The best way to save money if you’re setting up a trust is to know the steps involved. Obviously, the biggest expense with trust creation is the lawyer. The best way to reduce a lawyer’s fees is to reduce or eliminate the amount of time that a lawyer has to spend with you.

Do You Homework

Here are some of the things that you should know before contacting a lawyer about setting up a trust:

• the purpose of a trust
• the benefits of a trust
• the types of trusts available
• the type of trust that’s right of you
• the assets that will be going into the trust
• who the trustee or trustees will be
• who the beneficiaries will be
• when will the assets be distributed
• under what conditions will the assets be distributed (or withheld)
• what percentage will each beneficiary receive

If you already know, walking into his or her office, what the trust is going to look like, then your lawyer is going to be a glorified paper filer. They will make sure all of the t’s are crossed and the i’s are dotted and that all of the paper work is filed with the proper authorities.  The more information you have and the more decisions that you’ve already made before you meet with your lawyer, the cheaper it is going to be on you, and you may actually be able to avoid a lawyer’s services altogether.

The Role of a Lawyer

I don’t mean to undersell that skill that lawyer’s bring to the table, because it is an important one. It is a skill that in all likelihood you do not possess and that is what we need lawyers for. The laws relating to trusts vary for jurisdiction to jurisdiction. There are bunch of ways that anyone unfamiliar with those laws and the legal system, in general, can miss something that throws the validity of their trust into question.  So, I would definitely recommend enlisting the services of an attorney if you have any outstanding legal or tax-related after you have completed your research.

Your Range of Options

If, however, you know exactly what you want from your trust after you have done your research then you could download the forms necessary for your state from a legal document site like this one.  This is by far the least expensive option and should cost you less than $100, but you’ll be largely on your own.

If you still have a just couple of questions or would like just a bit of guidance through the process you can use a legal document service like LegalZoom where you can get the documents drafted for you after filling out a questionnaire or two.  This will cost you a bit more, but there will be much more guidance and you even have the option of asking questions of a real attorney.  You can expect to get a package like this in the $200-400 range.

Of course, you can do everything through your attorney.  Most of the communication will be face-to-face, which can be very comforting.  This also requires the least research on your part.  Plus an attorney would be able to help you with any type of trust, whereas the online services are mainly for living (revocable) trusts.  Obviously, though, this is the most expensive option by far.  Expect to pay over a $1,000 for this route and it could be well about that depending on how complicated your trust is.  The good news is that if it is really complicated A) an online service would be insufficient for your needs and B) you probably have a lot of money and can easily afford the attorney’s fees.

Conclusion

My point is that the fees related to filing are inevitable and well worth the money, because a trust is important and great way to save real money in the long-term. But if you can avoid using an attorney or just reduce the time your lawyer spends counseling you on your options simply by doing just a bit of research on your own the process of setting up a trust will be a whole lot cheaper for you.

When you think of a trust fund you think of setting up a trust as a way to manage your money, or possessions when you die. But how about for tax purposes?
Before we begin, though, lets first look into what a trust entails. Continue reading →

In a Discretionary Trust, the trustees have the decision-making power to decide which beneficiary receives the funds from the trust and up to what amount.   This kind of control and decision-making power involves the trustee having a lot of power, so selecting a trustworthy (no pun intended), responsible trustee is particularly important with this type of trust. Continue reading →

What… you want to know about setting up a charitable trust???

One of the first questions that come up when trying to learn about something is seeing who has done this before. The answer to that is quite simple actually Continue reading →

Setting up a testamentary trust is a wonderful way for protecting your property and passing it on to your progeny.

Back in the days during the feudal period, in England, the landowner would leave his estate to go and fight in the Crusades. Before they left, they would assign their property to a trusted person to keep and care for until hey got back. This would be on the promise that they would get the property back when they returned.

English common law did not recognize these arrangements, and often, when the landowner returned from the Crusades, his trusted acquaintance would not give his property back to him. Unfortunately, Continue reading →

Who are the participants of a trust? Each individual has different roles and responsibilities. There are three main players involved with a trust.

1. The Trust Creator
2. The Trustee
3. The Beneficiary

So who are these players?

The Trust Creator

The trust creator probably will be you if you’re reading this post. It’s simply the person that goes through the trouble of working with Continue reading →

So you have decided that you want to take care of your pet when you gone? It turns out that setting up a pet trust requires some preparation. A trust for a pet is very similar to one for a minor child in many respects. These legal mechanisms allow a pet owner to make sure that their animal is well taken care of if they are not around or are unable to care for them. The trust requires specific information on how the owner would like their pet cared for as well as who should care for the animal and how. Unlike a trust for a child, who will eventually grow to adulthood, these trust must account for the fact the animal will require attention for the rest of their lives.

What are the types of pet trusts?
Pet trusts are legal in 38 states and the District of Columbia. There actually two types of pet trusts. The traditional pet trust Continue reading →

If you are thinking about setting up a trust for minor children, chances are you have lots of questions. Is it a good idea? What are the advantages? How does it work? What are the down sides? Do I need a lawyer? If you are asking these questions you are not alone. Setting up a trust can be daunting. Here are some steps you should take to get you headed in the right direction. Continue reading →

So you are not sure if setting up a trust is right for you. Many people have heard of a trust as a legal way to have some money or property managed by a person or organization for the benefit of others. They are one of the best ways to take care of your children, elderly or even yourself when you are not able to. Many people are intimidated by the idea of a trust. But by learning a little about how a trust works can make it easier to decide if you need one. Lets define a couple of terms:

What is a Trust?

A trust is a financial instrument designed to help protect the property and financial assets of individuals and families. A Trust involves multiple parties: Trustor(s), Trustee(s), and Beneficiary(ies). A strong case for setting up a Trust for an elderly parent is to avoid a potentially long and costly probate process after the trustor’s death. Continue reading →