What is a Trust, and where does a trust fit in with the probate process?
A trust is a separate legal entity created either during one’s lifetime or upon death by a person’s Will. A trust is like a corporation or limited liability company that is legally considered separate from the person that created it. Many times people create trusts as part of their overall estate plans. Other times people draft their Wills such that upon death a trust is created to control certain property after death.A trust can own property just like a person or corporation can own property. A trust can earn income and usually must pay taxes like everyone else. Trusts can also be set up for charitable purposes, such as to hold money or property to be given away to charities after death. One of the most common mistakes people make when creating trusts during their lifetime is they neglect to actually transfer title to property during the trust while they are still alive. This can cause problems after death as there may be disputes over what the trust actually owns and what it does not
