The most effective estate plans are not simply signed and stored away. They are funded, coordinated, maintained and reviewed to ensure they continue to accomplish your goals and protect the people you care about most.
Sharon L. Wick, Partner
While there are other benefits to the use of a revocable trust in your estate planning, one of the primary benefits is to avoid the need to probate your Will. This benefit is only available if all of your assets are actually titled in the name of the trustee of your revocable trust or have a beneficiary designation. If you continue to own the assets in your name alone that do not pass by beneficiary designation, then upon your death, your executor will be required to petition the court to have your Will admitted to probate. While not fatal, it defeats the purpose of having a revocable trust.
As a general rule, all assets, other than retirement plans, should be titled to the trustee of the revocable trust: bank accounts, investment accounts, real estate, ownership interests in corporations or partnerships, tangible personal property, etc. While you can designate beneficiaries to receive most assets upon your death, if you name a person directly, then the terms of your trust will not govern with respect to that asset, which may not be the outcome you want. You should work with your estate planning attorney to review the detailed list of your assets to make sure that your revocable trust is properly funded.
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