One of the most beneficial aspects of trusts is their flexibility. Even when you revise or create a new one, you can specify language to cover all types of circumstances. Every trust is different, and yours will be especially tailored to your needs.
Trusts provide tax protection while still giving you access to your personal wealth. You can transfer cash, property and other assets tax-free.
These 13 trusts can start working for you right away:
- Revocable living trust: Avoid probate and discover how to save your heirs time and money, as well as avoid costly Medicaid liens.
- Minor’s trust: Build a major tax shelter – shift income into your children’s lower tax bracket and still keep control over your money.
- Preservation trust: Safeguard your wealth and ensure your heirs’ financial security with this “spendthrift” trust.
- QTIP trust: Give your spouse security, make sure your assets go to your designated heirs and defer estate taxes.
- Life insurance trust: Fund your trust with inexpensive term insurance and protect your money from the government.
- Charitable remainder trust: A tax liability can become a tax deduction. Use this trust to turn capital gains into a deduction and help others.
- Credit shelter trust: Leave your children millions – by bypassing future estate taxes.
- Retained interest trust: These trusts can be highly lucrative and their contents are considered gifts. They are tricky to navigate, but The Book of Trusts will guide you.
- Personal residence trust: Remove your house from your estate without taking your family out of the house. Your house becomes a tax shelter and you save big.
- S-corporation trust: Pass your business along and defer taxes until much later. A savvy move for business owners.
- Generation-skipping trust: Bypass your children, and also bypass significant estate taxes with this million-dollar loophole.
- Asset protection trust: These offshore trusts shelter your income abroad, letting you think globally and act locally.
- Investment trust: Your assets won’t just be protected, they’ll also grow.
The Book of Trusts fully explains every trust, and each explanation includes a quick summary for easy reference.
You can’t always plan your future, but The Book of Trusts can help you ensure what happens to your money. You'll have peace of mind knowing that, long after you're gone, you'll still be taking care of your loved ones.
Phillip A. Ash, CPA