What are the types of trusts?

Trusts are a way to manage property and assets for future beneficiaries. In California, trusts are usually set up according to the laws of the state. There are various types of trusts that can be created in California. The most common type of trust is the revocable living trust. This type of trust allows the creator of the trust to maintain control of the assets while they are alive. The assets are distributed to the named beneficiaries after the creator’s death. A special needs trust is a type of trust that is set up to provide for the care of a special needs individual. The trust ensures that the person is taken care of financially and that their assets are managed in such a way that they will not lose their government benefits. An irrevocable trust is another kind of trust. This type of trust cannot be altered or cancelled once it is created. This type of trust often allows for greater tax benefits for the beneficiaries. A testamentary trust is set up as part of a will and is activated upon death. This type of trust often involves the distribution of assets to a number of beneficiaries. A revocable trust is a type of trust that can be modified or revoked at any time. This type of trust can be used to transfer assets to beneficiaries while providing for the control of those assets. Finally, a trust fund is a type of trust that is created to manage the assets of a minor or someone who is unable to manage their own assets. The trust fund is managed by the trustees and the funds are distributed to the beneficiary when it is deemed appropriate.

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