Estate Planning: Trusts, Wills, and Power of Attorney

How Estate Planning Can Help Your Family

Estate planning is essential to ensure that your wishes are carried out and your loved ones are cared for according to your desires. This type of legal planning is not exclusive to the elderly. If you have assets or children, it's important to consider estate planning.

Estate planning can help your family in case of an unexpected accident or health issue. By planning ahead, you can ensure that your assets are distributed according to your wishes. Additionally, estate planning can provide guidance for your children's care and financial well-being.

It is important to have a comprehensive estate plan in place to protect your assets and ensure that your loved ones are taken care of after you pass away. Estate planning can help your family avoid disputes and confusion by clearly outlining your wishes regarding your assets, healthcare decisions, and more.

Estate planning involves creating legal documents such as wills, trusts, and powers of attorney to outline how your assets should be distributed and who should make decisions on your behalf if you become incapacitated. By working with an experienced estate planning and elder law attorney, you are creating a legally binding document that expresses your wishes.

By finding the right estate planning attorney in Illinois, you are ensuring that your assets are protected in the event an emergency arises. If you do not protect yourself or your family's assets, you can find yourself in a situation where the circuit court may need to resolve issues.

Often, after an emergency has occurred, the transfer of assets need to be litigated if a healthcare power of attorney or financial power of attorney is not in place. The probate process is not an ideal way for a transfer of assets to occur for you, your heirs, and beneficiaries.
Contact Chicago Family Attorneys, LLC today to schedule a consultation and start planning by calling our law firm at (312) 971-2581. Your family's well-being is our top priority, and we are committed to helping you face any legal challenge that may affect you and your family.

Asset Protection and Benefits of Illinois Trusts

Some common types of trusts in Illinois include revocable living trusts, irrevocable trusts, and special needs trusts. Each type of trust serves a specific purpose and can help you achieve your estate planning goals.

Often, we find that clients usually seek assistance with a revocable living trust, irrevocable trust, Medicaid trust, or a special needs trust. Several different types of trusts exist in Illinois. Our office has the experience to assist you in a wide variety of plans to fit your specific needs. Several of the trusts that we work with include:

1. Revocable Living Trusts: Revocable Living Trusts are also known as inter vivos trusts and are established during the grantor's lifetime and can be altered or revoked at any time before death. A revocable living trust allows you to maintain control over your assets during your lifetime and avoid probate upon your passing.
2. Irrevocable Trusts: These trusts cannot be easily changed or revoked. Irrevocable trusts may assist families who are concerned about liability and taxes. Once assets are transferred into an irrevocable trust, the assets no longer belong to the creator of the trust and the assets specifically belong to the trust itself. Specifically, an irrevocable trust, can provide asset protection and tax benefits to those that seek that type of legal assistance.
3. Medicaid Asset Protection Trusts (MAPTs): These trusts are designed to protect assets while allowing individuals to qualify for Medicaid
4. Special Needs Trusts: These trusts are created for for individuals with disabilities to provide for their needs without disqualifying them from receiving government benefits like Medicaid and Supplemental Security Income (SSI). Special needs trusts are designed to provide for loved ones with disabilities without jeopardizing their eligibility for government benefits.
5. Medicaid Family Protection Trust (MFPT): Similar to MAPTs but offers more significant asset protection for both the grantor (the creator of the trust) and the beneficiaries or heirs.
6. Charitable Trusts: These trusts are usually created for charitable organizations or the public and can provide significant tax advantages.
7. Spendthrift Trusts: Spendthrift Trusts are created to protect a beneficiary's inheritance from creditors and the beneficiary's own spending habits
8. AB Trusts: AB Trusts are often used by married couples to maximize estate tax exemptions and protect assets

In addition to these trusts, our firm works with you and your loved ones to make sure that your health care power of attorney and financial power of attorney is created to assist in the event an emergency arises.

It is important to work with a knowledgeable attorney who can help you determine which type of trust is best suited for your unique situation. By carefully planning your estate and setting up the appropriate trusts, you can ensure that your assets are protected and distributed according to your wishes. We will also help guide you to minimize estate taxes if you are concerned over a transfer tax or a gift tax. Whether you are seeking guidance on how irrevocable trusts assist clients, or have concerns over your current estate plan, Chicago Family Attorneys, LLC is here for you.

Your peace of mind and your family's future are worth the financial investment and time necessary to set up a proper estate plan. In the event that a trust fails or laws change, a pour over will is often used to make sure that your wishes are carried out in the probate court.

Illinois Probate and Wills

Illinois wills do not ensure the same protection as trusts. Often, clients believe that a will is in their best interest, but there has been shift in that belief over the last twenty to thirty years. Wills are seen as an option for families or individuals who do not have many assets and need assistance in distributing their loved one's assets through the probate court.

A will may be a more appropriate option if the following apply to you or your family:

• A will can be an option if you do not have assets over $10,000.
• A will can be an option if you do not own any real estate.
• A will can be an option if you do not have minor children that live in your home.
• A will can be an option if you do not have many possessions.

A will outlines how you want your assets to be distributed after your death. It can also specify who will take care of any dependents you may have. Creating a will ensures that your wishes are carried out and can help prevent disputes among family members.

If you have a will and your assets are significant, your family and loved ones will be forced to go through a probate case which may take a year or more depending upon the court and the administration of your estate. Not only is this a long process, but it can be expensive for the heirs of the estate.

Estate Planning Frequently Asked Questions:

Do I need a trust?
Not everyone needs a trust. We advise our clients based upon the legal services that will assist in accomplishing their underlying goals. That means that if you or a loved one do not have significant assets or real estate, we may guide you toward a simple will to assist in meeting your needs.

How can I find the right estate planning attorney near me?
Our office is capable of assisting you remotely or in person if you are a resident of Illinois. A proper estate plan can vary depending upon the needs of you and your loved ones and may take some time to plan and create, but our legal services bring the highest quality and care that you could imagine.

What is the process like to get a trust or will with your firm?
After our initial consultation, our law firm and estate planning attorneys will conduct a thorough intake to understand your needs and goals. We will then create an estate planning outline that will go over each of the options available to you and your loved ones. Upon agreeing to the proposed documents, we then draft the documents. After drafting, you will then sign and keep the estate planning documents in a safe place.

It is important to think about who you would like to give property to in the event of death and who you would potentially like to have watch after your children if you pass away suddenly.

What is a Trustees Deed?
A trustees deed in Illinois is a deed that places real estate and property within the trust. By filing the deed with your local recorder of deeds, the deed is retitled in the name of the trust and the trustee controls the property.