An irrevocable trust is something that is created during the grantor’s lifetime or to be enacted on his or her death in order to benefit others. There are several different situations upon which you may consider using a trust. These include:
- Generational tax planning.
- Having a child with special needs who is unable to care for himself or herself.
- Attempting to protect the assets from a beneficiary’s future creditors or a divorcing spouse.
- Wanting to ensure that the assets go to specific beneficiaries such as charities or individuals.
- Wanting to provide a structure for how the beneficiary actually receives the assets.
It is important to understand how your assets will actually be transferred after your death. There are several different ways that this can be accomplished. The first is known by title or ownership.