Estate Planning: Kalamazoo Trusts Attorneys
Last updated on February 21, 2025
Trusts can help you accomplish many of your goals for the successful transfer of your estate to your heirs and beneficiaries. A trust is a fiduciary arrangement that allows a third party, or trustee, to hold assets on behalf of a beneficiary or beneficiaries. Trusts can be arranged in many ways and can specify exactly how and when the assets pass to the beneficiaries.
While there are many different types of trusts that an estate plan can include, a trust is often established to allow beneficiaries to gain more timely access to assets while reducing taxes.
How Can Trusts Be Used For Illinois Residents?
A few of the many trust options include:
- A revocable living trust is a type of trust that can be terminated or amended by the grantor. It includes directions for managing your property while you are living, and distributing your assets upon death. It also contains instructions for the management of your assets, even in the event of disability.
- An irrevocable trust contains much of the same information, however, this trust is final and binding, and cannot be rescinded, withdrawn, or changed in any way.
- A credit shelter trust is designed to minimize taxes by most effectively applying the federal estate tax exemption to both spouses, sheltering the maximum amount allowed by law.
The estate planning lawyers at DeMent & Marquardt, PLC, can develop a trust designed to meet your specific goals, whether you want to provide a regular income to your surviving spouse and children, safeguard assets until your children reach a certain age, or create a trust specifically for a charitable organization.
Frequently Asked Questions About Illinois Trusts
Learning more about how trusts work can make it easier to decide if you should fit one into your estate plan. Here is some information that you may find useful:
What is a trust, and how can it financially help me and my family?
A trust is a legal vehicle into which a person (the grantor) can transfer their assets for the benefit of one or more designated beneficiaries. Those assets are then managed by a trustee. Trusts can help financially by:
- Avoiding probate, which can save on legal costs
- Offering tax benefits through reduced income or estate taxes
- Protecting assets from creditors or lawsuits
- Providing continuing of asset management in case of incapacity or death
Trusts also make it easier to control how and when your assets are distributed to your beneficiaries.
How are trusts formed in Illinois?
Typically, you must decide on your goals for the trust – since that will ultimately inform your decision about the type of trust you want Then, the trust document will be drafted following Illinois law to outline its terms and beneficiaries, and a trustee will be appointed. Finally, the trust will be funded via asset transfers. Consulting with an attorney is important to make sure both the trust meets your needs and is properly created.
What factors lead to Illinois trust disputes in court?
Trust disputes can erupt over a variety of issues, including allegations that:
- The trustee has breached their fiduciary duty to act in the best interest of the trust’s beneficiaries.
- The grantor lacked the mental capacity to properly understand the nature of the trust when it was created.
- The grantor was coerced or manipulated through the “undue influence” of another.
- There are ambiguities or errors in the language of the trust that lead to differing interpretations of how assets should be managed.
It is critical to seek an attorney’s guidance if you suspect any of the above situations.
Can a trust be contested after death?
Yes, trusts can be contested after the grantor’s death, similar to how wills can be challenged.
How To Contact Our Kalamazoo Trusts Attorneys
Contact us to set up a free consultation appointment. Our Kalamazoo trusts law office has attorneys ready to discuss your goals and recommend the best legal options to accomplish them.