What are the different types of trusts and how do they work?

Estate planning law in Washington can involve the use of trusts to protect and manage assets. Trusts are an agreement that is set up between a grantor, a trustee, and a beneficiary. Grantors are the individual or organization that creates the trust. The trustee is the individual or organization that holds legal title to the trust assets and follows the instructions of the grantor. Lastly, the beneficiary is the individual or organization that will benefit from the trust assets. There are several different types of trusts that can be used in estate planning. 1. Revocable Trusts. This type of trust allows the grantor to have control over the trust as long as they are alive. Upon death, the trustee will then carry out the instructions in the trust document. 2. Irrevocable Trusts. This type of trust can not be revoked or changed once it has been set up and any assets placed in the trust can no longer be controlled by the grantor. 3. Testamentary Trusts. This type of trust is created through a will and is only available after the grantor’s death. 4. Living Trusts. This type of trust is established while the grantor is still alive and becomes effective immediately. Each trust works differently and the type that an individual chooses depends on their individual estate planning goals. It is important to consult with an experienced estate planning attorney to ensure that the trust is properly set up.

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What are the different types of trusts and how do they work?

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