Make a Trust
by
Mary Randolph, J.D.
Trusts aren't as complicated as they sound: here are the few steps you need to make one.
1. Decide if you need a shared trust.
If you are married and you own most of your property together, a shared trust may be the right way to go. Your other choice is two individual trusts. For more information, see How Living Trusts Avoid Probate.
2. Decide what items to leave in the trust.
You probably don’t want to hold all your property in your living trust -- just the big-ticket items that are headed for probate unless you act.
3. Decide who will inherit your trust property.
For most people, choosing family members, friends, or charities to inherit property is easy. After you make your first choices, don't forget to choose alternate (contingent) beneficiaries, too.
4. Choose someone to be your successor trustee.
Your trust must name someone to serve as "successor trustee," to distribute trust property to the beneficiaries after you have died. Once you’ve made your choice, discuss it with the person you have in mind to make sure he or she is willing to take on this responsibility.
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