Most clients say they don’t want their family to go through the probate process, so they opt for a Trust-based plan. Don’t let the word “Trust” intimidate you. In simplest terms, a Trust is a document that allows you to keep control of your money and property and designate who receives it once you die.

Having a “Revocable Living Trust” means you can change the terms anytime during your lifetime. As the assets aren't considered a part of your estate, they sidestep the probate process.
It also allows you to continue using assets transferred into the Trust, such as a house or money from investments. Still, this Trust's advantages have limits; certain items will only create headaches if held there.
These are five items to leave out of your Trust:
Vehicles. Whether it’s an antique car or a small plane, all that’s required to pass it on is a simple written instruction to transfer the title to a beneficiary.
Annuities and retirement accounts. A trust can turn non-taxed accounts into taxable ones. If you distribute the entire account to the trust in a lump sum, the trust can be taxed at a higher rate than an individual. You must consult a financial advisor about the best options for your circumstances.
Life insurance. Name your beneficiaries within the policy. Or create an irrevocable life insurance trust (ILIT) to avoid estate taxes.
Assets held in other countries. This gets complicated as you may not be able to do it in the first place — and if you can, you'll need to consult an estate attorney licensed in the country where your international assets are located.
Checking and savings accounts. If you use these to pay monthly bills, you may face financial complications unless you’re the trustee and granted full control of trust assets. There's a much easier route to take: Keep these accounts out of the trust.
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