As an Illinois trust attorney with years of experience, attorney Ryan Hejmanowski helps clients understand if a trust will be right for their estate plan. If so, he drafts revocable, irrevocable, special needs, pet, and other trusts for clients that will help protect their assets so that they can be distributed in accordance with their wishes. He offers a free consultation and fixed fees for trust preparation.
As a trust attorney serving Joliet, Frankfort, other towns in Will County and the surrounding communities, I help individuals and families decide whether a trust is appropriate for their situation, draft enforceable documents, and ensure assets are properly transferred into the trust. If you are searching for the best trust lawyer for your needs, I would invite you to give me a call to learn how I can help and to see if I’m the right trust attorney for you. I provide personalized, fixed-fee trust planning and free consultations to discuss your goals.
Call (708) 279-4050 today to schedule a free consultation to learn if having a trust can help protect your loved ones and accomplish your long-term goals!
A trust is a legal arrangement that allows a third party (the grantor or trustee) to hold and manage the assets placed into the trust on behalf of trust beneficiaries.
Typically, a grantor (the person creating a trust) executes a trust document that defines essential terms, such as the assets to be placed in the trust, how such assets will be managed, who the beneficiaries of the trust are, and how distributions may be made from the trust assets. The trust will also specify who will serve as the trustee of the trust.
Yes. In many cases, the same person who creates the trust will also be named as the trustee. This is usually the case in what are known as “revocable living trusts.”
With a Revocable Living Trust, the grantor (the person transferring the property into the trust) is still considered to be the “owner” of the property, even if the property is titled in the name of the trust. As a result, the trust property is not immune from the creditors of the grantor, and it is subject to tax liens and lawsuits in the same manner as if the property had not been transferred.
If the trust is irrevocable, the trustee (on behalf of the trust) is the legal owner of the trust; however, the trustee must manage the trust in accordance with the trust assets and not for their personal benefit. While the trustee is considered to “own” such assets, they do so only for the benefit of the trust, and the trust assets cannot be accessed by other creditors of the trustee.
A trust lawyer helps clients create, administer, and enforce trusts in accordance with Illinois law. A trust is a legal arrangement in which a trustee manages assets for the benefit of beneficiaries. While online templates exist, Illinois trusts must meet the requirements of the Illinois Trust Code. Without professional guidance, mistakes in drafting or funding a trust can lead to disputes, probate court involvement, or tax consequences.
The best person to set up a trust is a licensed Illinois trust attorney. While some banks and financial advisors offer to “set up” trusts, an experienced trust lawyer can draft a trust agreement that meets the requirements of Illinois law. A trust lawyer ensures that your trust does what you intend, whether that means avoiding probate, providing for children, or protecting a family business.
If you want to make sure your trust is legally enforceable and tailored to your needs, call 708-279-4050 to schedule a free consultation.
Illinois law recognizes several different kinds of trusts, each designed for specific purposes:
During your consultation, we will discuss which type of trust best fits your objectives.
By combining both a will and trust, individuals may be afforded a higher level of protection and can exercise significant control over their estate during and after life.
Wills distribute assets to loved ones after an individual dies and provide critical instructions, such as who should manage an estate or have guardianship over a minor child. What is known as a “pour-over-will” can be utilized to ensure that any assets not previously transferred to a trust during a person’s lifetime can be transferred to a trust upon the person’s death. Those assets are then managed and distributed in accordance with the trust.
There are numerous types of trusts, but a major distinction is whether they are revocable or irrevocable. A revocable trust (sometimes also referred to as a living trust or revocable living trust) allows individuals to retain control of assets throughout their lifetime. Revocable Living Trusts can be readily changed and are dissolvable at any time; however, they typically become irrevocable when the grantor dies. While revocable trusts provide significant flexibility, they are subject to both income and estate taxes.
An irrevocable trust allows less asset control but can provide tax advantages in some cases. Once an irrevocable trust is established, a trustor will lose control over the assets and be unable to change any terms.
Trusts are a popular estate planning tool because they offer many advantages. The following are just a few of the benefits:
Protection of Minor Children in the Event of the Death of a Parent
If you currently have minor children, a trust is often a good way to protect them from potentially coming into a large inheritance if you should die when they are at a young age. With a trust, you can name a trustee to oversee the trust funds and to distribute assets to provide for the welfare, education, and other needs of your children. The trustee you choose can be an individual or even a company such as a bank.
A trust can be used to avoid the potential issue of a child or young adult suddenly receiving a large sum of money that may not be wisely spent. Similarly, in this situation, the trust assets will normally be out of reach of potential creditors of the children, since they do not own any assets until such assets are distributed.
Bypass Probate
Probate is a court-involved process for distributing a decedent’s possessions. Depending on the estate and parties involved, probate can be lengthy and expensive, which can delay the dividing of an estate and depreciate the amount of inheritable assets (as court, legal, and other fees must be paid by an estate during probate proceedings). The probate process is also public.
