What is an irrevocable trust?

An irrevocable trust is a type of trust that cannot be changed or revoked once it has been created. This means that once you have established an irrevocable trust, you no longer own the assets in it and they are protected from creditors, taxes, and other claims. In New York, an irrevocable trust is a legal document that allows you to transfer your assets to a trust for the benefit of designated beneficiaries, such as your children or other family members. The trust is managed by a trustee, who follows the instructions you have set out in the trust. These instructions usually include the name of the beneficiary, the percentage and type of assets they will receive, the timing of the distributions, and how the assets will be managed. An irrevocable trust is typically used to protect assets from taxation or from creditors. It is also used to transfer assets to beneficiaries without going through the probate process, which can be lengthy and costly. All assets transferred to an irrevocable trust are no longer owned by the grantor or settlor in New York, so they are not taken into account when calculating estate taxes.

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What is an irrevocable trust?

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