Best Probate Attorneys in Peoria, AZ

The Importance of Funding a Trust and What It Means Creating a trust is critical in estate planning, but it must be funded—assets must be transferred into it—to be effective. What Does Funding a Trust Mean? Funding a trust means transferring ownership of your assets into the trust, retitling them so the trust owns them. Why Funding a Trust is Important: • Avoids Probate: Properly funded trusts bypass probate, allowing for quicker, private asset distribution. • Ensures Control: The trustee manages and distributes assets according to your wishes. • Protects Privacy: Trusts keep your financial affairs out of public probate. • Facilitates Management: A funded trust ensures seamless asset management if you become incapacitated. Steps to Fund a Trust: • Retitle Real Estate: Transfer property titles to the trust. • Assign Investments: Transfer stocks and bonds to the trust. • Update Beneficiary Designations: Name the trust as the beneficiary for life insurance and retirement accounts. Common Mistakes to Avoid: • Partial Funding: Ensure all intended assets are transferred to avoid probate. • Neglecting Updates: Regularly update your trust to include new assets. Conclusion: Funding a trust is essential for it to function as intended, protecting your assets and ensuring they are managed and distributed according to your wishes. As an experienced estate planning attorney, I can guide you through the process of funding your trust. Contact me today.