The most common type of Trust Badeaux & Associates recommends is a Testamentary Trust meaning a Trust in your Will, usually for your children. Trusts in Wills are excellent vehicles for minor children, and adult children as well. You are the “grantor” and your “beneficiaries” are the persons who receive the assets upon your death, whoever you choose. The “trustee” is the person who manages the Trust assets. The trustee and beneficiary can be the same person.
Testamentary Trusts are also used to save estate taxes and are commonly called “Credit Shelter Trusts,” “Bypass Trusts,” or “A/B Trusts.”
Revocable Living Trusts are another type of Trust. They are especially helpful for people who may have long term dementia, like Alzheimers, and for people with real estate in multiple states.