An Expert Guide to Creating New York Revocable Living Trust
When it comes to estate planning in New York, a revocable living trust can be a valuable tool. It will come in handy to assist you in avoiding probate, managing assets, and keeping your assets private.
However, creating a living trust in New York can be complicated. So, here is a guide to help you navigate the process.
Do you need a Living Trust?
A New York revocable living trust may be the best option for those who own property in multiple states or wish to avoid probate. In New York, probate can be costly and time-consuming, taking up to 12 months to complete. A living trust can help bypass probate, saving time and money while ensuring asset privacy.
In fact, New York is yet to adopt the Uniform Probate Code, meaning the probate process is still very complex. But your beneficiaries can still avoid this usually frustrating process using the simplified probate process for small estates valued at $50,000 or less.
Additionally, a trust is a viable option if you want to maintain control over your assets during your lifetime. You can name yourself the trustee, allowing you to manage your assets while still alive, and a successor trustee to take over after your death.
Do You Still Need a Will if Having a Living Trust in New York?
Yes, even if you create a revocable living trust in New York, you still need a will. While a living trust can help you avoid probate, it does not cover everything. A will is necessary for naming guardians for minor children, choosing an executor, and disposing of any assets not included in the trust.
A will is also necessary for "pour-over" provisions, which state that any assets not transferred to the trust during your lifetime will "pour over" into the trust after your death. To ensure that your assets are protected, and your wishes are followed, working with an experienced attorney to create both a living trust and a will is essential.
Can Revocable Living Trust Reduce Estate Taxes in New York?
A revocable living trust can reduce estate taxes in New York because New York’s Separate Estate tax lowers tax rates. By transferring assets into the trust, you remove them from your estate, which means they will not be subject to estate taxes. Additionally, a trust can also protect your assets from creditors and lawsuits.
How Do I Make a Revocable Living Trust in New York
Creating a revocable living trust in New York can be a tiresome task, especially for first timers. But here's a step-by-step guide to help you.
Choose a trustee - You must name yourself the trustee and a successor trustee who will take over the trust management after your death.
Create the trust document - The trust document is what outlines the terms of the trust. It should include the names of the trustee and beneficiaries, a list of assets included in the trust, and instructions for how those assets should be distributed after your death.
Transfer assets into the trust - To fund the trust, you'll need to transfer ownership of your assets into the trust. It may involve some paperwork and potentially some legal fees, but ensuring that all assets intended for the trust are correctly titled is essential.
Review and update the trust regularly - It's essential to review and update your trust regularly to ensure that it reflects your current wishes.
If you want to make a living trust in New York, Forms.Legal offers up-to-date forms that can be quickly filled out and printed. From downloading your chosen form to printing it off when done, we guarantee the simplest process to create a revocable living trust form online.