The help you need during the COVID-19 crisis and beyond.

We are open for business and are here for you. Virtual appointments are available.

Bingham Legal Group PC - Bingham Farms Estate Planning Attorneys
B
ingham
LEGAL GROUP
Envelope Icon
EMAIL US
Providing Guidance
And Remedies

When You Need It Most

For more than 20 years, Bingham Legal Group has helped individuals and families throughout Metro Detroit devise legal solutions and plan for the future.
Providing Guidance
And Remedies
When You Need It Most
For more than 20 years, Bingham Legal Group has helped individuals and families throughout Metro Detroit devise legal solutions and plan for the future.
Providing Guidance
And Remedies

When You Need It Most

Providing Guidance
And Remedies
When You Need It Most
  1. Home
  2.  » 
  3. Trust Administration
  4.  » What are your options for trusts?

What are your options for trusts?

| Feb 13, 2021 | Trust Administration

While tending to estate planning, you learn about different trusts. You cannot take the one-size-fits-all approach when tending to your legacy, so which trust fits your situation the most favorably?

CNN Money explains several trust options. See which type you may want to include in your estate plan.

Revocable and irrevocable trust

You relinquish ownership of assets placed in an irrevocable trust. You also give up the right to modify the trust without the beneficiary’s permission. A benefit of this trust is estate taxes do not apply to appreciated assets.

With a revocable trust, you remain in control of your assets. Further, you reserve the option of modifying or rescinding the trust’s terms.

Qualified personal residence trust

Do you expect your home’s value to increase? If so, you may prefer to use a qualified personal residence trust to subtract your main home or vacation home’s value from your estate.

Credit shelter trust

Credit shelter/family/bypass trusts let you create a will that leaves a trust value up to but not surpassing the latest estate tax exemption. This lets your spouse inherit the rest of your estate without incurring taxes. An advantage of the credit trust is after you fund the trust, it does not qualify for estate taxation, no matter if it increases in value.

Qualified terminable interest property trust

Maybe branches in your family tree diverge, terminate and grow from remarriages, step-relatives and divorce. If so, you may not want to leave an inheritance for everyone. Use a qualified terminable interest property trust to put your spouse first in line to inherit assets before specifically named beneficiaries receive the remainder or principal when your partner dies.

Arm yourself with sound knowledge to make the right choice for your estate. Put your trust in the right trust.