When you first started making a decent salary and accumulating assets, you may have decided to create a trust. But that was years ago, and a lot may have changed since then.
Maybe you got remarried. Maybe your grandchild was born, and suddenly, that trust you set up years ago does not reflect your current reality. Or, maybe you can no longer trust your appointed trustee.
At Tully Law Group, PC, we understand that estate planning is not something you do once and never think about again. A trust should evolve with your life. If you are wondering whether your trust needs an update—or if it is time to rethink it altogether—our trusts attorneys are here to help you with trust modification and termination in Melville.
Life can change in an instant—people get married, divorced, have kids, or lose loved ones. If your trust does not reflect your current family situation, it might not do what you intended it to do when you originally set it up.
In any event, a trust should reflect what you actually have—not what you used to have. A Melville lawyer could explain what steps are required for trust modification and termination and help you navigate the process.
If you believe that it is time to modify your trust, you may be wondering how to proceed. Well, the process depends on the type of trust you have.
Revocable trusts are the easiest to modify. If you have a revocable trust, you (as the grantor) can modify or revoke the trust whenever you want, no permission needed.
On the other hand, irrevocable trusts require more effort because these are designed to be permanent. However, it is important to note that just because it is “permanent” does not mean it is impossible to change. Modifications can be made if all the beneficiaries agree or if a judge finds a strong reason, like tax benefits or legal conflicts.
Trust decanting is also an option if your trust requires extensive modifications. New York’s decanting law allows you to pour (or transfer) assets from an old trust into a new one with updated terms.
Regardless of the type of trust, a lawyer in Melville could assist with trust modification and termination.
Not all trusts are meant to last forever. Some outlive their purpose, while others become more trouble than they are worth.
A trust might be ready for termination when its original purpose has been fulfilled. If the reason for creating the trust no longer exists or if the trust’s assets are gone, there is no point in keeping it open.
If all beneficiaries agree that the trust is no longer needed, it can often be dissolved easily. In some cases, a judge might determine that the trust is no longer practical or useful and order its termination.
Revocable trusts can typically be dissolved without obstacles, while irrevocable trusts may require court approval or unanimous beneficiary consent. Either way, if you are thinking about terminating a trust in Melville, it is essential to consult a trust modification and termination attorney first.
Estate planning often involves complex legal considerations that require professional guidance. At Tully Law Group, PC, our experienced attorneys could assist with protecting your assets, ensuring trust modifications are legally valid and enforceable, and drafting an estate plan that aligns with your long-term goals.
Trusts are not just about protecting your assets—they are about securing your legacy. To learn more about trust modification and termination in Melville, schedule a consultation with our team today.
