Santa Barbara Estate Planning Attorneys

Santa Barbara Attorney - Dana F. Longo

Estate Planning is the practice of analyzing a person’s over-all financial picture, strategizing to minimize estate tax, and other post-death administrative expense, considering testamentary and other family needs, and implementing the plan of action. The concept of the ‘Family Trust’ or ‘Revocable Living Trust’ is basic to creating an estate plan. 

A Revocable Living Trust is a written legal document that partially substitutes for a will. With a living trust, your assets (your home, bank accounts and stocks, for example) are put into the trust, administered for your benefit during your lifetime, and then transferred to your beneficiaries when you die.

Most people name themselves as the trustee in charge of managing their trust’s assets. This way, even though your assets have been put into the trust, you can remain in control of your assets during your lifetime. You can also name a successor trustee (a person or an institution) who will manage the trust’s assets if you ever become unable or unwilling to do so yourself.

The living trust described in this pamphlet is a revocable living trust (sometimes referred to as a revocable inter vivos trust, revocable trust or a grantor trust). Such a trust may be amended or revoked at any time by the person or persons who created it (commonly known as the trustor(s), grantor(s) or settlor(s)) as long as he, she, or they are still competent.

Your living trust agreement:

  • Gives the trustee the legal right to manage and control the assets held in your trust.
  • Instructs the trustee to manage the trust’s assets for your benefit during your lifetime.
  • Names the beneficiaries (persons or charitable organizations) who are to receive your trust’s assets when you die.
  • Gives guidance and certain powers and authority to the trustee to manage and distribute your trust’s assets. The trustee is a fiduciary, which means he or she holds a position of trust and confidence and is subject to strict responsibilities and very high standards. For example, the trustee cannot use your trust’s assets for his or her own personal use or benefit without your explicit permission. Instead, the trustee must hold and use trust assets solely for the benefit of the trust’s beneficiaries.

A living trust can be an important part — and in many cases, the most important part — of your estate plan. For more detailed information on estate planning, order a free copy of the State Bar pamphlet Do I Need Estate Planning?

Other Types of Trusts

Other types of trusts such as Qualified Personal Residence Trusts (QPRT’s), Life Insurance Trusts(ILIT’s), and transactions such as planned gifting to family members and charities, both during life, and upon death are evaluated in determining the most suitable Estate Plan for any particular client’s needs. Lastly, as part of our philosophy to meet all of our clients Estate Planning needs, we prepare Durable Powers of Attorney for Financial Affairs and Advance Health Care Directives.