Revocable trusts, also known as living trusts, allows a person a great amount of control over their assets up to the time of their death. This person maintains ownership of their assets and can transfer assets ina and out of the trust at will.
The individual can serve as both beneficiary and trustee during their lifetime, and may then pass the trust on to an appointed successor.
Retaining control over a living trust
Bankrate looks at revocable trusts versus wills. As mentioned, a person will maintain control over their living trust until their death. Until then, they can make as many alterations to their trust as they wish. This includes adding or removing individuals who can act as trustees and manage the trust.
Another major benefit involves the possibility of the individual becoming incapacitated or ill. Even if they are unable to make decisions on their own, they have an appointed trustee who can follow instructions on how to make those decisions on the individual’s behalf.
Use of medical advance directives
To that end, a living trust can include a medical advance directive, and even a power of attorney. Documents like this allow for the appointed trustee to advocate properly. They also cover important information like particular procedures, prescriptions or treatments that the individual wants, or wants to avoid.
End of life care, pain management and other options can also be provided to the trustee at this point, allowing them to discuss things further with medical professionals.
Thus, compared to a will, a living trust allows a person to maintain more control over their assets, health and other such matters during their lifetime.