Revocable Trust Management Services

A revocable trust is a valuable tool for estate planning purposes. It offers several advantages over a will and can help simplify the process of distributing your assets upon your death. Our trust administration services can help realize the goals you want to achieve with a revocable living trust. Contact us to learn how.

Revocable Trust

What Is a Revocable Trust?

A revocable trust is set up during the trust maker’s or grantor’s life to oversee the management and distribution of their assets. Because it exists during the grantor’s lifetime, it’s also called a living revocable trust. Unlike an irrevocable trust, a revocable trust can be changed at any time until the grantor’s death. The grantor can add or remove assets, change beneficiaries or update instructions in a revocable living trust. Like an irrevocable trust, a revocable trust can hold a wide range of assets, including:

  • Bank accounts
  • Investment portfolios
  • Primary and vacation homes
  • Collectibles, like museum-quality art

Who Can Be a Living Trust Trustee?

A living trust trustee is usually the grantor of the revocable trust. The grantor will generally name a successor trustee to manage the trust at their death or incapacitation. While it may seem logical to name a friend or family member as the successor trustee, the duties of a trustee are time-consuming and require a wide range of skills. At Independent Trust Company, we have the necessary expertise and sensitivity to serve as the trustee of a revocable trust. Our clients rely on us to act as their family trust trustee, carrying out the grantor’s wishes. Contact us today to learn what our trust administration services can do for your family.

The Limits of a Revocable Living Trust

A revocable living trust provides a great deal of flexibility in handling a trust, allowing the grantor to switch out assets and change beneficiaries. However, revocable trusts do have some limits.

A living revocable trust doesn’t offer all of the protections of an irrevocable trust. If you’re interested in creating a revocable trust, you should be aware of these limitations.

Tax Avoidance

Because the assets of a revocable trust still belong to the grantor, that person is responsible for income, inheritance and estate taxes.

Creditor Protection

Because the grantor retains possession of revocable trust assets, creditors can go after those assets to satisfy a judgment against the grantor.

The Benefits of a Revocable Trust

There are many revocable trust benefits, the chief of which is the flexibility provided for the grantor. The trust maker not only can change beneficiaries but also has complete control over all trust assets, allowing them to do things like sell property or manage the investments in the trust’s portfolio. Other benefits of a revocable family trust include:

Revocable Living Trust

Probate Avoidance

Living trusts may allow a person’s estate to avoid probate if his or her assets were transferred into the trust before his or her death.

Management if Incapacitated

If the grantor becomes incapacitated for any reason, the successor trustee automatically assumes the administration of a revocable trust. It generally becomes irrevocable at that point.

Privacy Provisions

Because probate court records are open for public review, a revocable trust offers more privacy protection than a will.

Take Advantage of Our Revocable Trust Expertise

As the trustee of choice for so many families, Independent Trust Company is uniquely qualified to administer your revocable trust. Our client focus and experience can make a world of difference for your family, plus we offer invaluable advisor trust services for financial advisors. Contact us today for a revocable living trust services experience that works for your family.