New York City’s Dedicated Lawyers For Trusts And Asset Protection Strategies
Estate planning is crucial for managing and transferring your assets during your lifetime and after death. It protects your wealth, provides for your loved ones and fulfills your wishes. At Wheatley Pritchard & Associates PLLC, we understand that trusts and asset protection strategies are key components of this process.
Our lead attorney, Maureen Pritchard, brings over 14 years of experience to help you establish trusts that protect your family’s assets. We proudly serve clients across New York City’s five boroughs – Manhattan, Brooklyn, Queens, the Bronx and Staten Island – as well as the surrounding counties in the greater New York metro area. If you need assistance with estate planning or asset protection across New York State, don’t hesitate to reach out to us.
Trusts Can Be An Important Part Of Your Estate Plan
Trusts are legal arrangements where you (the grantor) transfer assets to a trustee, who manages these assets for the benefit of your chosen beneficiaries. Trusts can serve various purposes, from asset protection to tax planning, and can be customized to fit your specific needs and goals.
Whether you’re planning for personal wealth transfer, business succession or overall financial planning, it’s very important to understand the different types of trusts. Here’s a breakdown of the two main categories:
Revocable Trust (Living Trust)
A revocable trust is a trust the grantor can alter or terminate during their lifetime. It allows for flexibility and control but doesn’t provide asset protection from creditors or estate tax benefits. Here are its key features:
- Maintains privacy by avoiding the probate process
- Allows for easy management of assets if the grantor becomes incapacitated
- Can be modified or revoked at any time by the grantor
- Assets remain part of the grantor’s estate for tax purposes
- Allows management of your assets if you become incapacitated without court involvement
Our trust attorneys will work closely with you to create a revocable trust that meets your specific needs. This will give you peace of mind while maintaining control over your assets.
Irrevocable Trust
Once you establish this trust, you typically cannot change or revoke it. An irrevocable trust often offers stronger asset protection and potential tax benefits as it generally removes assets from your taxable estate. Key features include:
- Potential reduction in estate taxes
- Asset protection from creditors (with proper structuring)
- Can be used for Medicaid planning
- May provide income tax benefits in certain situations
- Shields assets from potential lawsuits and other threats
- Keeps your financial affairs and asset distribution private
Irrevocable trusts can be powerful tools, but they’re not for everyone. Our team can help you determine if this type of trust is right for your family’s needs. We’ll patiently walk you through the options in plain English, with no legal jargon required. Call Wheatley Pritchard & Associates PLLC at 347-815-1219 or send us an email for a free consultation.
Different Types Of Trusts That Protect Your Assets
Within the two main trust categories, various trusts can be either revocable or irrevocable, depending on your specific needs and goals as the grantor and those of your beneficiaries.
Common types include:
- Special needs trusts: These trusts help support individuals with disabilities without affecting their government benefits.
- Charitable trusts: These allow you to donate to charities while potentially reducing your tax burden.
- Testamentary trusts: Created through your will, these trusts take effect after you pass away and are often used to provide for minor children or manage assets for beneficiaries.
- Life insurance trusts: These own your life insurance policy, keeping the proceeds out of your taxable estate.
- Generation-skipping trusts: These allow you to transfer wealth to grandchildren or later generations, potentially minimizing estate taxes.
- Qualified personal residence trusts (QPRTs): These let you transfer your home to beneficiaries at a reduced gift tax cost while allowing you to continue living in it for a set period.
Some trusts can include additional features for asset protection. For example, spendthrift provisions limit a beneficiary’s access to trust assets, potentially protecting them from creditors.
It’s also important to note that some states recognize self-settled asset protection trusts (also known as domestic asset protection trusts or DAPTs). However, New York currently does not have legislation supporting these.
Our attorneys can discuss these options with you and help you determine which trust types and features fit your situation in New York.
Steps To Establish Your Trust
Creating a trust involves several key steps:
- Consultation: Meet with our attorneys to discuss your goals and needs
- Asset inventory: Review your assets and determine what to include in the trust
- Choose the right trust: We’ll help you select the most appropriate trust type
- Draft the document: We’ll prepare the legal documents for your trust
- Fund the trust: Transfer your assets into the trust to activate its protections
Our team will guide you through each step of establishing your chosen trust.
Our Mission Is To Prepare Families For Life’s Uncertainties
We can help you prepare trust documents that safeguard your wealth for generations to come. But we understand that discussing wills, trusts and estate plans can feel overwhelming. We want to make this process as straightforward and stress-free as possible for you.
For a free consultation with Wheatley Pritchard & Associates PLLC, visit our Long Island City office, a short two-minute drive from the Queensboro Bridge. Give us a call at 347-815-1219 or complete our online form.
Life is unpredictable, but with our legal guidance, you can protect what matters most.