Paramus Trusts Attorney
Bergen County Revocable & Irrevocable Trusts Lawyer
At its most basic level, a trust is an arrangement where one person holds some asset for the benefit of another person. Trusts can exist in a Will, coming to life only upon the death of the person who created the Will, or a Trust may exist on its own. Trusts can be revocable or irrevocable, complex or simple. Trusts can be created for special needs purposes or charitable purposes and Trusts can vary from one page to dozens of pages.
A Paramus, New Jersey lawyer from Whitlock Canter LLC can discuss with you the advisability of establishing specific trusts. Please contact our Bergen County firm to arrange your consultation about any of the following.
- Credit shelter trust - The credit shelter trust is also known as a bypass trust or an A/B trust. It is a popular technique used by married couples whose combined assets exceed $675,000. This type of trust is one of the ways we protect clients' assets from estate tax.
- Revocable trust - According to the terms of a revocable trust, the settlor or grantor will have the power to amend or "revoke" the trust during their life. Upon their death, all assets held in the revocable trust are distributed according to the terms of the trust.
- Irrevocable trust - An irrevocable trust cannot be amended or “revoked” once created. Irrevocable trusts offer tax advantages that revocable trusts do not. Irrevocable trusts are often used to own life insurance policies to keep the life insurance proceeds out of an insured’s estate for estate tax purposes.
- Life insurance trust - This is an irrevocable trust established for purposes of owning a life insurance policy. It is commonly used when the combined assets of a client, including life insurance, retirement benefits, real estate, and other assets exceed estate tax exemptions.
- Grantor retained annuity trust - This is a sophisticated estate planning technique that can be used to transfer valuable assets to family members at reduced values.
- Generation skipping trust (dynasty trust) - Also called a dynasty trust, a generation skipping trust ensures assets are passed on in further trust for future generations without being taxed in the children's estates.
- Charitable remainder trust - A Charitable Remainder Trust (“CRT”) is a Trust created for charitable and estate planning purposes funded by a taxpayer with charitable and tax reduction intentions.
If you are interested in learning how a trust can help you achieve your estate planning goals, contact Whitlock Canter LLC to arrange your consultation.