Trust Fund Lawyer in Surfside Beach, SC

Trust funds are an estate planning tool that offer a secure and protected way to avoid probate, protect heirs from creditors, and provide specific instructions and distribution schemes for your intended beneficiaries. At Bespoke Estate Law, we are not just a trust fund law firm in Surfside Beach and the surrounding area, we are your trusted estate planning partners.

We have experience with all manner of trusts, and we have successfully helped hundreds of clients secure their assets. Let us provide you with a sense of confidence and reassurance by carefully structuring an estate plan unique to your situation. For a free consultation, please give us a call or fill out our contact form.

How Does a Trust Work?

A trust is a legal instrument in which the settlor (the person creating the trust) provides written instructions to a trustee (the person who manages the trust) on how to manage and distribute the property (corpus) and income belonging to the trust to the named beneficiaries. There are many different types of trusts, each created for a specific purpose. A trust can also be viewed as a container in which you place property, funds, stocks, and other assets, where they will remain until an enumerated distribution is made to a beneficiary. Common trust types include:

Revocable Living Trusts

A revocable trust is created during the settlor's lifetime. The purpose of a RLT can be to plan for incapacity, avoid probate once the settlor passes away, or to establish a staggered distribution scheme for a beneficiary so that they do not receive a large sum at one time. The settlor, as the creator, holds the power to terminate or alter the trust at any time, thus retaining a sense of control and flexibility.

Irrevocable Trusts

Irrevocable trusts can be utilized to protect assets or hold assets for the benefit of another. They can hold lifetime gifts for the beneficiaries, and can also act as a vehicle for distributing assets upon the settlor's death. Once an irrevocable trust is created, the settlor generally cannot materially alter the trust. The settlor effectively relinquishes control of the trust property, and appoints another to serve as trustee in a fiduciary capacity for their benefit. Irrevocable trusts can provide tax advantages because assets held in an irrevocable trust may no longer be counted as part of the settlor's estate. Irrevocable trusts may also be used to protect assets from lawsuits and creditors.

Testamentary Trusts

A testamentary trust is created under the terms of a will. Instead of being funded while the settlor is alive, testamentary trusts will be funded upon the settlor's death.

Special Needs Trusts

A special needs trust (or supplemental needs trust) can be utilized to support beneficiaries with disabilities. A major benefit of a special needs trust is that it provides disabled beneficiaries with financial assistance without disqualifying them from government benefits based on income.

Probate Avoidance

An important benefit of trusts is the ability to avoid probate. Assets that are dictated to be distributed in a will must go through the probate process before they are distributed. Probate can be costly and lengthy, even moreso if the decedent's estate is complex. Additionally, creditors must be placed on notice of the decedent's death and paid from the estate property before the named beneficiaries may receive a distribution. If you die with debt, the probate process may prevent your loved ones from receiving their intended gifts.

Trust property will bypass probate administration entirely. While the type of trust utilized will affect tax and creditor protections, both revocable and irrevocable trusts will bypass probate and enable your loved ones to receive their gifts promptly.

What Does a Trustee Do?

If the settlor is also the trustee during their lifetime, they do not incur any additional responsibilities; management and control of trust assets is retained and assets are still taxed to the same social security number. If a trustee other than the settlor is named, they can be an individual, multiple individuals, or an entity. Trustees manage property in a trust for either a beneficiary or the settlor's benefit. Trustees play many vital roles; they are responsible for correctly following the provisions of the trust, adhering to specific state law, and ensuring that the trust property is preserved prior to distribution. A trustee can incur legal liability if they do not properly perform their duties.

The responsibility to preserve trust assets includes managing and responsibly investing trust assets. Trustees also have to file the trust's taxes and inform the beneficiaries of the trust property's status. Under no circumstance should a trustee utilize the trust property for their gain or co-mingle their funds with the trust's property.

Because of the profound legal resonsibilitiess of being a trustee, trustees may choose to hire professionals to aid in their duties.

Let Our Trust Lawyers in Surfside Beach Help You

At Bespoke Estate Law, we take a client-first approach to estate planning. Starting with a candid conversation, we will learn your specific goals and use our extensive legal expertise and experience to create the perfect vehicle for your assets. Once we draft the documents, we will review them with you and answer any pressing questions.
We've helped hundreds of families avoid probate and provide financial safeguards for their loved ones. Contact us today for a complimentary consultation. We will discuss your situation and take the first step in creating your trust fund. We offer comprehensive estate planning in Myrtle Beach and the surrounding areas, and we would be happy to work with you.