Irrevocable Trusts

Irrevocable trusts may be used by grantors who wish to protect their assets from creditors and are ready to relinquish control over their assets to a loved and trusted family member. These trusts may be set up so that the grantor continues to receive the income from their assets in order to maintain their daily lifestyle or, if income is not needed, it is allowed to accumulate in the trust.

This trust works well for seniors who do not typically access the principal of their assets and who are happy to turn over the management of the assets to the family member(s) who will inherit the assets when they die. The irrevocable trust is an excellent legal vehicle that allows the senior to secure government financial assistance to pay for costly long term care (after a period of time lapses) and preserve his/her assets for their loved ones.

If other sources of income provide sufficiently for the individual’s daily lifestyle expenses, then the income produced by these assets can remain in the trust and be added to the growing principal and will never have to be used to pay the grantor's expenses. Furthermore, the assets in the trust typically remain in tact throughout the grantor's life to insure the money will be there for emergency purposes while the grantor remains alive. This trust also is used to prevent creditors of the beneficiaries of the trust from accessing assets for attachment purposes and provides for multi-generational legacy planning so grandchildren, great grandchildren, etc. also receive inheritances and remembrances of the grantor. Tax planning is also accomplished through the use of this trust.