Louisiana Trusts Lawyer
Louisiana Trusts Attorney: Protect Your Assets with Expert Guidance
Trusts are a powerful tool for estate planning in Louisiana, offering benefits such as asset protection, tax advantages, and privacy, consider establishing a trust for some of your high-value assets via a Louisiana trusts lawyer.
This can reduce the number of items that must go through succession or even avoid it altogether, leading to a more streamlined process and less stress for everyone involved.
Choose Field Law for Your Estate Planning Needs in Louisiana
The professionals at Field Law are dedicated to serving clients in all areas of estate law. We choose to focus on estate law to deliver more thorough and focused solutions to our clients. Our goal is to provide personalized estate planning for a variety of estate sizes. From wills to trusts, successions, and more, Field Law can help you determine what type of estate plan is right for you.
What Are Trusts?
While it is still a good idea to create a will, a trust is also a powerful tool frequently used in estate planning. If a trust is created before the owner of the property dies, the assets in that trust can directly pass on to the beneficiaries once the owner dies without going through a succession. There are many things that can be placed in a trust, including:
- Real Estate: This is the most common type of asset that goes in a trust. It is still possible to place real estate in a trust, even if you have not finished making payments on it. An estate planning attorney can review other options to avoid succession for real estate as well.
- Business Interests: If you own or have a partial interest in a business, this interest can be transferred to a trust. The exact details on how to do this vary depending on the type of company structure the business runs under and who owns the business. Due to the complicated nature of transferring business interests into a trust, it is a good idea to consult with an attorney to do so.
- Financial Accounts: Certain accounts are better to place in trusts than others. Bank accounts can be placed in a living trust, but there are other options that might be easier to achieve. While retirement accounts cannot be directly placed into a trust, a trust can receive the funds as a beneficiary after death.
- Other Property: Some property, like antiques and collectibles, can be placed into a living trust, but it might not be a good idea to place items you use every day into a trust, like vehicles. Insurance policies can become more complicated on items placed inside a trust, especially with cars.
- Insurance Policies: Life insurance funds cannot be placed into a trust before death, but they do not go through the succession process anyway. A trust can be used as the beneficiary for a life insurance policy.
There are usually several moving parts in an individual’s estate plan, which can make creating a detailed strategy complicated. An estate planning attorney can offer guidance on good options for your assets.
Benefits of Setting Up a Trust in Louisiana
Trusts can help you:
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Avoid probate and ensure a smooth transfer of assets to beneficiaries.
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Protect your estate from creditors with asset shielding features.
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Maintain control over your wealth with customizable provisions tailored to Louisiana laws.
Wills vs. Trusts Comparison
| Aspect | Wills | Trusts |
|---|---|---|
| Purpose | Distributes assets after death, names guardians for minors, and appoints executors. | Manages assets during lifetime and after death, offers asset protection and tax benefits. |
| Probate | Subject to probate, which can be time-consuming and costly. | Avoids probate, ensuring a smoother asset transfer. |
| Privacy | Public record; all assets and beneficiaries are disclosed. | Private; maintains confidentiality of assets and beneficiaries. |
| Flexibility | Generally inflexible once executed; amendments require a codicil or new will. | Can be revocable or irrevocable; revocable trusts allow for modifications during lifetime. |
| Cost | Generally less expensive to create than a trust. | More expensive to set up but can save costs in the long run by avoiding probate. |
| Asset Protection | Offers limited protection against creditors. | Provides strong asset protection for beneficiaries. |
| Tax Implications | Subject to estate taxes; no specific tax benefits. | Can reduce estate taxes and provide tax advantages. |
| Louisiana Specifics | Must comply with Louisiana Civil Code for validity (e.g., notarial testament). | Governed by Louisiana Trust Code; allows for unique provisions under Louisiana law. |
| Creation Requirements | Requires two witnesses and a notary for notarial testaments. | Must be created by authentic act or signed writing with two witnesses. |
Why Do I Need a Louisiana Trusts Attorney?
Determining the next steps for your estate can be difficult. Don’t make the process harder for your loved ones than it needs to be. If you create parts of your estate plan by yourself or in a piecemeal manner, there are likely to be holes and gaps in your plan. You also might not consider the tax implications of your decisions, leaving your loved ones with large bills after receiving your assets.
Working with an experienced Louisiana trusts lawyer can help you map out your entire estate to make sure everything is accounted for. If you acquire new property or sell parts you already own, they can also edit parts of your estate plan to account for these changes. Many parts of estate planning require a large amount of paperwork. By working with an attorney in Louisiana, you can gain peace of mind, knowing that this important documentation is filed correctly.
FAQs
Q: What Are the Disadvantages of a Trust Over a Will?
A: There are a few disadvantages of a trust over a will that may apply in some cases. Certain items might not be effective to put into a trust, including retirement accounts, health savings accounts, life insurance policies, and most cars.
Trusts are also only for assets and are not as comprehensive as wills. They do not incorporate key decisions regarding custody of your minor children, funeral preferences, and more. For this reason, many people have trusts and wills for a comprehensive estate plan.
Q: Can a Trust Own an LLC in Louisiana?
A: A trust can own an LLC in Louisiana. An individual’s interest in an LLC can be put into a trust as long as the other members agree to it. It might also be possible to transfer the financial aspects of the LLC without including the ability to vote on decisions associated with the LLC, which could be easier to do in certain circumstances. To learn more about how to place an interest in an LLC into a trust, contact an estate planning attorney.
Q: Does a Trust Avoid Succession in Louisiana?
A: Items placed in a trust can avoid succession in Louisiana. However, not all items can be placed in a trust. There are other ways to prevent probate in Louisiana, but these methods are more effectively used when consulting a dedicated estate planning attorney who understands how state and federal law could affect your estate. They can provide personalized feedback on your estate plan to reduce your tax implications.
Q: How Do I File a Trust in Louisiana?
A: In order to file a trust, you first need to file the correct documentation. The type of paperwork necessary for a trust depends on the type of trust you’re filing. To make sure your trust is filed correctly, consult an estate planning attorney. They can check that you have the correct documentation that sufficiently lists the property in the trust, the trustee in charge of the property, and more.
A Trusted Legal Partner
Field Law can help with creating and managing your trust, even if your circumstances involve out-of-state assets. We utilize the latest legal knowledge to make sure your trust complies with both Louisiana and federal law. For more information on how your estate might benefit from a trust, schedule a consultation with Field Law today.
