SimplyTrust Knowledge Base

A: Getting a trust isn’t just for the ultra-rich or paranoid—it’s a smart, strategic move that protects your assets, your privacy, and your loved ones. Whether you’re looking to avoid probate, minimize taxes, or make sure your 20-year-old doesn’t spend their inheritance on an ill-advised TikTok stunt, getting a trust is the way to go.

A: A trustee is a person or entity legally responsible for managing the assets held in a trust. Their duty is to act in the best interests of the beneficiaries, ensuring the trust operates according to the grantor's intentions. Trustees can be individuals, such as family members or close friends, or institutions like banks and trust companies. Core responsibilities:

A: Protecting beneficiaries from themselves isn't about withholding wealth. It's about ensuring that their inheritance provides lasting financial security. By tailoring an estate plan to your beneficiary's specific needs, several vehicles can accomplish this:

A: A 529 plan is a tax-advantaged savings plan designed specifically for education expenses. These plans are typically offered by states and have certain restrictions but come with significant tax benefits. (Here's more about 529 plans from the horse's mouth: the IRS.)

A: The most notable difference between individual trusts and joint trusts lies in ownership. Individual trusts are highly customizable and independent because the trustor doesn't have to consult with anyone else on decisions. However, this can lead to a more fragmented estate plan for couples who manage their assets separately.

A: 1. Not having an estate plan.2. Starting estate planning late.3. Not regularly updating estate plans.4. Overlooking digital assets.5. Ignoring health directives.6. Choosing the wrong executor.7. Forgetting to name guardians for minor children.8. Not planning for estate taxes.9. Leaving beneficiary designations outdated.10. Overcomplicating or oversimplifying trusts.11. Forgetting about contingent beneficiaries.12. Assuming a will avoids probate.13. Overlooking funeral instructions.14. Failing to include charitable giving.15. Not protecting loved ones with special needs.16. Skipping an asset inventory.17. Forgetting about business succession.18. Not funding a trust.19. Failing to communicate the plan.20. Not reviewing the plan periodically.

A: Contesting a trust or a will can be a challenging process emotionally, legally, and financially for all involved. Whether someone is questioning the validity of a loved one's trust or their will, it's essential to understand the unique processes involved. (And what makes a trust legally binding.) Because each case is unique, generally speaking, however, contesting a trust is harder than contesting a will. This is general information, not legal advice.

A: Funding a trust means connecting your assets to your trust so they transfer to the trust when you pass away, avoiding probate. Think of an unfunded trust as an empty bucket. To make the bucket useful, you need to fill it with your belongings—whether those are tangible items like real estate or intangible ones like financial accounts. The key distinction: you name the trust itself as the beneficiary (using your trust name), not the trustee.

A: Pet trusts are legal arrangements that set aside funds and instructions for your pet's care if you're no longer around to provide it yourself. Think of it as estate planning for your pet—but without the complicated legal jargon or the need for opposable thumbs.

A: Trusts are like a Swiss Army knife for estate planning—they can hold a surprisingly wide variety of items. Whether it's your Tesla, your typewriter, or your tuxedo collection, trusts are flexible enough to handle it. So, what goes in trusts? Just about everything but the kitchen sink (and honestly, maybe that too).

A: Estate planning might sound intimidating, especially when you've already retired. Breaking it into manageable steps makes the process much easier:

A: Life changes create ripple effects through an estate plan in unexpected ways. Regular reviews of estate plans—particularly after major milestones—help ensure they reflect current circumstances and future goals.