Living Trust Lawyer
Most people choose to create a revocable living trust when they are working on their estate plan because it can help to avoid probate, it can avoid many taxes, and it may be able to protect assets if you and your spouse end up going through a divorce. If you have created a living trust and are beginning to go through the divorce process, you may wonder how your assets will be affected. Does everything get split easily? Do you have a claim over certain things that your spouse does not? While this process can be daunting, having a lawyer by your side while you create the trust can help to safeguard your assets.
What happens to my assets if I get divorced?
There are a few things that can happen to a trust’s assets during a divorce.
- You are a beneficiary. If, for example, you were named as a beneficiary in someone else’s trust, these assets would likely be seen as gifts specific to you, not to you and your spouse. In such a case, the assets would belong to you and would likely not be divided up in the case of a divorce.
- You are the settler. When you are the one who has created a trust and are going through a divorce, it is very likely that a judge will see your assets as part of marital or community property. When this is the case, the assets would get divided up between you and your spouse.
Is anything different with an irrevocable living trust?
Irrevocable living trusts are not as popular because they do not allow the settler to make changes or amendments to the trust. However, if you create an irrevocable living trust prior to getting married (and thus are not placing community property into the trust) then it is usually not something that will be divided up between both spouses since the settler does not even have authority over that property.
Get Help From A Lawyer You Can Trust
When you need to make estate planning decisions, you want to know you are working with a lawyer, like a living trust lawyer from a law firm like Law Group of Iowa. They can help you go through a list of your assets and make the right decisions when it comes to creating a living trust. Don’t hesitate any longer to plan for your future. Reach out to a local lawyer today for help.