5 Biggest Revocable Living Trust Mistakes & How to Avoid Them
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- čas přidán 8. 12. 2021
- Hear from top elder law attorney Lynn St. Louis, founder of Elder Law Group PLLC, as she reviews the 5 biggest revocable living trust mistakes and how to avoid them.
More from Lynn and ELG Estate Planning can be found on our website:
www.elgwa.com
info@elgwa.com
509-468-0551
Request a Meeting: share.hsforms.com/1bu5vFDhSRb...
Elder Law Group PLLC is here to help with Estate Planning, Wills, Asset Protection, Durable Power of Attorney Financial, Durable Power of Attorney Health Care, Health Care Directives, Medical Asset Preservation Strategies, Obtaining Medicaid Benefits, Long Term Care Planning and Probate & Trust Administration.
Information provided is for educational purposes only and should not be interpreted as legal advice nor as creating an attorney client relationship.
🎯 Key Takeaways for quick navigation:
00:28 📜 *The focus is on the five biggest mistakes people make with Revocable Living Trusts.*
01:22 🤔 *Explanation of what a Revocable Living Trust is, differentiating it from Irrevocable Trusts.*
03:12 🚫 *Highlighting the primary benefit of Revocable Living Trusts: avoiding Probate upon death.*
05:02 🗃️ *Understanding the roles in a Trust: Grantor, Trustee, and Beneficiary.*
06:22 ⚠️ *Discussing common confusions about Trust operations and effectiveness.*
07:16 ❌ *Debunking myths about creditor protection and estate tax benefits of Revocable Living Trusts.*
09:32 🛡️ *Exploring scenarios where a Trust can help against financial exploitation.*
11:49 🏠 *Emphasizing the value of Trusts in managing property across multiple states.*
12:14 🏦 *Discussing the critical step of funding the Trust properly.*
16:28 🚫 *Highlighting that not all assets can be put into a Revocable Living Trust.*
21:31 ✍️ *Addressing the issue of poorly written Trusts and the importance of detailed drafting.*
26:16 🛂 *Clarifying the lack of creditor and liability protection with Revocable Living Trusts.*
30:20 🏥 *Explaining that Revocable Living Trusts offer no protection from long-term care costs.*
32:14 📝 *Stressing the need for additional Estate Planning documents besides the Trust.*
39:01 🤔 *Discussing when a Revocable Living Trust might not be the best choice.*
41:01 ❓ *Addressing the importance of beneficiary designations and their management.*
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I’m a retired lawyer and will be seeing an estate planning attorney today. Watched the video with my writing pad. Very, very useful info re: questions to ask and issues to explore. Thank you. Background music is annoying. Sorry.
Good video. However, the background music is very distracting. Your voice providing sound information is adequate, you don't need the music.
Thanks for the tip!
Yes,the background music is a distraction, especially when trying to digest the information.
Nahh. the music is fine…
can i hv rock music? no no babara streisand
98% of the videos with background music don’t need it or it detracts from the video and information presented. This is a topic not needing distractions.
I am a lawyer in Georgia and your presentation is good and thorough. Too many people buy into trusts when they don’t need a trust. They need a will, a durable POA and health care advance directives or living wills. Maybe a deed upon death if your state authorizes it. If you have a large family farm or passive income producing real estate that is free of debt, maybe a career or going small business that has high liability exposure, then a trust should be considered. Expensive probate states like Florida should also cause a consumer to seek advice on setting up a trust to avoid predatory legal fees and court expenses.
You need one if your parent goes to a nursing home….if you set up the trust 5 years prior……boom $0 cost for the nursing home….
Where are you in Georgia?
@@wayneguy6043
Unless it's an IRREVOCABLE trust, revocable trust won't cut it.
You are a breath of fresh air! Thank you for being blunt and offering hard truths. So many people just want to hear what they want to hear. This video tells you what you need to hear.
Any and all death tax should be repealed or abolished.
Why?
@@richardbryanesq Because we are taxed too much already.
@@richardbryanesqenjoy paying yer hard earned $ to have it flushed in toilet.😂
This is not the forum for your comment. Contact the appropriate agency in your area to voice your concerns.
