A trust can be an invaluable tool for estate planning. Families, individuals and couples can use a trust to create a strong, clear and efficient plan. However, making mistakes within a trust agreement can diminish the value of this important document and in some cases can lead to catastrophic outcomes. Every client and every trust is different (and merits careful and personalized consideration) but the following items would almost always be a big mistake:
1) Technical Errors. A trust needs to be prepared and signed in a way that is clear and legally enforceable. In my practice, I often see wrongly executed documents and patently unclear wording - and trust documents are no exception. Getting things right with regard to signing requirements, notarization where appropriate and including witnesses when required (they aren't always) is essential to having reliable and enforceable estate planning. 2) Not Planning for Unforeseen Circumstances. A good estate plan and a good trust include provisions that consider a wide range of "what if" scenarios. Planning for situations that may seem less likely or that are unknown is crucial in a Missouri trust. For example, when we prepare a trust, we're always considering alternative plans in the event that a family member dies earlier than expected, becomes mentally incapacitated or experiences unforeseen life circumstances. 3) Not Naming the Right People in the Right Places. Naming the right people in the right places is crucial to good estate planning. We work hard to talk through and walk through various options when it comes to naming a trustee and of course naming the trust's beneficiaries. Having a trustworthy inner circle of people to help guide things after your death is helpful but even in situations where that's not possible, we always want to weight various options. 4) Not Understanding Available Options. Estate planning with a trust affords a lot of flexibility and many options. There is no such thing as a "cookie cutter" plan and failing to understand available possibilities and choices can be catastrophic. Of course, understanding the merits of a Will vs. Trust is an important starting point - but even within the realm of trust-oriented planning, there are so many tools and possibilities to help endure you and your family are reaching the most desired and best outcomes. Knowing what can be done and how to do it is critically important and failing to full understand available tools can lead to major misses and substantial problems.
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2/3/2025 0 Comments Do I Need a Will?A Will is such an important part of any estate plan. A Will can include various components and can accomplish various goals - but in any case it serves a valuable purpose. In Missouri, there are particular requirements for signature, witnesses and similar details underscore the importance of having the right guidance and expertise for the creation of a Will. We help individuals and families with Wills, Trusts, Powers of Attorney and comprehensive estate planning.
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