When people in Michigan think about the future and how they want to manage their affairs, they may think first of making a will. People may not think much about trusts, or they may assume that they are only for the super-wealthy. However, trusts are flexible, adaptable instruments that can help people in a wide variety of situations achieve their goals more precisely and privately during the estate planning process.
Michigan fans of singer Tom Petty may have to wait a while to enjoy more releases from the late singer's catalog. The singer's widow is in a probate battle with one of his daughters that could affect the planned release of new compilations. His widow filed a petition in a Los Angeles court. In the document, she alleges that her late husband's daughter attempted to take control of Petty's estate.
Estate planners have many tools at their disposal, including wills and trusts. Revocable trusts, known for their ease of administration, are often used to protect and distribute assets while maintaining privacy. This is one of the reasons that wealthy families rely on them to manage family line assets and perpetuate dynasties. The same can be said for Lee Radziwill and her estate plan.
In Kalamazoo and across the United States, people have various options for drawing up different kinds of trust documents. Since each person has different requirements, it is best to consult with an experienced estate planning attorney. A grantor trust, which is also called a living trust, is the most common type of trust that has the power to avoid probate. In fact, one major reason for creating a trust is so that the beneficiaries do not need to go through probate.
Thanks to the Tax Cuts and Jobs Act, Americans now have a federal estate tax exemption of $11.18 million. That number doubles for married couples who are combining their federal estate tax exemption. The value of an estate is the total of all assets held wherever they are located. It also includes interests in property as well as property that a person may not directly own but has some form of control over.
Michigan residents and others may have thought about freezing themselves at the time of their deaths. The goal of taking part in the cryonic process is to keep the body intact until science can figure out a way to cure death. Of course, that can raise some unique estate planning issues. A revival trust is a tool that can help a person preserve financial and other resources on which to live when he or she comes back to life.
For Michigan residents who have worked to develop substantial assets, certain life changes may cause them to rethink earlier estate planning decisions. In most cases, trusts are excellent estate planning options that allow for higher levels of flexibility and privacy, especially for people with significant wealth. Most trusts are revocable, which means that they can later be changed or canceled. However, irrevocable trusts are created with the idea that they are permanent and not subject to amendment.
The details of an effective estate plan will vary from case to case, but it will generally include a power of attorney, a will, medical directives and other legal instruments, such as a revocable trust. Having a revocable trust as part of their estate plan can help Michigan residents address many of the concerns they may have about the management of their estate.