ARTICLE
8 November 2024

Does A Revocable Trust Help Avoid Hassles Of Probate Administration?

MM
McLane Middleton, Professional Association

Contributor

Founded in 1919, McLane Middleton, Professional Association has been committed to serving their clients, community and colleagues for over 100 years.  They are one of New England’s premier full-service law firms with offices in Woburn and Boston, Massachusetts and Manchester, Concord and Portsmouth, New Hampshire. 
If you have experienced probate, then you know first-hand why many individuals wish to avoid it. Traditionally, the Probate Court serves an important function in supervising the administration...
United States Family and Matrimonial

Published: Union Leader
November 5, 2024

Q: Does a Revocable Trust help avoid the hassles of probate administration?

A: If you have experienced probate, then you know first-hand why many individuals wish to avoid it. Traditionally, the Probate Court serves an important function in supervising the administration of the estate of a decedent. However, the benefits of this formal supervision must be weighed against the fact that a Will, along with related filings, are public documents and thus lack privacy. Probate is often time consuming and can be expensive (which usually requires the executor to post a bond, file formal inventories and accountings, seek approval to sell certain assets and distribute property to beneficiaries). In a modern New Hampshire estate plan, many individuals choose to avoid probate to the extent possible. The establishment of a Revocable Trust is a useful first step in that process.

Most people already have assets that avoid formal probate. For example, most life insurance policies, retirement plans and jointly-owned real estate can pass to beneficiaries without probate. However, most other assets owned by a decedent must do so. Examples include financial accounts, tangible personal property, business interests, and certain real estate.

Your Revocable Trust serves as a modern Will substitute. During your lifetime, you remain in control of all your assets. Upon your death, these assets bypass the often onerous (and time consuming) aspects of probate.

Moreover, a well-designed Revocable Trust allows you to provide a robust structure for your assets that are difficult to achieve with a Will alone. After your death, a Revocable Trust can hold and protect assets, in trust, for the benefit of a surviving spouse, minor children or grandchildren (even pets!), and can be especially useful for individuals who may be facing federal (and/or state, say Massachusetts) estate tax. Revocable Trusts can be used to manage and preserve family businesses (or vacation property), implement an appropriate succession plan, or to ensure a proper sale.

By avoiding probate, your family can maintain privacy. Unlike probate administration, property inventories and accountings are (generally) not available to the public. Perhaps most importantly, upon your death, your Trustee has immediate access to your assets to pay bills and final expenses without waiting weeks for a court appointment or approval.

Is a Revocable Trust right for you? Perhaps. You should consult with your estate planning attorney to learn about how you might benefit from a well-designed Revocable Trust.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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