We've spent quite a bit of time on this blog discussing various types of trusts. These estate planning vehicles can serve an important purpose. They can allow an individual to leave assets to others with certain restrictions applied. There are oftentimes tax advantages to utilizing a trust, too. In order to pick the trust types that are right for an individual in his or her situation, it is important to carefully consider the options.
It's no secret that divorce is a common occurrence in California and throughout the country. So, too, is remarriage after divorce. While statistics show that less than one out of every five divorced individuals remarry, the rate is significantly higher for those 55 and older. For this population, remarriage occurs 57 percent of the time.
Most, if not all, Californians want to avoid the probate process. After all, having an estate subjected to probate can make the matter public, and it is usually lengthy and costly. For these reasons, many people who engage in estate planning do so, at least in part, to avoid probate. In order to do this successfully, though, Californians need to understand the estate planning options available to them, choose those legal avenues that are right for them, and create legally valid documents that will withstand any challenges.
A recent post here discussed the generation-skipping trust and how it may be beneficial to those engaging in the estate planning process. This is just one of the many trust types available to those who create estate plans. Each trust type has its own benefit, and one or a combination of a number of trusts can help bring a vision for an estate plan into reality.