Ellicott City Trusts Lawyer

Trusts Attorney In Ellicott City

In Ellicott City, Maryland, protecting your legacy is vital. For an area steeped in rich history and charm, many residents understand the importance of protecting assets and securing the financial stability of their loved ones’ futures. Whether you are a proud homeowner in Centennial or maintain a family property just outside the city, having a trust in place can play a key role in your estate plan, and an Ellicott City trusts lawyer who understands revocable living trusts is crucial.

At Liberty Legacy Law Group, we understand how important it is to secure your legacy for generations to come. One of the greatest ways to do this is by establishing an estate plan that includes a trust. Trusts can be one way to streamline and manage your assets for the benefit of your heirs while also protecting those assets from creditors, certain forms of taxes, and the probate process. If you are considering establishing a trust, our lawyers are here to help.

Kinds of Trusts Available in Ellicott City, Maryland

There are many different kinds of trusts available to folks living in Ellicott City. With a median household income of over $150,000, having a trust can be invaluable for many individuals. At Liberty Legacy Law Group, we are proud to offer our clients the services necessary to establish a revocable living trust, but it can be important to understand all of the different kinds of trusts that are available.

Revocable Living Trust

This type of trust is one of the most commonly created trusts in Ellicott City, and it allows families to avoid probate court. When this kind of trust is established, it can be modified or even terminated during the lifetime of the individual who created it. It can help you leave your property and assets to your loved ones in the manner that you wish while also keeping the process private and safe from probate.

Irrevocable Trust

This kind of trust, once established by the grantor, will provide asset protection from lawsuits, creditor claims and the costs of nursing home or long-term care. Assets that are held in an irrevocable trust are no longer considered the property of the grantor, although the grantor can retain certain access to the funds in the trust. An irrevocable trust can also be used by a grantor who owns a taxable estate to minimize taxes.

Special Needs Trust

If you have a child or other close relative who suffers from a certain health condition or special needs issue, you can leave them a large sum of money, held within a trust, that would not affect their ability to collect any governmental benefits they may depend upon.

Medicaid or Long-Term Care Planning Trust

A Medicaid or long-term care planning trust allows individuals who may be concerned about having to pay for any necessary assisted living, nursing home care, or senior living. As the associated costs of these living arrangements continue to increase from anywhere between 1% and 10%, it is easy for an individual to deplete their life savings to pay for these arrangements, but this kind of trust can help.

Charitable Trust

If you believe your estate will be subjected to certain estate taxes, there are several ways you can reduce this tax burden. One of the smartest ways to do so is to establish a charitable trust. This can help you avoid lifetime gift tax and benefit your favorite charities or organizations while also minimizing your tax liability.

Generation-Skipping Trust

Another good way of avoiding certain estate tax liabilities is to set up a generation-skipping trust. With this trust, instead of leaving your property and assets directly to your children, this trust waits to pass down some or even all of your assets and property to your grandchildren once they come of age. This works to keep wealth in the family, which can be especially important to people living in affluent areas like Ellicott City.

Spendthrift Trust

This type of trust allows you to protect your assets from creditors while still being managed by a trustee who handles the assets and properties placed within the trust on behalf of the beneficiaries. This kind of trust is helpful for beneficiaries who may not be able to manage their finances properly, such as a minor.

Marital Trust

When your spouse passes away, any assets that were owned by both of you can be moved into a marital trust. The income that is created by these assets is transferred to the spouse who is still living. When this individual dies, the property is distributed among the beneficiaries named in the trust.

Creating a Revocable Living Trust in Ellicott City

Revocable living trusts are, oftentimes, the most popular form of trusts in Ellicott City. The primary desire for establishing these trusts is to help loved ones avoid probate and all that comes with the legal process, especially because the probate process can cost up to 10% of an individual’s estate. There are three main roles in a revocable trust, and it is important to understand these roles and your duties should you be named in one of them:

• The grantor is the individual who establishes the trust and funds it with their assets and property. They also retain the ability to amend or terminate the trust should they see such action fit.
• The trustee is the person responsible for handling the trust, managing the assets, and then distributing those assets to the beneficiaries according to the wishes and stipulations of the grantor.
• The beneficiary of a trust receives the funds and assets from the trust according to the wishes of the grantor.

Speak With an Experienced Trusts Lawyer in Ellicott City Today

If you believe creating a revocable living trust is right for your estate and situation, the team at Liberty Legacy Law Group is here to help. Contact our revocable trust lawyers at our Ellicott City office today and schedule your initial consultation to learn more about our legal estate planning services.