Arkansas Elder Law &
THE RAYMON B. HARVEY LAW FIRM
Special Needs Trusts
A revocable trust, often called a "living" trust". The owner of an asset, during the owner’s lifetime, completes the paperwork and transfers the asset to a new ownership (the trustee under the living trust.) For example, George and Barbara create a living trust and transfer their home to trust ownership. When George and Barbara die, the home (being owned by the trust) is not in the probate estate of either of them. Once both George and Barbara have died, the home is dealt with in the manner they directed in the trust document.
A living trust is also a “naming document”. It names who will receive assets owned by the trust. It also names a trustee (the person in charge of the assets) and successor trustees.
The primary reason to create a living trust is to avoid probate. Assets transferred before death to a living trust are removed from the probate estate.
Living trusts can also provide for lifetime asset management.