Trusts

A revocable living trust is a legal document you create during your lifetime to hold your assets. You retain full control as the trustee, can change or revoke it at any time, and name a successor trustee to take over when you pass away or become incapacitated. The key advantage is that assets held in the trust pass directly to your beneficiaries without going through probate court. If you own real estate, have minor children, have significant savings, or want to avoid the delay and expense of probate, a revocable living trust is strongly recommended.

A basic revocable living trust package at our firm typically includes the trust document, a pour-over will, durable power of attorney, medical power of attorney, and advance directive. Costs vary based on the complexity of your situation, the number of beneficiaries, whether you have a blended family, business interests, or special needs considerations. We provide transparent, flat-fee pricing during your initial consultation so there are no surprises. A trust-based estate plan is an investment that typically saves your family far more than it costs by avoiding probate.

A revocable trust can be changed, amended, or revoked by the grantor at any time during their lifetime. The grantor typically serves as the trustee and retains full control. Assets in a revocable trust are still part of the grantor's taxable estate. An irrevocable trust, once established, generally cannot be changed or revoked. This loss of control provides the benefit of removing assets from the taxable estate and protecting them from future creditors. Irrevocable trusts are used for Medicaid planning, estate tax minimization, and asset protection. The right choice depends on your goals.

Yes — assets held in a properly funded trust avoid probate entirely. When you pass away, your successor trustee distributes the trust assets directly to your beneficiaries according to the trust terms, without any court involvement. This saves significant time (probate in Texas typically takes six to twelve months) and cost (court fees, attorney fees, and executor fees). However, a trust only avoids probate for assets that have actually been transferred into it. This is why funding — properly retitling assets to the trust — is essential.

When you pass away, your named successor trustee takes over management of the trust. The successor trustee notifies beneficiaries, inventories trust assets, pays any outstanding debts or taxes from trust funds, and distributes the remaining assets to the beneficiaries according to the trust's terms. Unlike probate, this process does not require court involvement and can typically be completed in a matter of weeks rather than months. The trust document specifies exactly how assets are to be distributed — in lump sums, over time, or in trust for beneficiaries who are minors or have special needs.

Yes. With a revocable living trust, you typically serve as the initial trustee and retain full control of the trust assets during your lifetime. You name a successor trustee — a family member, trusted friend, or professional trustee — who takes over if you become incapacitated or when you pass away. This arrangement allows you to manage your assets as you normally would while ensuring a smooth transition to your chosen successor when needed. For irrevocable trusts, the rules are different: serving as your own trustee could jeopardize the asset protection benefits, so an independent trustee is often required.

Real estate is the primary asset that should be transferred into a trust to avoid probate. Bank and investment accounts, business interests, and valuable personal property are also commonly placed in trusts. Retirement accounts (IRAs, 401(k)s) are generally not titled in a trust but should have coordinated beneficiary designations. Life insurance is typically not placed in a revocable trust but can be held in an irrevocable life insurance trust (ILIT) for estate tax purposes. We walk every client through an asset-by-asset analysis to ensure the trust is properly funded and coordinated with their overall estate plan.

A special needs trust holds assets for a beneficiary with a disability without disqualifying them from need-based government benefits like Medicaid and SSI. These benefits are typically unavailable to individuals with more than $2,000 in countable assets. A special needs trust provides funds for supplemental expenses — medical equipment, education, recreation, and quality of life improvements — while the trust assets are not counted toward the benefit eligibility threshold. Without a special needs trust, a direct inheritance or settlement can cause the beneficiary to lose essential benefits. Proper drafting is critical to ensure the trust complies with federal and Texas law.

A will and a trust serve different purposes and work best together. A will is essential for naming guardians for minor children and ensures any assets not held in the trust still pass according to your wishes (through probate). However, a will alone requires probate — a public, court-supervised process that takes months. A revocable living trust avoids probate, provides for incapacity management during your lifetime, and can distribute assets according to more detailed instructions than a will typically allows. If avoiding probate is a goal, or if you have minor children, significant assets, or real estate, a trust-based plan is recommended.

Review your trust every three to five years, and update it after major life events: marriage, divorce, birth of a child or grandchild, death of a named beneficiary or trustee, significant changes in your financial situation, acquisition or sale of real estate, starting or selling a business, or moving to a new state. Changes in Texas law or federal tax law may also require updates. It is also important to review your funding — making sure any newly acquired assets are properly titled in the trust. An outdated or unfunded trust can undermine years of planning.