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Trust Planning
establishing a foundation
Trusts often form the foundation of a sound financial plan because they help minimize transfer taxes between generations. Trusts also serve a number of other practical purposes, such as providing income to beneficiaries or safeguarding assets until grandchildren come of age.Leveraging a team of specialists, we can help you incorporate one or more trusts into your wealth management plan. As part of our comprehensive trust capabilities, we offer access to:
Revocable and Irrevocable Personal Trusts
Revocable personal trusts are established during your lifetime. They hold
asset and, once you are gone, allow your heirs to avoice the time delays
and expenses associated with settling your estate through probate. In
addition, a personal trust offers a more private alternative to a will,
which may become public record.
At your discretion, you may change the terms of a revocable personal trust or add or withdraw assets. Upon your death, however, the trust becomes irrevocable and can no longer be changed in any meaningful way. We can assist you in creating an irrevocable personal trust for you while you are living. Whether established before or upon death, an irrevocable trust helps control and transfer assets and reduce estate tax.
Irrevocable Life Insurance Trusts
This type of trust holds your life insurance and effectively removes the
death benefit from taxation, lowering your estate taxes. You may make
annual gifts to the trust to pay the insurance premiums – usually
up to $11,000 – without being subject to any estate or gift tax.
Charitable Reminder Trusts
This trust uses the assets it holds to pay a specified annual income to
you or your beneficiaries, over a set number of years or lifetime. Once
the payout term has ended, any remaining assets in the trust pass to the
charitable organization of your choice. You can take a tax deduction today
for the amount likely to go to charity in the future.
Charitable remainder trusts are especially beneficial if you own a large portion of a low-cost-basis stock. By transferring ownership of the stock to the trust, you can sell the shares, both diversifying your holdings and deferring tax on the capital gain.
Trustee Services
Beyond helping you establish your trust, we can help you designate successor
trustees. A successor trustee steps in and assumes responsibility should
an originally named trustee, whether that is your or someone else, become
incapacitated or die.
We can also assist you in arranging for a corporate trustee. A corporate trustee is a team of experienced professionals, regulated by the government, with expertise in fiduciary law, estate taxes, trust accounting and other specialized areas. Unlike a relative, friend or business associate, a corporate trustee manages your trust unemotionally and for as long as necessary, either during your lifetime or beyond.
Whatever approach meets your needs, banking law and trustee integrity ensures compliance with family instructions and changing tax laws as well as providing accurate record keeping.
LPL Financial representatives offer access to Trust Services through The Private Trust Company N.A., an affiliate of Linsco/Private Ledger Corp.
CLICK HERE to read more about the Private Trust Company