A trust is a relationship whereby property is held by one party or entity for the benefit of another. A trust is created by a grantor or a settler who transfers property to a trustee. The trustee holds that property for the trust beneficiaries. An owner of property that places property into trusts turns over part of his or her “bundle of rights” to the trustee, separating the property’s legal ownership and control from its equitable ownership and benefits. This may be done for tax minimization reasons or to control the property and its benefits if the settler is absent, incapacitated, or dead. Trusts are frequently created in wills, defining how money and property will be handled for children or other beneficiaries.
In most cases a trust operates much like a will. A trust is however considered to be its own legal entity and can be revocable or irrevocable. Over the past decade trusts have been used by many individuals in an attempt to barricade their assets from Medicare or Medicaid requests for reimbursements. However, as this has happened, Congress continues to pass laws to make it more and more difficult for a trust to serve as a vehicle to safeguard an individual’s assets from the Federal Government.
We take the time to really see if you need a trust in Twin Falls, Idaho and the surrounding areas. Felton & Felton Attorneys would be glad to offer a free consultation if you are needing help setting up your trust.