Located in Lincoln, Nebraska, Bob Bennie Wealth Management strives to help clients plan for the years ahead. Under the leadership of its namesake, a Certified Financial Planner, Bob Bennie Wealth Management can guide clients through creating a living trust, which can help an estate owner plan for death or incapacitation.
One of the benefits of a living trust is that it allows the estate owner, known as the grantor, to name a successor trustee. This individual not only accepts responsibility for administering the trust after the grantor's death, he or she also agrees to manage assets in the trust if the grantor becomes incapacitated.
Without such an arrangement, a person who becomes incapacitated is more likely to need a court-appointed guardian to manage his or her affairs. The time this takes can mean time in which the grantor's finances are not receiving active management, which can translate to financial loss in certain cases.
A trust provides immediate transfer of control of the grantor's assets, but those assets must be contained within the trust for them to apply. For this reason, many experts recommend an estate owner also name a durable power of attorney for finances.
The grantor may then give the power of attorney the right to transfer certain assets or accounts into the trust. This allows the trustee to manage assets that come under the umbrella of the trust, while the power of attorney continues to oversee other processes such as filing taxes and collecting federal or state benefits. Because every situation is different, it is important for each grantor to consult a professional for specific advice.
