Do I need a trust?
This is a complicated question. For most people in the Idaho Falls and Blackfoot areas, the answer is: probably not. However, you should consider some of the advantages of a trust:
1. If you’re wealthy. Currently, your estate is exempt for estate taxes up to around 5 million dollars. Be careful, however–this number changes fairly frequently, and it could easily become less. However, unless you’re fairly wealthy, you don’t need to worry about estate taxes.
2. If you own real estate property outside of Idaho. In order to probate property outside of Idaho, your heirs will have to open up probate proceedings in each state where you own real estate. This can get expensive, depending on where your property is.
3. If you want to protect your assets from Medicaid. However, you need to take action early here, as the government looks back five years to make sure you haven’t given away money–to individuals or to a trust–within that time. If you place your money and property into a trust, and three years later you end up needing Medicaid for your nursing care needs, you’ll have problems.
4. Other reasons. There may be other reasons for you to set up a trust; however, a will may be a better option, and a will is certainly less expensive. Some attorneys may try to sell you a trust when you have no need of one; I usually recommend a will instead, but may recommend a trust depending on the circumstances.
Call me at 208-206-1475 to discuss your options.