Heritage Law

Irrevocable Trust Attorney

Secure Your Assets and Minimize Estate Taxes

Hire Us (1) Form Submission From Heritage Law

An irrevocable trust is a powerful legal tool used to protect your assets, minimize estate taxes, and ensure the long-term security of your family’s wealth.

At Heritage Law, our irrevocable trust attorneys work closely with clients to design and execute trusts that provide protection, privacy, and financial benefits.

If you’re looking for a way to safeguard your assets or reduce taxes, an irrevocable trust could be the right solution for you.

What Is an Irrevocable Trust?

An irrevocable trust is a type of trust that, once established, cannot be altered, amended, or revoked without the agreement of the beneficiaries.

When you transfer assets into an irrevocable trust, you give up ownership and control of those assets, ensuring that they are protected from creditors, lawsuits, and other potential risks.

In addition, irrevocable trusts can help you avoid probate and reduce estate taxes.

Key players in an irrevocable trust include:

Grantor: The person who creates the trust and transfers assets into it.
Trustee: The individual or institution responsible for managing the trust and distributing assets according to the terms of the trust.
Beneficiaries: The individuals or organizations who will receive the assets in the trust, typically after the grantor’s death.

Irrevocable trusts can serve various purposes, including asset protection, tax reduction, and eligibility for government programs like Medicaid. Our experienced irrevocable trust attorneys will help you determine if this type of trust aligns with your estate planning goals.

Advantages of an Irrevocable Trust

Choosing an irrevocable trust offers several significant benefits, making it a valuable option for estate planning:

Asset Protection: Once assets are placed into an irrevocable trust, they are shielded from creditors, lawsuits, and other legal claims. This makes it an excellent tool for safeguarding wealth.
Minimize Estate Taxes: An irrevocable trust can help reduce your taxable estate, lowering personal income and capital gains taxes as part of a broader tax planning strategy.
Control the Distribution of Assets: Irrevocable trusts allow you to specify when and how your assets are distributed to beneficiaries, offering flexibility in managing your estate.
Government Program Eligibility: For those seeking Medicaid or Supplemental Security Income (SSI), an irrevocable trust can protect your assets and help ensure eligibility for government assistance programs.
Avoid Probate: Assets placed in an irrevocable trust bypass the probate process, ensuring a quicker and more private transfer to your heirs.

Disadvantages of an Irrevocable Trust

While irrevocable trusts offer many advantages, it’s important to understand the potential downsides:

Limitations on Revisions: Once the trust is established, the grantor cannot modify or terminate it without the beneficiaries’ consent, making irrevocable trusts less flexible than revocable trusts.
Tax Implications: Depending on how it is drafted, an irrevocable trust may be considered an independent legal entity and may be subject to federal income taxes.

Our irrevocable trust attorneys will help you weigh the pros and cons to determine if this type of trust is the best choice for your specific circumstances.

Types of Irrevocable Trusts

Irrevocable trusts come in various forms, each designed to meet specific estate planning needs. Our irrevocable trust attorneys can help you choose the best type for your goals:

Irrevocable Life Insurance Trust (ILIT): An ILIT is used to hold life insurance policies outside of your taxable estate. After your death, the insurance proceeds are transferred to your beneficiaries, free from estate taxes.
Qualified Personal Residence Trust (QPRT): A QPRT allows you to transfer your residence into a trust while retaining the right to live in the home for a set number of years. After the trust term, the home is transferred to your beneficiaries, reducing the taxable value of your estate.
Intentionally Defective Grantor Trust (IDGT): This trust is used to remove assets from your estate while retaining income tax benefits, making it a valuable tool for reducing estate and gift taxes.
Grantor Retained Annuity Trust (GRAT): A GRAT allows you to transfer assets to your heirs while retaining an annuity payment for a set period. This is a popular option for minimizing taxes and passing on wealth.
Charitable Remainder Trust (CRT): A CRT allows you to donate assets to charity while providing income to beneficiaries during their lifetime. After the term ends, the remaining assets go to the designated charity, reducing taxes and supporting charitable causes.
Asset Protection Trust (APT): An APT shields assets from creditors and lawsuits while allowing the grantor to benefit from the trust. Offshore APTs, in jurisdictions like the Cook Islands, provide even greater protection and privacy.

We are here to help you. Please contact Heritage Law and start planning for the future today.

We work one on one with you directly to ensure your irrevocable trust is designed and executed properly, from start to finish.

We ensure the future plan we put in place makes the most financial sense for your property and your family long term.

We take our time to explore all available options as we strive for excellence. We work hard so you don't have to.

Setting Up an Irrevocable Trust

Creating an irrevocable trust is a detailed process that requires careful planning. Our irrevocable trust attorneys will guide you through the steps to ensure your trust is properly established:

Acquire a Model Trust Form: Start with a template that outlines the basic structure of your trust.
Draft the Trust Agreement: Customize the trust agreement to meet your specific goals, detailing the trustee’s responsibilities and the distribution of assets.
Fund the Trust: Transfer assets such as property, investments, or life insurance policies into the trust.
Obtain a Tax ID Number: The trustee must acquire a tax identification number for the trust, as it is a separate legal entity.
Complete IRS Form 1041: If the trust generates over $600 in income, the trustee must file IRS Form 1041 to report the trust’s income.

Our irrevocable trust attorneys will ensure that every aspect of your trust is executed correctly, protecting your assets and providing for your beneficiaries.

Why Choose Heritage Law as Your Irrevocable Trust Attorney?

At Heritage Law, we specialize in creating irrevocable trusts tailored to your unique estate planning needs. Here’s why you should work with us:

Personalized Service: We work one-on-one with our clients, taking the time to understand their goals and design trusts that meet their specific needs.
Expert Legal Guidance: Our attorneys have extensive experience in estate planning, tax law, and asset protection, ensuring your irrevocable trust is set up correctly.
Flat Fee Structure: We offer flat fees for trust creation, so you know exactly what to expect—no hidden charges or hourly rates.
Comprehensive Estate Planning: In addition to irrevocable trusts, we provide a full range of estate planning services, from wills and revocable trusts to charitable planning.