Trust Services

Why You Need a Trust

Why You Need a Trust

As much as you love your family and would do just about anything for them, no family is perfect, and all are irreplaceable. Trusts solve a myriad of problems and our partnerships ensure your values are carried out long after you are gone, with the team that you entrusted.

A living trust takes effect during your lifetime and allows you, as grantor, to be both the trustee and the beneficiary. Upon your death, a designated successor trustee manages and/or distributes the remaining assets according to the terms set in the trust, avoiding the probate process.

An irrevocable life insurance trust (ILIT) is often used as an estate tax funding mechanism. Under this trust, you make gifts to an irrevocable trust, which in turn uses those gifts to purchase a life insurance policy on you. Upon your death, the policy's death benefit proceeds are payable to the trust, which in turn provides tax-free cash to help beneficiaries meet estate.


A charitable lead trust (CLT) lets you pay a charity income from the trust for a designated amount of time, after which the principal goes to the beneficiaries, who receive the property free of estate taxes. However, keep in mind that you'll need to pay gift taxes on a portion of the value of the assets you transfer to the trust.

When you're the parent of a special needs child, estate-planning questions may look more like, "how can my assets help my child live independently for as long as possible?" For many, the solution to this common dilemma is a Special Needs Trust. These trusts are structured to manage assets for the special needs individual's benefit without compromising their eligibility for additional federal benefits.

Investment and estate planning is paramount for individuals with retirement assets and other investments, including real estate, businesses interests and personal property. Careful planning now also significantly assists those designated to inherit assets. There are many types of trusts, and you need a qualified professional to help you make the right decision for your family.

Legacy Wealth Management LLC and LPL Financial do not provide legal advice or services. Please consult your legal advisor regarding your specific situation.