A revocable living trust works like a bucket. Think of one of those five gallon buckets that you might buy at Home Depot or Ace hardware store. When you create the trust, you create the bucket.
During your lifetime, you are the owner of the bucket and also the manager of the bucket and the assets that are in the bucket. So you could put your assets, your financial accounts and your real estate into the bucket. You can take whatever assets that are in the bucket and take them out of the bucket. You can do whatever you want with the bucket.
When you pass away, you hand the handle to the bucket off to someone else. That person is known as the successor trustee. They are the manager, the business manager of the assets that are in the bucket, and you’ve left them instructions on the outside of the bucket about how you want them to distribute your assets after you pass away.
So essentially, that is how a revocable living trust works. It’s a vehicle to hold your assets both during your lifetime and after you pass away, and then you empower the successor trustee to distribute the assets according to your wishes.
If you’d like to schedule a time to talk about whether a revocable living trust is right for you, please click the link below and we’d be happy to schedule up a time to meet
