.
Speak with a Personal Family Lawyer® about your options for protecting each of these different types of assets.