Henderson Trust Attorney Helps Secure Your Family’s Future

Law firm provides high-quality services in Chester County, Tennessee 

Trusts, which are legal devices for holding and transferring property, can provide many benefits, such as protecting wealth, allowing estates to bypass probate and making charitable contributions that lower tax liability. At Parham Estate Law in Henderson, Tennessee, I provide tailored guidance on creating trusts based on each client’s unique circumstances. I can advise you on how to take full advantage of the protections that trusts offer.

Determining whether a trust is right for you

Not sure if you need to establish a trust? A trust may be beneficial for your situation if you:

• Don’t want your estate going through probate
• Want to give an heir an allowance instead of a lump sum 
• Wish to put conditions on a beneficiary’s bequest 
• Have children with different partners
• Own a business as a sole proprietor
• Have enough wealth to trigger the federal estate tax.

After reviewing your financial situation and unique family circumstances, I can help you determine if a trust would be helpful in your estate planning. 

Reaping the benefits of a living trust

A living trust is a type of revocable trust that allows you to keep control of assets during your lifetime and transfer them to beneficiaries upon your death. Property held in a living trust is not subject to the probate process, which means your beneficiaries will receive their inheritances much more quickly. The trust can benefit you during your lifetime by directing what should be done if you ever become incapacitated and by empowering a trustee to make financial and/or health care decisions in your behalf. In addition, you can revise the terms or revoke the trust entirely at any time. At our initial consultation, I will advise you about the advantages and drawbacks of different types of trusts so that you can make an informed decision about making a trust a part of your estate plan. 

Other types of trusts and their advantages and drawbacks

My law firm can assist you in exploring the following types of trusts:

• Irrevocable trusts — Once you establish an irrevocable trust, you no longer have control over the trust assets and you must get the beneficiary’s consent for any changes to the trust. However, appreciated assets in the trust are not subject to estate taxes.
• Irrevocable life insurance trusts — This is a mechanism to hold and/or distribute proceeds from your life insurance policy. 
• Credit shelter trusts — Also known as bypass or family trusts, these can be contained in a will or revocable trust to allow for the full utilization of your lifetime federal estate and gift tax exemption. Their assets are not subject to estate tax, no matter how much they may grow.
• Generation-skipping trusts — Also called dynasty trusts, these enable you to transfer a substantial amount of tax-free funds to family members who are at least two generations younger, such as grandchildren. 
• Special needs trusts — This trust provides financial support now and in the future for a family member who is mentally or physically challenged. 
• Qualified personal residence trusts — A QPRT keeps the value of your primary residence or vacation home from being added to your estate, possibly allowing the estate to stay below the estate tax threshold.
• Qualified terminable interest property trusts — A QTIP trust helps people in a second marriage provide for the lifetime needs of the second spouse while preserving a legacy for children from a previous marriage.

My firm can help you create a trust tailored to achieving your personal objectives. I can also review your existing financial arrangements and recommend ways to reduce liability exposure. 

Modifying a revocable or irrevocable trust

In general, grantors of revocable trusts can modify them at any time. To change an irrevocable trust, you must have permission from the trustee and beneficiary. 

Contact a knowledgeable trusts attorney in Chester County for a consultation

Parham Estate Law in Henderson, Tennessee assists people in establishing trusts to protect and distribute their assets efficiently. To schedule a consultation, call me at 901-602-3361 or contact me online.