Any person with considerable assets should start to think about planning their estate as early as possible. If you are a business owner, it is likely that you will want to leave a legacy for your descendants and that you will hope the business will thrive for many years to come.
Whatever your wishes for your assets beyond your lifetime, it makes sense that you would want to minimize taxes and avoid probate as much as possible. By striving to do both, you will be able to maximize the assets left for your beneficiaries.
How can a trust help me to maximize my beneficiaries’ inheritance?
There are many ways in which trusts can help an estate plan to be financially lucrative. First, by creating a trust, you are able to benefit by bypassing the probate process. All assets held in a will must go through the probate process, which is lengthy and costly. However, all assets in a trust do not go through probate.
By funding the trust with assets such as your personal home, your business and your investment accounts such as retirement plans, you will be able to set up a much more financially efficient plan for your estate in comparison to a standard will setup.
It is also possible to create provisions for your children through the creation of a trust. There are many ways that you can personalize the terms of the trust to suit your personal wishes.
If you are an entrepreneur in the state of Massachusetts, it is a good idea to consider the legacy that you want to leave in future years and how you would like to plan your estate.