Revocable Trusts And Irrevocable Trusts In Garden City
Revocable and irrevocable trusts serve different purposes in estate planning. The right choice depends on your priorities – keeping control or protecting assets. Knowing how each trust works makes it easier to decide what fits your family’s needs.
At NY Elder Law Group, we help clients in Garden City and across Long Island and the Boros choose and create trusts that match their goals. Some families want flexibility during life, while others need long-term asset protection.
How Revocable And Irrevocable Trusts Work
A revocable trust gives you control. You can change or end it at any time during your life. This type of trust helps avoid probate but does not protect property from creditors, since the assets remain in your name.
An irrevocable trust provides stronger protection but less flexibility. Once created, the terms usually cannot be changed. This option can protect assets from creditors and help preserve eligibility for Medicaid or other benefits. Families often choose this trust for advanced planning.
Key Differences Between The Two
The main differences between revocable and irrevocable trusts are the following:
- Control: Revocable trusts let you stay in charge; irrevocable trusts transfer control to a trustee.
- Flexibility: Revocable trusts allow updates; irrevocable trusts are usually permanent, with certain exceptions.
- Asset protection: Revocable trusts offer little defense; irrevocable trusts provide stronger protection.
- They both avoid probate.
The right choice depends on whether you value control now or security later. A lawyer can help you make these choices and plan your estate according to your wishes.
Legal Considerations In New York
Trusts must follow state rules on drafting, funding and management. Mistakes can make a trust invalid. A New York attorney ensures the trust is set up correctly and avoids problems in the future.
FAQs About Revocable And Irrevocable Trusts
These are the most common questions we get about trusts:
Can I move assets into a trust after it is created?
Yes. Both types of trusts must be funded after drafting. This means retitling property, transferring accounts or updating beneficiary forms.
Does a revocable trust protect assets from nursing home costs?
No. Because you still control the assets, Medicaid counts them as yours. An irrevocable trust is usually needed to protect property in this situation.
Can I serve as trustee of my own irrevocable trust?
Usually, no. Acting as your own trustee limits the trust’s ability to protect assets. Naming another trustee is recommended for full protection.
Speak With A Lawyer About Estate Planning Trusts
Setting up the right trust takes careful planning. NY Elder Law Group helps families in Garden City and throughout Long Island and the Boros build estate strategies that protect what matters most. Call 516-246-8319 or send us a message online to schedule a consultation today.