January 4, 2018 | lmsXpect3 Trusts are some of the most important, and easiest to use, estate planning documents in Renton. These flexible instruments can take effect while the grantor (person who creates the trust) is still alive, or they can be part of a will. Trusts often offer significant tax advantages as well, and they often shield assets from probate. An inter vivos (living) trust is one that takes effect while the grantor is still alive, so both the grantor and beneficiaries will be better off. Here are just a few of the options we offer. GRIT A Grantor Retained Income Trust transfers title to property, but the grantor retains the rights to the income from this property either for the duration of the trust or for a more limited time. There are several variations, including the Qualified Personal Residence Trust (QPRT), which transfers the house to a beneficiary but allows the current owner to collect any rents or other income arising from the house. These revocable living trusts are very useful financial vehicles and they’re also very heavily regulated. Crummey Trusts The IRS originally argued that these gift vehicles were invalid because they limit the beneficiary’s access to the gift and give the grantor the right to revoke said gift within 60 or 90 days. Instead of a direct transfer, the trust creates a right to withdraw the funds, which the beneficiary can either accept or reject. These trusts are a good way to pay insurance premiums while taking advantage of the gift tax exclusion. QTIP Qualified Terminable Interest Property Trusts transfer property to spouses and create future interests for the children. QTIPS are very good for grantors who want to provide for a second spouse after they die but do not want to compromise the inheritance to their children. Land Trust In some cases, this inter vivos trust can shield real estate from creditors, so land trusts are good alternatives to bankruptcy and some other more radical forms of creditor avoidance. Typically, the grantors can retain control over the corpus (property in the trust) by naming themselves as trustee. These trusts have substantial privacy advantages as well, because the trust will be the record owner as opposed to the grantor. Trust an Experienced Attorney Living trusts have a number of advantages. For a confidential consultation with an experienced estate planning attorney in Renton, contact the Law Offices of Dan Kellogg. We’ve been assisting clients for over forty years.