South Carolina law allows people with assets to create trusts that protect them. A trust can have many functions, such as conferring ownership of homes and other valuable properties to people before they would be included in a will. They can also protect the value in assets for future generations and benevolent causes.
The most important decisions in life are often so vital because they cannot be unmade. Marriages, births and other commitments are for life. Even when marriages end, children or assets from them can last far longer. Many of those consequences, whether they are considered good or bad, are thing with which people simply have to live.
Is it time to plan your estate? If you can wonder whether or not you should, it's probably time to do it. Anyone with a family, a job, causes to support or any other connection in life wants to know that these valued people and entities are getting what you want them to have.
Many people in South Carolina and throughout the nation procrastinate when it comes to estate planning. This is because it can be uncomfortable for individuals to contemplate their own mortality. However, it can be in a person's best interest to create a revocable living trust as soon as possible. As the name implies, the trust is in force while a person is still alive, and its terms can be changed at almost any time.
People in South Carolina and throughout the country who get divorced after the age of 50 may face unique estate planning challenges. TD Wealth conducted a survey of 112 financial professionals to determine what those challenges may be. Of those who responded, 39% said that getting divorced later in life can increase the cost of retirement. Those respondents also said that ending a marriage could make it harder to adequately fund a retirement.
A revocable living trust can help individuals hold their assets. Some South Carolina residents who have a trust may wonder if they should use it to hold a 529 college savings account for a child's future education.
While most estate owners in South Carolina probably have heard of wills and trusts, some may not understand the difference between the two. Trusts can help individuals manage their assets while they are alive. On the other hand, wills dictate how assets are disbursed after the creator dies. In some cases, a will can contain instructions to transfer assets into a trust when an individual passes. The level of control one retains over a trust depends on what type of document is created.
Ideally, a South Carolina resident will form an estate plan before they become ill or pass away. However, it can be difficult to bring up the subject of money or a person's mortality. Regardless of who starts the conversation, it should be brought up in a gentle and respectful manner. Instead of focusing on uncomfortable subjects like death or taxes, it may be best for parents to talk to their kids about their financial values.
People in South Carolina who have a revocable trust that they want to revoke should take certain steps to ensure that their wishes are carried out. For example, two parents wanted to cancel their revocable trust, in which they had placed their estate that was worth $2 million, and they wondered whether a handwritten letter of revocation would be sufficient.
There are several reasons why a South Carolina resident may procrastinate on creating an estate plan. For instance, it can be uncomfortable to talk about death with family members and potential heirs. The cost of an estate plan may also be a roadblock. However, those who have not yet created their estate plan are advised to do so as soon as possible.