What is a revocable trust?

A revocable trust is a type of trust created under the laws of New Mexico and other states that allows a grantor (the person creating the trust) to modify, amend, or revoke the trust in whole or in part. This trust is usually created by an individual for the purpose of managing assets and distributing them to beneficiaries upon the grantor’s death. The revocable trust allows the grantor to maintain control over the assets and property placed in the trust during the grantor’s life. The grantor also retains the right to amend or change the terms of the trust at any time and to revoke the trust altogether if they so choose. Furthermore, the grantor can change the beneficiaries listed in the trust without having to obtain court approval. Once the grantor passes away, the trust becomes irrevocable and the assets and property will be distributed according to the terms specified in the trust. This allows the grantor to manage the assets and property during life, while ensuring that it will be administered according to the grantor’s instructions upon death. In New Mexico, revocable trusts are regulated by state law and are subject to state and federal income taxes. Therefore, it is important to work with an experienced attorney in order to ensure that the trust is properly created and administered in accordance with the grantor’s wishes.

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What is a revocable trust?

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