Ensure your financial affairs are in order, and prepare for the new year by reviewing your trust for 2022. It is important to review trust documents every 2 to 3 years. There have been many recent changes to asset protection related laws as well as the US exemptions for estate tax. Many San Diego area residents still have what are known as “A-B” trusts“, where half of the couples assets are frozen in trust upon the death of the first spouse. The surviving spouse may require access to those funds as lifetime expectancies increase and the cost of medical care skyrockets.
One of the ways to prepare for the new year by reviewing your trust for 2022 is to examine the nature of the trust itself. A QTIP trust may provide more flexibility while accomplishing the needs of protecting the family assets and providing for heirs and beneficiaries. Reviewing your trust on a consistent and regular basis ensures that your intentions are still captured and directives are clearly and legally set forth.
Trusts are still important here in San Diego and across Southern California to reduce the loss of assets through probate court costs and fees. However, taxation for the surviving spouse(s) and the beneficiaries can be an important factor in the design and implementation of your family trust.
Allen Barron combines estate planning and legal experience, with extensive tax and accounting expertise. We provide counsel to area trustees and executors and assist with preparation of all related legal documents, notices and tax returns. The decision to prepare for the new year by reviewing your trust for 2022 is prudent and necessary. We invite you to contact us today or call to schedule a free and substantive consultation at 866-631-3470 to discuss your existing trust and the services of Allen Barron. We will ensure that your trust is up-to-date for 2022 and the years to come, providing confidence and peace of mind.
