Long Island Trusts Lawyers

Types of Trusts

While there are numerous types of trusts, they fall into three categories. 

Revocable Trusts

Many New York residents choose to add revocable trusts to their estate plans. You can name yourself as the trustee and manage the property inside the trust while you’re of sound mind. You’ll also list a successor trustee to take over if you become incapacitated.

You can modify or revoke the trust at any point as long as you are of sound mind. As long as it’s active, though, the trustee will distribute property inside of it to beneficiaries based on your guidelines.

Revocable trusts do have some limitations. Since you have full control over the property, it’s still technically a part of your estate. That means creditors can potentially seize it with a court order, and the property will still count toward your assets when trying to qualify for Medicaid.

Irrevocable Trusts for Asset Protection & Medicaid Planning

If you want to protect your assets or remove property from your estate to qualify for Medicaid, an irrevocable trust might be the right solution. Generally, you cannot revoke, modify, or serve as the trustee if you choose an irrevocable trust. However, you can receive income from the assets inside of it.

In most cases, creditors cannot touch the assets inside an irrevocable trust. Also, the property won’t be included in your estate’s value when applying for Medicaid, as long as you didn’t transfer it during the look-back period.

Special Needs Trusts

If you have a disabled child, you need to ensure they have ample financial resources. At the same time, you do not want your son or daughter to lose access to government programs. Your trusts lawyer can help you create a special needs trust for your child. This is also referred to as a supplemental needs trust. It allows you to provide for your child without impacting their ability to receive benefits. These trusts have numerous rules you must follow to avoid losing benefits, so consult with our firm first. Then we can help you create and fund the trust while staying within the law.

Trusts for Pets

Your pets are like family, and you want to ensure they’re cared for after you’re gone. With that in mind, you might consider leaving money for your pet’s care in your last will and testament. However, your will could be held up in probate, meaning the caregiver won’t have the resources necessary. Fortunately, you can ensure your animals are cared for by setting up a trust for your pets. 

Related Blogs

• Understanding a Pooled Income Trust in New York

Consult with a trusts attorney on Long Island by calling (631) 519-9831. We are committed to providing our clients with everything they need for a comprehensive estate plan that suits their unique situation.