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You must understand the many different types of trust to choose from. Depending on which one you establish, you may demonstrate a varying level of control over it. Read on to discover how long a trust fund can be maintained and how a seasoned New York City trusts attorney at Zimmet Law Group, P.C. can ensure you are comfortable with this.

How long can a revocable trust fund be maintained?

First, say that you use your assets to fund a revocable trust. Well, with this trust type, you (i.e., the grantor) may maintain control over whether its terms and conditions are changed or revoked altogether at any point during your lifetime. Essentially, this is to say that you may serve as the trustee of your trust while you are still around to do so or while you still have the mental capacity to do so.

Then, upon your unfortunate passing, this maintenance responsibility is transferred to the individual(s) you named as your trustee and successor trustee(s). Once your trustee pays off the last of the debts and taxes associated with the trust, they may promptly distribute its assets to your designated beneficiaries.

Evidently, you may maintain control over assets that you do not transfer into the trust to begin with, or that you otherwise acquire after establishing the trust. Well, you must understand that it may still be possible to distribute these assets to your designated beneficiaries while avoiding intestacy laws if you establish a pour-over will in coincidence with your revocable trust.

How long can an irrevocable trust fund be maintained?

On the other hand, say that you take your assets to fund an irrevocable trust. Well, with this trust type, you may automatically surrender your ownership rights over these assets. In other words, you may give up your ability to maintain this trust fund and rather leave that up to your appointed trustee. But in a similar way, your trustee may exercise this maintenance responsibility throughout your lifetime, pay its debts and taxes upon your passing, and distribute its assets to your beneficiaries at the time and manner you instructed.

Understandably so, giving up your power may seem like a major con to an irrevocable trust. But it may be arguably outweighed by its pros. For instance, this trust type may protect your assets from being seized by creditors or other third parties. Plus, it may protect your assets from being hit with major federal and state estate taxes.

This is all to say that no single trust type is best for everyone. In conclusion, you must deeply reflect on the gravity of the matter at hand. Once you do, you must drop everything and reach out to a competent New York City estate planning attorney at Zimmet Law Group, P.C.