Outstanding Commentary!!! Priceless!!! Thank You!!!
Amazing explanation. Very helpful. Thank you.
Very informative video though. Thank you for the information. Extremely helpful and most needed currently. I appreciate what you are doing. 😊
Thank you ! Clear and concise recommendations!
Thank you Lynn, this info was very helpful☑
Thanks so much, Ma’am! You’re exceptional.
This was very informative. My wife chooses not to really be interested/informed of such matters. I'll try get her to watch this as I am now the lead generation on my side but both of her parents are into their 90s and there is a IRT involved on that side.
Thanks for taking the time to present this
Great video. Thanks for the advice
Great video / background music not distracting, as agree with others you, did an amazing job.
Very informative! Thank you so much for this content! Such a beautiful lady as well !!
Great informative presentation thank you
Love it !!!!! I’ve been searching
So much food for thought thank you for your guidance …
You make it so easy to listen to you
Thank you for educating us! It helps me to understand about Trust /Estate planning. How much will cost to do a Trust and Estate planning?
Thank you ma'am. I'm also an attorney, but i practice criminal law and haven't heard all of this since law school 23 years ago. You did an amazing job with this video.
L va
❤
That is very helpful tips thanks for sharing keep it up good work God bless That is great idea thanks for sharing again.
Great information. Thank you
Thank you for the information
Good info.... thank you.
Useful information thank you.
Awesome video thanks!
Thank you for the his video it really helped!
Thank you so much for this. I learned so much. Can someone use your firm even if they live in another state?
Thanks again!
Great information!!!
Thank you for your information. You explain this very well. My question is how long does a person have to get what was taken from them with illegal activities
I am not an attorney but have dealt with many trust / wills power of attorney etc as trustee... It sounds like your question is something you have in dispute? If that be the case you would take a copy of the will and trust to an estate attorney and they will review it and tell you what your options are? This happened in a case recently to me that was only settled this year and it took one year to settle and it was settled in my favor. It depends on what you have for proof and if you need to go before the courts. In my case it was settled before going to court. I hope this helps? if you want to be more specific on what your issue is I may be able to give you further advice.
Excellent advice and well presented. I had a question regarding putting my home in a trust. You had mentioned that the home should be put in the name of the trust. Years ago, I was advised that my insurance company would not cover my home unless it was in my name. Checking with their underwriting department, I was also advised that I could keep my name on the policy but would need to put the trust name on as an ‘Interested Party’. Thoughts on this?
Can one have both: a Revocable Trust (with a Pour-Over Will), and a Will with an Asset Protection Trust (mentioned at 31:01-31:21)?
Thank you for doing this channel. Which location do you work at?
Need to mention a little more about bank accounts and investment accounts. For instance safety deposit boxes at banks have their own beneficiaries and separate rules from the bank and the trusts. And POD acts within trusts. These kind of things too
I agree with you. I believe this attorney may have other videos and maybe she goes into the specifics of that. As trustee of many wills and trust I understand how it works with bank accounts, retirement accounts, life insurance, safe-deposit boxes etc etc..... If you have a beneficiary listed on any account of any type that is outside of the trust the beneficiary would go directly to who is holding those file the request for disbursement from them having the proper paperwork proof of trust etc in hand and in a short amount of time sometimes only a few weeks you would have the assets that were left to you in hand.
I watched all the way through. I’d like the free consultation gift.
Durable power of attorney.....can you add by amendment to revocal living trust? Or separate page document like will?
Trusts, Living Trusts, wills, etc. aren't worth the paper they are written on. In OKC, OK. There's a HUGE Billboard saying "Where there's a WILL, WE CAN BREAK IT!" Stickum and Con'em Law Firm AND IT IS TRUE!!! Any inheritance document CAN be contested IN COURT, and rubbed with enough MONEY, it can be struck-down. Trust and Estate attorneys LIVE to get in a court room. THEY always WIN and YOU (the inheritor) always pay the fees which are generally fixed by the state you live in and the size of the estate (in dollars) but it will probably cost you $10,000 to go to court, win, lose or draw. Much more in some places. Then 10 to 50% of the value of the estate IF YOU WIN! I'm in the middle of this RIGHT NOW with my late Parent's estate. Their "Trust Attorney" is getting maybe 5 times as much a month (or much more!) than I AM for "administration fees" and the "TRUST" is for MY EXCLUSIVE BENEFIT as there is no one else left alive in our family! I can't even FIND OUT HOW MUCH he is getting!!!
