Trusts are a way of setting up a legal arrangement between two or more people that allows them to share their property, assets, and liabilities. There are two types of trusts: discretionary trusts and irrevocable trusts.
Discretionary trusts can be set up by any two individuals who want to create one. The trustee, who is usually the settlor (the person who sets up the trust), has complete control over the trust assets and is responsible for managing them as well as distributing them when requested by beneficiaries. A discretionary trust can also be used to provide protection against creditors of both parties involved in its creation.
An irrevocable trust can only be created by an individual who makes an irrevocable gift of their property to another person or entity (such as a family member) who has unlimited power over the assets held within it. In this case, there is no beneficiary or trustee; rather, the settlor’s property provides security for others who may have claims on it—including beneficiaries’ claims!
In this article, we elaborate further on this discussion and look at the types of trusts in Nevada. We study the trusts and much more in the following lines:
Nevada Trusts are Different
Nevada trusts are different from those in other states. They have probate and intestate succession, which means they can control your property directly. They’re also more structured than trusts in many other states, which allows them to be more efficient and cost effective for the person setting up a trust or estate plan through Nevada law.
In Nevada, trusts can control their grantors’ property even if they’re not living anymore—and even after they’ve passed away! Suppose a grantor dies without naming a successor (like in an old-fashioned will). In that case, his or her assets are transferred into probate court, where they’ll be administered by someone who hasn’t been given any say over them yet: namely, his or her personal representative (also called executor).
Trusts in Nevada are more structured than trusts in many other states. Unlike the majority of states, Nevada allows you to create a “lifetime” trust that can give your beneficiaries legal authority over all of your property, not just that which passes to a successor at death.
Trustee can Control Estate
Nevada trusts can give you legal authority over all of your property, not just that which passes to a successor at death. This means that if you die without naming a successor trustee and there is no will or trust, the trustee may be able to control your estate.
If you already have a living trust in Nevada, it’s important to understand how this differs from other types of trusts. A living trust has more similarities with an IRA than it does with traditional wills—and this could affect how much tax breaks you get from using it!
The trust is a legal entity that can be used to control your affairs, property and assets. In most states, trusts are not considered valid unless they have been properly registered with the court where they were created or other authority within that state (such as a local government).
You should visit an attorney if you live in Nevada and wish to create a trust for yourself or someone else you know. The process can be simplified through expert guidance. You should contact the knowledgeable estate lawyers at the Bourassa Law Group as soon as possible if you want to create a trust. Call us at (800)870-8910 for a free consultation!