“Funding a trust” refers to the action of taking an asset in an individual’s name and moving it into a revocable or irrevocable trust. When planning for long-term care, funding an irrevocable trust is a crucial part of the asset protection plan. As we know, getting ahead of the game and being proactive saves families grief, frustration, and money. Funding is the icing on the cake. Having a well-drafted trust means nothing without transferring assets into the trust.
We have had the pleasure of working with thousands of families with the foresight to plan ahead. It has been so rewarding to guide families in protecting their assets in the face of a potential or ongoing long-term care need. Most families have similar stories: parents worked their entire adult lives to provide for their future and that of their children. Now, faced with the prospect of financially devastating care costs they realize their goal of leaving a legacy to their children may not become a reality.
Our goal is to educate our clients and their families about the proper methods of protecting assets. As pointed out above, one allowable strategy is to execute an irrevocable trust and fund it with available assets. Once clients and their families understand the purpose behind funding a trust, they also gain the security and peace of mind that comes with knowing the cost of care will not leave them impoverished.
An added bonus of funding a trust is minimizing the probate process as it allows quicker access to estate assets and, in some states, saves the family substantial probate costs. This, of course, alleviates a lot of stress during a very challenging and difficult time for loved ones. No matter what your circumstances are the experienced team at the NJ Elder Law Center at Goldberg Law Group can help you choose the right tool to resolve your long-term care estate and financial needs. Contact us today for a free consultation.