GREEDY lawyers.
Look to see if there is an accounting requirement law. Many states allow the beneficiary to demand an accounting of activity from the trustee.
WOW! 😱 That is absolutely horrific what you have commented on! The only thing I'm assuming based on your comment is that your parents did not leave you as executor of their will/trust?? It sounds like they left the attorney as the executor?? That's the only way I read into it that he is getting so much money in handling the estate? If you were left as the executor of the will/trust an attorney would not be required in settling the estate? ONE thing people don't understand is if they're smart enough they don't need to hire an attorney to even go through probate they can apply and do it on their own but they have to have some intelligence and file through probate to be named as executor and generally if you are next of kin a judge generally will award you as executor of the estate.. 🤔 One thing that people need to be sure their wills and trust HAS "no-contest Clause" INCLUDED IN THE WILL AND TRUST!! BELIEVE ME I'VE JUST GONE THROUGH IT AND IT STOPS ANYONE IN THEIR TRACKS THAT WANTS TO CONTEST THE WILL AND TRUST!! IF THEY GO FORWARD WITH CONTESTING IT THEY CAN LOSE EVERYTHING..... IN MY STATE THEY WOULD DEFINITELY LOSE ANYTHING THEY WERE TO INHERIT IF THEY TRIED TO CONTEST IT FOR WHATEVER REASON??!!
I have heard some terrible stories when attorneys control the trust funds to an older adult child.
😊
If I own a property in North Carolina and another property in Puerto Rico USA. will I be able to include the Puerto Rico property under the same revocable trust ? Or I will need a separate revocable living trust in Puerto Rico?
Thank you. Very helpful. Music was somewhat distracting.
With my home in RLT, how do I pay insurance, utility bills and maintenance repair.
Please address the issue of nursing home costs and protection.
At 9:15 min, you will also need the “power of attorney” document
Great 👍 job.
good presentation
Bank want short affidavit what clauses need to be in certificate or affidavit for bank account?
3:50 min, She discusses on Washington State “revocable living trusts”.
What if the owner of the Trust and the Beneficiary both die, how do the remaining family members access anything?
27:21 for avoiding probate. NOT getting “creditor protection”
Do you mecessarily have to have an attorney to draft a legal Living Trust in Virginia?
Thanks!
Very good video but please stop the background music so we can hear better.
Agree : )
26:04 But if the trust can create create an irrevocable trust, couldn't those provisions also create asset protection?
28:59 UPDATE: okay, yes, possibly
we have checking , saving and a pension house car and rv. do we put the pension and bank accounts in the rlt?
discus’s IRREVOCABLE TRUSTS with embedded Llc that you manage
30:00 you need lifetime documents: “pour over will”. A “WILL” , a durable power of attorney for finance & health, beneficiary designation - how assets are paid out like 401’ks
If myself and my children are on the home note and there is also a real estate trust naming those children as beneficiaries of the Trust, will Medicare still be able to take this asset for nursing care?
Can your children present a PDF copy if original not found.
Do their copies have to have notary stamp?
very good content i would lv that certifcate ok
What if beneficiary is another grantor trust, is that ok?
Can you ask that your property be sold upon your death and have certain percentage go to certain beneficiaries?
My mother had something like that in her will. We sold almost everything and split it three ways.
21:03 Please explain annuity accts? Do not place in “revocable trust” ?
What are business trusts ?
My mother had a lawyer help her write up a trust. Then she put it in a drawer and let all the kids know where it was in case something happened to her. Well, what happened to her was that she started suffering from senility. Our brother, who shared a house with her, managed to get everything transferred into his and his kids’ names. The trust in that drawer?…. WHAT trust in a drawer?! Guess it was never recorded. Therefore, it wasn’t even worth the paper it was written on.
