Kernersville Trust Lawyer

We all come from different cultures, backgrounds, and upbringings—but what we all have in common is we’re living on borrowed time.

With that time, we want to live well, make memories, surround ourselves with people we love, and—when we leave—be remembered fondly.

With estate planning, you can do just that.

An estate plan allows you to leave a legacy for the next generation in line and use your time wisely to do things today to ensure your family is cared for no matter what—and creating a trust to protect your assets is one of those many things. At Apple Payne Law, our attorneys are dedicated to helping families navigate life’s important decisions. 

Let a Kernersville trust lawyer help you develop and implement a personalized plan that achieves your goals and meets your family’s needs. 

The Benefits of Creating a Trust

A trust is a fiduciary relationship in which a person or entity, known as a trustee, holds property for the benefit of another person (a beneficiary).

When you, the settlor or creator of the trust, establish one, the trust becomes the owner of those assets and the trustee, the manager, until you pass away or revoke the trust (if possible).

Using a trust can provide significant benefits for your estate, including:

1. Protecting assets from creditors
2. Reducing income and estate taxes
3. Avoiding probate
4. Helping you provide for family members with special needs
5. Expediting asset transfer to your beneficiaries
6. Minimizing legal issues, including disputes and litigation

Reach out to a Kernersville trusts lawyer to determine how a trust can benefit your estate plans.

Different Types of Trusts in North Carolina

Whether you’re looking to minimize taxes, preserve assets, or provide for family members who may not effectively manage their inheritance, a trust may just be the tool you need.

You can choose from many types of trusts, being as general or as specific as needed in how you would like your assets split up.

Trusts generally fall into two categories: living or testamentary and revocable or irrevocable.

Living vs. Testamentary Trusts

A living trust is created during your lifetime to control the distribution of your assets after you die. On the other hand, a testamentary trust is a provision in a will that creates a trust and appoints a trustee to manage your assets after you die. These trusts are often used to provide for children or disabled family members and to reduce estate taxes. 

Say, for instance, you want to manage life insurance proceeds for the benefit of minor children so your children don’t inherit a full $1 million life insurance policy right after turning 18. In that case, you could set up a testamentary trust to ensure the funds last them through the transition into adulthood.

Revocable vs. Irrevocable Trusts

With a revocable trust, you retain ownership and control over your property and can change the trust terms at any time. Irrevocable trusts, on the other hand, require you to relinquish control of your assets to the trustee, and you won’t be able to change the trust once it’s created. 

Each type has its own benefits and drawbacks. Although revocable trusts allow you to keep more control over your money, irrevocable trusts provide better asset protection. 

In the end, it’s really about doing what’s best for your family, which starts with sitting down with an experienced trust lawyer in Kernersville, NC, to discuss your goals.

Legal Requirements for a Valid Trust

Under the North Carolina trust laws, certain elements must be met to create a valid trust.

A trust is created only if there is:

• A settlor with the capacity to create a trust
• A clear intention on the settler’s part to create the trust
• A defined beneficiary, unless the settlor creates a charitable trust or a trust for the benefit of animals
• A trustee who has specific duties to perform

Though anyone with the right information can create a valid trust document, the true test of an estate plan is what happens after the fact.

Will your wishes be carried out the way you intended? Will your estate pass down to the next generation without error? Will your loved ones avoid family disputes and litigation?

Often, the only way to get the answers you’re looking for is by working with a knowledgeable estate planning attorney to ensure that your trust lives up to your expectations.

Discuss Estate Planning Goals With a Knowledgeable Trust Attorney

Trusts are legal tools that incorporate your final wishes in the event of your passing.

If you want to preserve your assets for the benefit of your loved ones, an experienced Kernersville trust lawyer could draft a legally valid trust on your behalf.

Serving Winston-Salem, Kernersville, NC, and surrounding areas, our law firm provides various legal services for North Carolina families planning their future.

Reach out to our skilled legal team for estate planning that protects you and your family. Our office is located at 900 Old Winston Rd. Suite 212, Kernersville, NC 27284.