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Originally Posted by Eg_cruz
I respectfully disagree at the top of my head. I can tell you three different scenarios with our clients. I’m not a lawyer, but I deal with the senior market. We had one where the son was filing for divorce when the father passed away at that time, the ex-spouse wanted 50% of the father’s inheritance, she didn’t get it because the funds were in a trust. Another was a brother passed away and his inheritance was going to the sister who was on Social Security disability had it not been in trust that would’ve thrown her off of her disability, but because the funds were in a trust they were able to give her a monthly Income off the trust and not disturb the Social Security disability. The last we had a person who was just finishing the final stages of the divorce when his mom died and so again the spouse went to try to get 50% of that inheritance because the divorce, even though they were in the final stage, it wasn’t finalized, but again because the funds were in a trust They were able to protect it.
It’s not always whether or not it’s an easy estate or if it’s a complicated estate or if it’s blended families or you’re leaving out a child it really a lot of times comes down to protecting the creditors and predators because you never know what your children could be going through at the time you pass so for their protection that’s where a trust comes in.
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You are explaining a situation where a trust is needed because the estate is complicated. But there are many situations where a trust is not needed, but the attorney wants to sell you a trust to make money. A trust is not needed in every case, but some attorneys will sell you a trust anyway. If you only have one heir, and simple assets, you do not need the hassle and cost of a trust. All I am saying is that you need to make an informed decision about when you need a trust and when you don't. It has nothing to do with the value of your assets. Don't blindly accept the advice of an attorney who is motivated to sell you a trust even if you don't need one. I have substantial assets, but I definitely do not need a trust, even though several attorneys have tried to sell one to me, just based on my assets.