Multiple Trusts Aren’t Always worth Having

In Georgia and most other states, it is generally not possible to create more than one will at a time. When a second will is created, the first one is usually invalidated. However, it is possible to have more than one trust at a time, but individuals must decide if it is necessary to have multiple trusts. Technically, a trust is simply amended whenever an individual decides to make changes to it.

This is typically true even if the amendment changes the meaning of the entire trust as opposed to certain sections of the document. Of course, those who have created a trust may add an amendment invalidating the original version in favor of the newly drafted version. There are several other issues that a person may want to consider before creating a second trust. For example, it may be harder to keep track of the terms imposed by each document.

It will also likely cost less to have one trust as opposed to two or more of them. Creating a second trust may not benefit an individual from a tax perspective as estate tax exemption amounts have gone up in recent years. Therefore, it may be best to simply amend an existing document as opposed to drafting a new one even if a person needs to make a significant change.

A significant life event may make it necessary to review or revoke a trust or other estate planning document. It may be a good idea to make changes to an estate plan with the help of an attorney. Doing so may make it easier to ensure that these changes are consistent with a person’s current needs and long-term goals. An attorney may also help to ensure that changes are made in accordance with state law.

Related Posts
  • Estate Planning for Blended Families: Navigating the Unique Challenges and Ensuring Fairness Read More
  • Make Estate Planning a 2023 Priority Read More
  • What Are Some Important Aspects of Estate Plans? Read More