If you or someone you love needs an estate plan, contact a skilled estate planning attorney. OC Wills & Trusts proudly serves clients in Orange County, CA. Our skilled team has been helping Californians with charitable trusts, wills, and other estate-planning tools for more than a decade.
Many people believe that estate planning is necessary only for the very wealthy. This view is deeply mistaken; anyone can benefit from a thorough, thoughtful estate plan.
Your estate plan should accurately represent your values and commitments. For help planning a charitable trust, speak with the experienced attorneys at OC Wills & Trusts. Reach out to our office to schedule a consultation with one of our legal professionals.
Understanding Trusts in California
Trusts and wills are both estate planning tools. These important documents allow you to determine what will happen to your assets and property after you pass away.
When you form a trust, you will designate a trustee to hold and manage the assets for one or more beneficiaries. Typically, trusts are overseen by a professional trustee.
Trusts can be created during your lifetime or upon your death. They can be either revocable or irrevocable. Charitable trusts are irrevocable, which means they cannot be altered.
This type of estate planning tool offers benefits such as:
Unlike trusts, wills go through the probate process, which is subject to challenges by interested parties. In most cases, a trust offers more flexibility and privacy than a will.
What Are Charitable Trusts?
Charitable trusts in California are established to support one or more charitable organizations. A trustee manages the assets and property to carry out the decedent’s philanthropic wishes.
This type of estate planning tool can provide benefits that include:
- Reducing estate and gift taxes
- Providing a reliable stream of income to a charity
- Giving the donor a way to support their favorite causes
Several types of charitable trusts are available to California residents. These include charitable remainder trusts and charitable lead trusts. Each type of charitable trust has its own unique features and benefits.
It is critical to speak with an estate planning attorney to understand the potential advantages of various estate plans. One of the skilled attorneys at OC Wills & Trusts will review your situation and help you determine the best type of plan for your needs.
The formation and administration of a charitable trust can be complicated. In California, charitable trusts are regulated by the California Probate Code. As such, these trusts must comply with state and federal laws, including the Internal Revenue Code.
It is vital to consult with an attorney to ensure that your philanthropic objectives are accurately represented. A seasoned lawyer will also take the interests of your chosen charities into account when planning your estate.
Advantages of Charitable Trusts
Beyond the philanthropic aims of a charitable trust, these estate plans can also provide advantages for the person founding the trust. These are some of the most powerful benefits of a charitable trust:
Tax Benefits
In California, donors are permitted to deduct their contributions from their taxed income. A charitable trust can also lower estate taxes by reducing the taxable value of the decedent’s assets.
Donors can use charitable trusts to offer sizeable gifts to charitable entities. In some cases, this will reduce the amount of gift taxes the donor owes. Discuss the potential tax benefits in your case by contacting a seasoned estate planning attorney.
Ensuring Your Wishes Are Carried Out
Charitable trusts are very flexible. This means you can determine specifics about how your assets and property are distributed and used. When you form a charitable trust with the help of a skilled attorney, you can rest assured that your wishes will be carried out accurately.
Another security measure that charitable trusts provide is a professional trustee. This trustee will ensure that your assets are used according to your wishes.
The many benefits of charitable trusts in California make them an ideal choice for many people who are planning their estates.
Disputes over Trusts
In some cases, disputes arise about the execution of a charitable trust or the distribution of the relevant assets. If you are involved in a dispute involving a trust in California, make sure to secure legal representation.
Disagreements about estate plans can swiftly turn into expensive and prolonged legal battles. No matter your role in a dispute of this nature, having a trust and estate lawyer represent you is critical.
Contact the Orange County, CA, Team at OC Wills & Trusts
The accomplished attorneys at OC Wills & Trusts have been serving Orange County since 2008.
Our firm does not have any hidden fees or charges. When you hire us, you can trust that we will help you build an estate plan that suits your needs. Contact our office today for a legal consultation.
