A revocable living trust is an estate planning tool that allows individuals to manage their assets during their lifetime and decide how they should be distributed after their death. Unlike a will, a revocable living trust can help avoid probate, providing a more streamlined process for asset distribution. Below are three diverse examples of sample revocable living trust documents, each tailored to different contexts and needs.
In this scenario, a married couple with children wants to ensure that their assets are managed and distributed according to their wishes, while also avoiding probate.
“This Revocable Living Trust is established this 1st day of March, 2023, by John Smith and Jane Smith, residing at 123 Elm Street, Springfield, State.
The Grantors, John Smith and Jane Smith, hereby declare that all property placed in this trust shall be held for the benefit of their children, Emily Smith and Michael Smith, until they reach the age of 21.
Upon the death of the last surviving Grantor, the Trustee shall distribute the trust property equally among the children, provided they have reached the age of 21. If any child is under 21, their share shall be held in trust until they reach that age.”
Notes: This example emphasizes the need for asset protection and gradual distribution for minor children. The trust can be amended or revoked by the Grantors at any time while they are alive.
This example illustrates a revocable living trust designed to provide for a beneficiary with special needs without jeopardizing their eligibility for government assistance.
“This Revocable Living Trust is created on the 15th day of April, 2023, by Lisa Johnson, residing at 456 Oak Street, Springfield, State.
The Grantor, Lisa Johnson, intends to create a special needs trust for her son, David Johnson, who has disabilities. All assets placed in this trust shall be used for David’s supplemental needs, such as education, medical expenses, and recreational activities, without affecting his eligibility for government benefits.
The Trustee shall have discretion over the trust funds and may disburse amounts as needed for David’s benefit, ensuring that the primary goal is to enhance David’s quality of life without compromising his government assistance status.”
Notes: This trust emphasizes the importance of careful planning for beneficiaries with disabilities. It is crucial to consult with an attorney specializing in special needs planning to ensure compliance with relevant laws.
In this scenario, a business owner wants to ensure a smooth transition of their business after their death while also handling personal assets.
“This Revocable Living Trust is established this 10th day of June, 2023, by Mark Thompson, residing at 789 Pine Street, Springfield, State.
The Grantor, Mark Thompson, owns Thompson Enterprises LLC and wishes to place all business interests and personal assets into this trust. The Trustee, appointed by the Grantor, shall manage the trust assets during the Grantor’s lifetime and shall distribute them according to the Grantor’s wishes upon their death.
In the event of the Grantor’s incapacity, the Trustee shall have the authority to operate the business and manage all trust assets until the Grantor can resume their duties or until the Grantor’s death.”
Notes: This example highlights the necessity of including business interests in a revocable living trust. Business owners should seek professional advice to ensure the trust aligns with their business succession plans and complies with state laws.