man reviewing documetns

When planning your estate, you may assume the only document you need to establish is a will. While doing so is critical, there are other options you should consider, like establishing trusts that can help protect your assets. If you aren’t sure what your options are or why you might want to consider creating one, you’ll want to keep reading to learn more about irrevocable trusts and their benefits. Additionally, if you decide this is something you are interested in, you’ll discover how a Pasco County, FL wills & trusts lawyer can help you establish an irrevocable trust.

What Is an Irrevocable Trust?

An irrevocable trust is a kind of trust fund that, once created, cannot be modified, changed or revoked. This is because the person who creates and puts initial assets in the trust, known as the trustor, relinquishes legal ownership of the assets upon creation of the trust. As such, they are unable to alter the terms of the will.

There are certain circumstances in which an irrevocable trust may be modified, such as if the beneficiaries of the trust agree to it or it’s ordered by the courts. However, this can be a challenging process.

Why Might I Need One?

There are many reasons that individuals create irrevocable trusts. One of the most common reasons is to protect their assets. If you are in a field where you may face lawsuits or are worried about creditors seizing assets intended to go to your beneficiaries, creating an irrevocable trust can help shield these assets. This is because you no longer own the assets, so if you are sued, the assets you put in the trust cannot be taken because they legally do not belong to you.

Another common reason many set up irrevocable trusts is so they can reap the benefits of government assistance programs, either for themselves or others. If you have a certain amount of assets, you may be disqualified from things like Medicare. As such, placing assets in a trust can help reduce the value of your estate, helping you qualify. This is also the case if you want to financially provide for someone with additional needs due to a disability without disqualifying them from the assistance programs they rely on.

What Should I Do if I Want to Create One?

If you are interested in creating an irrevocable trust to help shield your assets or provide for your loved ones, connecting with an experienced estate planning attorney for this process is critical. Because of the nature of these documents, ensuring you have an attorney help you establish one is critical, as making an error can be incredibly challenging to fix.

At the Law Offices of Matthew J. Jowanna, we understand how overwhelming it can be to consider all your estate planning options. That’s why our dedicated team is here to listen to your circumstances and wishes to provide you with the best information possible so you can make an informed decision about your estate. Connect with us today to learn how we can guide you through this process.