Georgian residents can have many reasons to want a trust. Trusts serve different purposes. Because of that, there are different types available. Today we will take a look at a few trusts and their unique purposes.
Trusts cover a range of purposes. Some examples are spendthrift trusts, totten trusts and tax by-pass trusts. Some of the most common trusts are:
- Special needs trusts
- Charitable trusts
- Revocable trusts
- Irrevocable trusts
Special needs trusts are useful when dealing with a loved one who receives government benefits. Oftentimes, these individuals are not capable of managing money on their own. This trust can be set up to allow a third party to receive and manage the money on their behalf. Generally speaking, a primary caretaker will be the one to manage a special needs trust.
Charitable trusts benefit the public in general or specific charities. It is a great way to give back to a community you love or a cause that is close to your heart. They are also funded during a grantor’s life and can be a viable financial planning tool.
You can modify, change or even end revocable trusts at any point in your life. As the name suggests, you cannot change irrevocable trusts after creating them. Each serves a different purpose depending on what the trustmaker wants.
Are you curious about estate law? Do you want to learn how estate planning is handled in Georgia? If so, you can take a look at our web page, linked here. You will gain more insight into the process and how the state laws handle it.