Can a Living Trust Be Changed? Answered

Revocable Living Trust Can a Living Trust Be Changed? Answered

Can a Living Trust Be Changed?

Trusts are an estate planning tool just like wills. They can be used to leave assets to beneficiaries.

Learn more about revocable living trusts, the different types of trusts available to you, why people would choose living trusts over wills, and how DoNotPay can simplify the process and cut through the legal bureaucracy. 

Revocable Living Trusts 

Revocable living trusts can be altered. Let’s go over some of the reasons why a revocable living trust would need to be amended:

  • You get married, have a child, or your spouse passes away
  • Other property needs to be added to the trust
  • Your desired beneficiaries change 
  • You change your mind about the properties and assets that will be handed over to a beneficiary
  • You move to a different state that has different estate laws

The above lists some of the reasons why it may be necessary to change your revocable trust. Some of the reasons one may revoke or nullify the trust include the event of a divorce or bankruptcy. If you want to start over completely from scratch, you can retract the trust altogether as well.

Trusts that cannot be altered

While revocable living trusts can be changed, irrevocable trusts cannot. An irrevocable trust is primarily set-up to lighten tax burdens on properties and assets. It cannot be modified, altered, or retracted in any way once it has been notarized.

Revocable trusts become irrevocable once the grantor (author) of the living trust passes away. To learn more about this process, click here.

Living Trust vs a Will

The biggest difference between a living trust and a will is the date the provisions of the document become active. Trusts are active as soon as they are signed whereas wills become active after their author dies and go through a process called probate, which:

  1. Verifies that the will’s author has indeed passed away
  2. Verifies that the author in question did write the will
  3. Verifies that the will is valid, up to date, and the newest possible version
  4. Addresses any contestations to the will
  5. Makes the will available for contestation, and makes copies available for all beneficiaries, family members, and involved parties. 

Wills are simpler and easier to create. However, the probate process is time-consuming and complicated. Living trusts are harder to create but easier to execute.

How to Create a Living Trust

  1. Identify your assets to be put in the trust. Please note that certain assets do not belong in a living trust, due to tax reasons, or even just ease of transfer. For more information, check out the full list provided here. 
  2. Gather titles for each property that will go in your trust. 
  3. Now that your assets are in the trust, you can detail which beneficiary (or recipient) listed in your trust will receive which asset. If you do not have a specific idea of which assets you would like each beneficiary to take, or have finished your specific requests, you can make the rest of your beneficiaries ‘residuary beneficiaries’, meaning they will receive a portion of anything not specifically assigned. 
  4. Name your trustee and a backup trustee. As your trustee, this person has the obligation to:
  • Carry out your wishes and make sure the right beneficiaries receive the right assets
  • Manage the assets without fraud or personal gain
  • Not receive any of the assets
  • Treat all beneficiaries equally

Get a Revocable Living Trust From DoNotPay!

It’s never too early to start your estate planning. While you can get cheap online forms, DoNotPay is a better option. DoNotPay is here to make it easy, simple, and painless so you can get your assets in order without having to stress over it.

Here’s how you can create your own living trust with DoNotPay:

  1. Log-in to DoNotPay and look for the Revocable Living Trust product
  2. Enter the state you live in
  3. Provide the names of your assigned trustee(s)
  4. Provide the names of your desired beneficiaries
  5. Enter the assets and properties to be managed under the trust

That’s it! DoNotPay will create a revocable living trust for you - this trust is not legally-binding until you get it notarized!

Guide to living trusts by state:

ArizonaNorth CarolinaUtah
IllinoisMarylandSouth Carolina
AlaskaNew JerseyLouisiana
OregonVirginiaWashington State
New YorkOklahoma

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