If you have a Revocable Living Trust, you know that it can work as a necessary incapacity planning tool. If you’re ever handicapped– through health problem or injury– to the point that you can no longer manage your own monetary affairs, your Impairment Trustee can action in and take control of your trust property. Nevertheless, if a Revocable Living Trust is the only estate planning tool in your incapacity plan, then there are probably spaces that require to be filled.
Regrettably, your Impairment Trustee can only manage property that’s been moneyed into your trust. That’s why it is necessary to likewise have a Durable Power of Attorney for finances.
Transferring Property into Your Trust
With a Long Lasting Power of Attorney, you appoint a representative to handle your non-trust property in case of your special needs. F you have a stroke or are in the later phases of Alzheimer’s, your representative can access property that’s been left out of your Trust, and move it to the Trustee. This ensures that your possessions are effectively and regularly handled throughout your life time, and that there’s a smooth transition of property to your beneficiaries after you pass away.
Managing Non-Trust Property
There is specific property that needs to not be moved into your Revocable Living Trust. This includes properties like retirement accounts, life insurance coverage policies, and often even motor automobiles. With an effectively drafted Resilient Power of Attorney, your agent can handle these assets on your behalf.
Your Impairment Trustee won’t have power to engage in Medicaid planning on your behalf. However, with an appropriately drafted Durable Power of Attorney, your agent can handle this job. For more info on Revocable Living Trusts or Durable Powers of Attorney, you can talk to an estate planning attorney.