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The Executor Revocable Living Trusts
In New York State, any person over A revocable living trust (“RLT”) is a
eighteen years of age and of sound so-called “will substitute” - it is freely
mind may serve as executor of a revocable during your lifetime, and you
decedent’s estate. The executor is (and your spouse, if a joint trust) may
entitled to a statutory commission, act as trustee(s) of the trust. RLTs have
payable on a sliding scale. The scale is many advantages - they simplify estate
as follows: administration, avoid the necessity of
probate, and serve special purposes
for those who own property in multiple
5% of the first $100,000.00
4% of the next $200,000.00 states. An RLT, like any trust created
3% of the next $700,000.00 during the grantor’s lifetime, is its own
2.5% of the next $4,000,000.00 legal person. By setting up an RLT, you
2% of all monies in excess of will effectively begin administering
$5,000,000.00 your own estate during your lifetime.
This means that when you pass away,
As you can see, even a modest estate will your successor trustees will step
yield a substantial commission for the immediately into your shoes, without
nominated executor. Your executor will having to go through the length
be in charge of collecting your assets, process of probate. Administratively,
discharging your debts, and distributing the only thing for your family to do, will
your assets as per the terms of your be to have your successor trustee(s)
will. As such, the job is very important, begin managing the trust’s affairs, and
and should be given to someone disposing of the trust assets as per your
who is responsible, trustworthy, and directions.
meticulous in their record keeping.
A common circumstance that is
encountered in New York is the elderly
If you have been nominated as the
executor of a friend or family member’s decedent who owns both their long
estate, be mindful in your duties, time New York residence, and a Florida
and keep excellent records of all condominium for their retirement
expenditures made on behalf of the years. In these circumstances, without
estate. By doing so, you will honor the an RLT, the family of the decedent will
legacy of your loved one, assist their have to probate the decedent’s will
heirs in their time of need, and protect (or, in the absence of a will, bring an
yourself from potential liability. administration proceeding) in both New
York and Florida. After accounting for
filing fees, legal fees, service of process,
Trusts
There are dozens of varieties of and the potential necessity for travel,
trusts, each of which can be used to this can more than double the cost of
accomplish different goals. For most administering the estate. By utilizing
circumstances, however, your attorneys a RLT, you can avoid these problems,
will recommend one (or several) of three save money and time for your heirs, and
variants of trusts - the basic revocable leave a lasting legacy for your family.
living trust, the irrevocable “Medicaid” Almost without exception, we advise
trust. Each trust serves its own specific that our clients who own real estate or
purpose - generally, irrevocable trusts other property in multiple states utilize
are for asset protection and estate tax an RLT for estate planning purposes.
purposes, where revocable trusts are
considered “will substitutes”.
Overton Funeral Home, Inc. - Page 31
