Bronx New York Living Trust - Irrevocable

• Category: Trusts - Living Trusts
• State: Multi-State
• County: Bronx
• Control #: US-00556-A
• Format: Word; Rich Text

Description

This form is an agreement between the trustor and the trustee to create an irrevocable living trust.The purpose of the creation of the trust is to provide for the convenient administration of certain assets without the necessity of court supervision in the event of the trustor incapacity or death. Other provisions within the document include: trust assets, the abstract of the trust, and suggested trust registration.

What is an Irrevocable living trust?

A living trust is a legal document that individuals (grantors or trustors) prepare to create a fund of assets they want to hold during their lifetime and bequeath to the named people (beneficiaries) after they pass away. They assign a third party (trustee) to manage these assets and supervise their transfer at a predetermined time. A living trust  are an essential tool for estate or property planning as an alternative to wills; allowing owners to distribute their assets (estate, stocks, bank accounts, etc.) as they wish and bypass state court probate procedures if they die intestate.

Trusts can be either revocable or irrevocable. An irrevocable living trust is the stricter form of property transfer as it excludes the grantor’s opportunity to modify anything in the agreement or to terminate it once set up. Though both types have similar terms, you should be aware of some important differences.

Revocable vs. irrevocable trust

As the name implies, a revocable trust allows the grantor to modify its terms (for example, transfer some assets out or add some extra ones, change the beneficiaries and trustees) or cancel it at any moment. Such terms are wholly different from those that apply to an irrevocable living trust, which must remain unchanged and without a termination option from the moment you set it up. However, in some states, the grantor can change the document with the beneficiary’s permission or by court order.

Both of these property grants have their benefits:

A revocable trust allows the grantor to preserve control over their property and make changes to the document terms when required. Creating a living trust of this type is also a way to avoid the probate process after the owner dies and keep privacy over terms of distribution.

An irrevocable trust can help reduce estate taxes (however, it’s better to consult a lawyer on that). It also protects the parties from creditors, so it can be a good option for those whose profession has a higher risk of lawsuits.

Types of irrevocable trusts

There are several irrevocable trust examples:

1. Irrevocable life insurance trusts;
2. Charitable trusts;
3. Lifetime gifting trusts (including the grantor-retained annuity, spousal lifetime access, and qualified personal residence trusts);
4. Testament trust created after the grantor’s death.

Living trust forms

To set up a living trust, the grantor must ensure the accuracy of the necessary paperwork. US Legal Forms offers only verified printable and electronically editable legal templates specific to your state regulations. Download our Trust Irrevocable Form and provide the following information:

Personal details of the parties involved (grantor, beneficiary, trustee, and successor trustee);

Description of the transferred property items.

The agreement template we offer is a universal multi-state do-it-yourself form. If you want to add additional terms to the contract or amend any existing ones, though, please consult a legal advisor to do this task correctly.

A Bronx New York Living Trust — Irrevocable is a legal estate planning tool that provides individuals with various benefits and protections for their assets. This type of trust is designed to be set up during the granter's lifetime and cannot be modified or revoked without the permission of all beneficiaries involved. It offers several advantages, such as asset protection, tax planning, and the avoidance of probate. In the Bronx, New York, there are different types of irrevocable living trusts available, each catering to specific needs and goals: 1. Medicaid Asset Protection Trust: This type of irrevocable living trust is commonly used by individuals who want to protect their assets from being counted towards Medicaid eligibility. By transferring assets into this trust, individuals can preserve their wealth for their loved ones while still qualifying for Medicaid benefits. 2. Special Needs Trust: A special needs trust is created to provide financial support and protect the assets of individuals with disabilities or special needs without affecting their eligibility for government assistance programs. This type of trust ensures that individuals can maintain a certain quality of life while still receiving benefits. 3. Charitable Remainder Trust: A charitable remainder trust allows individuals to donate assets to a charitable organization while still receiving income from those assets during their lifetime. This type of trust offers significant tax benefits and allows individuals to support causes they care about while benefiting themselves financially. 4. Dynasty Trust: A dynasty trust is established to preserve and pass down wealth for multiple generations. By placing assets into this trust, individuals can ensure that their family's wealth is protected from estate taxes, creditors, and potential divorce settlements. Additionally, the trust's assets can continue to grow and provide financial security for future generations. Irrevocable living trusts offer unique advantages and cater to various personal circumstances and objectives. They provide individuals with a way to protect their assets, reduce tax burdens, and secure a legacy for their loved ones. It is essential to consult with an experienced estate planning attorney in the Bronx, New York, to determine which type of irrevocable living trust best suits your needs and goals.