-
The Easiest Way to Create a Texas Revocable Living Trust Agreement
Have you ever asked yourself what will happen to your estate and heirs after death? If you have never thought about it, it is time to do so. This will help you put everything in order and ensure that your estate will be distributed immediately to the rightful heirs as you wish.
A revocable living trust answers all these desires as it ensures your wishes are well captured, and your estate avoids the probate process.
Please keep reading to learn more about a revocable living trust in Texas, including the easiest ways to create it.
Do You Need a Living Trust in Texas?
Completing a revocable living trust form should be part of your estate plan. It is essential to have the document as it protects your estate from going through the usually long and tedious probate process after you die. As a result, your loved ones will surely get the inheritance sooner. They also save money they could have spent on this frustrating process.
But it is worth noting that although Texas has not adopted the Uniform Probate Code, the state has simpler alternatives to avoiding probate, even without a living trust. For example, if your estate is valued at $75,000, or less, your family will need a simple affidavit to get the inheritance.
Alternatively, your loved ones can request 'Independent Administration,' where your estate will go through probate without court supervision, making it simpler and quicker.
Alternatively, your house or real property can avoid probate if you transfer it using a transfer-on-death deed. But if you have significant investments and assets or want your family to have a straightforward succession process, creating a Texas revocable living trust is advisable.
With a Living Trust, Do You Need to Write a Will?
Many people think they don't need a will when they already have a living trust. While it may be true in some situations, a will can be necessary even when you have a living trust.
For example, if you have children below the age of 18 years, you will need the will to designate a guardian for them. You may also require the will to explain how assets not named in the trust will be distributed after your death.
Estate Taxes and Living Trust in Texas
In Texas, most people don’t have to worry about federal estates if their estate is worth less than $12 million. Texas has no estate tax, and people pay federal estate taxes levied on estates worth 12 million or more ($24 million jointly owned by spouse).
So, having a living trust won't lower federal estate taxes. But you can use a unique trust like AB Trust to reduce or avoid taxes levied on your estate.
Creating a Revocable Living Trust in Texas
When making a revocable living trust in Texas, there are some things to remember. First, you should decide whether to create a shared or individual revocable living trust. Then, determine which assets, like bank accounts and real estate, you will transfer to the trust and identify a successor trustee.
Next, list the beneficiaries and how you want them to share the estate. When you have all the information, you should get a Texas revocable living trust form, complete it with the information and sign it before a notary public. The next thing is to fund the trust by transferring the assets.
If you want to create a revocable living trust in Texas, Forms.legal will help you. We provide updated Texas revocable living trust forms that you will find helpful in this quest. You just need to fill in the form and download and print it.