Your brother committed a crime and you certainly have recourse.
Does a trust have to be recorded?
@@richardbryanesq Yes. It would have been an easy case. But my mother was still alive and they shared a house together. I really didn’t want to upset my mom’s last few years. She loved her home. But honestly, I think she would have been better off not relying on the very people who couldn’t wait to inherit everything. My gosh! He was going to get the nice home they shared! But that wasn’t enough for him. So sad. I thought my brother was a good guy. But the love of money was stronger than the love of family. I would have inherited a nice chunk of change, but it wouldn’t have changed my life. I just feel sad that I lost my brother (and nephews and nieces) over money. 😔
@@sheryllegg845 I’m glad you commented on this video because after watching it I kept thinking about one thing that this lady said, which was that people don’t put their stuff into the trust. I should have been aware of this because I used to handle properly transfers every day at my old job. But, what good does it do to have a trust written up by a lawyer but never have your property transferred into that trust. People use to ask me if they should pay for a lawyer for stuff like this (they would want to save money and try to do it themselves). I’d tell them that for most people their home is the biggest investment of their life. And it’s just so much safer to have it done by a professional. Apparently a lawyer wrote up this trust for my mom (I wasn’t there, wish I had been) but never transferred the property into said trust. Maybe there was a problem since she co-owned the property she lived in with my brother. Even if the other property was owned by her but never transferred to the trust, that document is not worth the paper it’s printed on. Unless everyone involved is honest and fair-all it takes is one out of the group to ruin the plans of the trustor. If she had at least had the second property put into an irrevocable trust, my brother couldn’t have taken advantage of her senility and got her to sign it over to him and his kids.
Her lawyer did a bad job. Trust usually made 4 copies of it, one at the lawyer's office, 1 for each trustee, your the children have their own copy and and a trusted person who could be a trustee in the trust have another copy, and they should be at least 4 copies of the trust, so if 1 was gone the other 4 still exists. And that the problem with your family. They did not have extra copies to bring it out to the court.
What else you can used to fund your trust other than just money.," Can we add or transfer our membership units from our LLC's as well our share from our corporations ?
How hard is it to make changes in revocable trust down the road and would one need an attorney every time change is made
Buy your documents online & then you can change them as needed for free. All you need to do is get them notarized again if you make changes. Suze Orman sells these “must have documents” known as a Will, Revocable Trust, Living Will & Durable Power of Attorney. There’s so many companies online that sell a them as a 4 part bundle as well.
This is such a worry but you brought out some important points that a lot of others do not bring out in these videos. Trusts can be useful if structured properly but can also be a ball and chain and they are not for everyone. Probate is such a shame, when there is a will it should be simple but it is not. Sometimes there is nothing you can do but go through it and pay all the fees and taxes.
informative
Question it is a capital gain taxes on properties on the Revocable living Trust . At the time to be executed ?
I don't have any other assests besides my home, which is in an RLT with my son as the Trustee and beneficiary. My pension and Social Security end upon my death. I have a separate Durable Power of Attorney that is not in the trust. Do I really need a will?
Why do we need to put bank accounts in the trust? I thought if our bank has a designated beneficiary, they will automatically be able to get thr money wothout going to probate?
Do you renew every year
Just curious. Can a named beneficiary on IRA or 401K in most current date inherit those retirement accounts
and overwritten named beneficiary shown on
either the Will or revocable living trust
that was previously prepared long time ago.
Thank you in advance for your help.
If a grantor names a trustee in their trust is the trustee notified as soon as they are made a trustee and the successor trustee when do they know they are in charge of a revocable trust
Can a trust have a trust for charity as a secondary beneficiary?.
Thanks
If we buy, sell, trade within the trust are we taxed?
What if the successor trustee funds the living trust but doesn't fund the 1st spouse instead waits until the 1st sposes estate closes then probates what the 2nd spouse supposedly forgot
15:44 👍🏼place home in “revocable “. NOT retirement accts, Not 401K bcuz u have beneficiaries ( & irs rules)
@ 10:20 min, For privacy reasons with tax inquiries etc, Do not list yr name on the TRUST
is a trust a good thing to have if you some way get hurt and are stuck into a hospital or nursnibg home for a long time and have only on Medicare ?
