trust misconception

In 2021, approximately two out of every ten estate plans made in the United States were trusts, according to LegalZoom. These statistics show that far more people create wills every year than do trusts, perhaps in part due to misconceptions about trusts themselves. These misconceptions can keep individuals from realizing the true value that a trust can create for them and their families.

Three Things People Get Wrong About Trusts

To know whether a trust is right for you, you need to have an accurate understanding of what a trust is under Florida law. Some common misconceptions people have about Florida trusts include:

Misconception #1: A Trust is Only for Wealthy People 

First, some believe that unless you are wealthy and have considerable assets, a trust is of no use to you. But a trust can be used to manage estates of any size and can be used to achieve a variety of goals beyond simply preserving wealth. For example, a trust can:

  • Help you avoid probate proceedings that can make your estate part of the public record
  • Provide tax benefits to those who will receive and benefit from your assets
  • Allow for the long-term care of dependent children or adults
  • Keep minor children or irresponsible young adult children from inheriting your assets all at once

It is worth speaking to a Florida estate planning lawyer about what you would like to happen following your passing and then see how a trust can help you achieve that goal.

Misconception #2: A Trust Takes Care of Itself Once It Is Set Up

While it is true that a trust agreement will govern the trust’s operations as long as the trust has assets, a trust is still part of your estate plan. This means that it is beneficial to review your trust agreement periodically, especially if you experience a major life change. Doing so with a Florida estate planning attorney can help ensure your trust always reflects your present goals and desires.

Misconception #3: Trusts Take Too Much Time and Cost Too Much to Set Up

Florida’s laws governing trusts may seem intimidating, but trusts are not significantly more difficult to establish than a will or healthcare directive. Especially when you have an experienced Florida estate planning lawyer helping you, setting up your trust or changing an existing trust is simple.

The Importance of Having Skilled Estate Planning Counsel in Florida

Getting the full value out of your trust requires having someone with knowledge guide you in setting up and managing your trust. Largo estate planning law firm Centonzio Law is proud to be this sort of legal resource for our community. You may only have a vague idea of how you want to protect and provide for your family after your passing. With our help and knowledge, we will turn your vague aspirations into a concrete and effective estate plan. 

Contact our Largo office today to schedule a consultation with us and to get started crafting your comprehensive estate plan. You can call us at (727) 900-7290 or reach out to us online.