How do we get the free consultation?
No one gets their Deeds these days. Does a warranty deed work the same
How long can you get to contest illegal activities
Does this goes for any state Texas.
Hello, How do you get the Consultation Certificate.
How much should a trust cost?
If I have properties in different counties can I have 2 different revocable living trusts?
Can i use another Estate lawyer to review and modify my Revocable Trust?
What state is the best state to have create our trust. If we don't have much money yet where is the best place to set a trust.
Ask an attorney but generally you don’t get to choose. Where you live when you form the trust is the state it will be recorded in. If you move to a new state you may need to redo the trust or change some wording/provisions. You want it to be a legal and valid document in the state you are residing in at death.
You should be able to ammend an irrevocable living trust.... You can change Trustee and beneficiaries
We made a revocable living trust in South Carolina and we are now moving to Virginia.Is that a problem?
How do I put the car I just bought in the revokable trust?
My question is as follows let’s say I’ve been with someone for the last 8-9 years we’ve lived together for most of that time. Would placing my home in a revocable trust keep that person from putting any type of claim on my house?
I'm not a lawyer but you should Google "common law marriage" because you living with your partner probably already gives them legal rights. ALL my attorney friends say anyone can file a suit/ claim against pretty much anyone and it must be answered by that person, in this case you, in the court where it was filed. Even if it's an obvious false claim to you, it can't go unanswered or you lose 1st round. Maybe being creative, like renting the property from the trust might create enough separation but as she said there is no asset protection from creditors... Good luck. I'd pay a local attorney for specific advice, I think it's called limited scope representation legal counsel. Unbundling service
And possession is 9 tenths...of the law, they would be living there, most likely would stay, and would have main claim to the house in my non professional opinion
I am not a lawyer but I would put that person as a beneficiary of $1.00 only to show he is not forgotten but your wishes are $1.00. And your kids as beneficiary's of the house, etc. Even so, check out if he would have any claim as common law. I have a trust for my house. My Dad had his house in a revocable living trust also and the 3 of us sold and split the money without having to pay any inheritance taxes. It is worth the effort and a great final gift to your family.
I have a friend who has been living as a wife with an 80 year old man for about 30-40 years. He has reminded her that she is NOT a common law wife because his first wife never got a divorce. His will leaves everything to his sons, including the small condominium they’ve lived in all this time. Does she have any options?
@@andreagibson7355 Please check your specific State Law, or check with an Attorney from the State you reside in. In some States, the people listed in the legal will are the only ones who may challenge the will.
Our dad gave his trust $5 million fund to a local University and all me and my sister get is $2000 a month and a very large tax bill.
How is a revocable living trust better than simple beneficiary designations? Both avoid probate. I would think that a revocable living trust is better if you have young dependants who you want to pass your assets to.
Some things cannot have a beneficiary assigned. Directly held stock, directly owned companies among others. The trust also allows you do dole out money over time if you want.
@@TheGreaterGrog However, mutual funds and ETFs can have beneficiary designations.
My only son has Multiple Sclerosis, he is 40 y/o, he receives disability income. Can he become a Trustee when I die?
So on your schedule of assets, do you re-issue the schedule every time there is a change (like selling a car or buying a new one) do you annotate it on the original s hefule, or complete a new schedule of assets?
What’s the difference between RLT and Transfer Upon Death? And does whoever takes over my properties, do they have to pay new taxes on the properties value ?
TOD or POD is generally specific to a single financial institution, and is an agreement between you and them. A trust encompasses many other things. If the only asset you have is a bank or investment account, then setting up TOD is a lot simpler than setting up a trust.
Great question for an attorney. With a vehicle and a house my mom and bought together we titled them "With Right of Suvivorship" . No estate tax or probate because both of were owners of assets.
How do you file a RLT with the state?
If you place businesses under your trust can you write off your attorney fees ?