By placing assets in a trust, court intervention may be avoided; instead, property will be distributed according to the instructions contained in the trust agreement. Consequently, money and other possessions can transfer faster, and costly court expenses will be avoided.
However, in the case of a trust originally created as a revocable trust, the assets in the estate are not immune from the creditors of the decedent, or from taxes or other trust expenses. These obligations must be paid before distributions can be made to beneficiaries.
Protecting a Business – Keeping the Business “In the Family”
Trusts are often beneficial to keep a business in the family. Trusts can be created to hold a family business for the beneficiaries designated in the trust; often those who have a blood relationship with the founder. Because the children of the founder will not own shares in the business, if they are divorced an ex-spouse will not be able to receive shares of the company. Trusts then can prevent a business from subsequently becoming owned by a non-family member following a divorce.
Keeping Your Affairs Private
One of the most overlooked advantages of a trust is the privacy it offers. When a person dies with only a will, that document must be filed with the probate court, becoming part of the public record. This means that anyone can see the value of the estate, the assets involved, and who inherits them. This lack of privacy can feel intrusive and sometimes leads to unwanted disputes.
By contrast, assets placed into a trust are managed and distributed according to the terms of the trust agreement, without the need to file documents publicly. A trust allows property, financial accounts, and even business interests to be passed directly to beneficiaries without exposing sensitive information. For families with businesses, real estate holdings, or blended family dynamics, this privacy can be invaluable.
Maintaining privacy also reduces the risk of conflict. Because distributions are handled privately by the trustee, there is less opportunity for distant relatives or other individuals to contest or interfere with a decedent’s wishes. If you value discretion in how your estate is managed, a trust may be the right choice.
To learn more about how a trust can protect both your assets and your family’s privacy, call 708-279-4050 to schedule a free consultation with an Illinois trust lawyer.
Yes. All adults should have a will.
A trust typically does not account for everything an individual owns, even when a person diligently tries to transfer all possessions into the trust. There is still a high risk that property will be acquired shortly before death or that certain assets will slip through the cracks, such as cash on hand. A pour-over-will is utilized to transfer any remaining assets to a trust owned by a person at the time of their death so that all of the person’s assets are then subject to distribution in accordance with the terms of the trust.
Wills are also essential because they can accomplish tasks that trusts cannot. For example, if a decedent leaves a minor child, a will can name a guardian for that child.
As an experienced estate planning attorney, I can explain the benefits of executing a will in conjunction with a trust and help draft an estate plan that meets your end-of-life objectives.
There is no minimum net worth required to benefit from a trust. Even modest estates may use trusts to avoid probate or protect a beneficiary. However, trusts are especially useful if you:
In most cases, no. The assets included in a revocable trust that is made for the benefit of the grantor (the person creating the trust) will be deemed to be still owned by the grantor. As a result, such assets are subject to the rights of creditors.
A trust may be helpful in certain situations. For example, if a parent dies while their children are young, a trust can direct that inherited money is not received by children while they are teenagers or young adults. However, if the parent’s estate is modest, it may be more beneficial for the children to receive money directly rather than to pay money for trust creation and trust administration.
Life insurance proceeds are also transferred to beneficiaries as set forth in the life insurance policy, irrespective of the transfer terms that may be included in a will. If a single parent (for example) wants to take out a large life insurance policy to protect their children if they should die before the children are adults, the parent could name a trust as a beneficiary. If such an event occurs, the life insurance proceeds would be transferred to the trust and administered by the trust for the benefit of the children.
Under the Illinois Trust Code, most trusts are limited by the “rule against perpetuities,” which means they generally cannot last longer than 21 years after the death of the last measuring life1. However, many practical trusts last until children reach adulthood or until assets are distributed according to the trust’s terms.
The “5% rule” refers to provisions in some trusts that allow beneficiaries to withdraw up to 5 percent of trust assets annually without tax consequences. This rule can be an effective way to provide income while preserving the bulk of the trust. An Illinois trust lawyer can explain whether this applies to your situation.
Placing your home in a trust can help avoid probate and ensure a smooth transfer to heirs. It can also allow you to control how and when the property is distributed. However, transferring real estate requires legal steps such as preparing a new deed. If the home is subject to a mortgage, lender approval might be necessary.
Your house does not need to be paid off to be transferred to a trust. However, if you or your parents are elderly, putting a house in a trust can simplify future transfers and prevent delays in probate court. If you want to learn whether putting your home in a trust is right for you, call me at 708-279-4050 for a free consultation.
The cost of creating a trust varies depending on its complexity. At RNH Law, I prepare most trusts for a fixed fee that is affordable and predictable. Once we meet and I understand the nature of your assets and your objectives, I can provide you with a fixed fee quote for preparing the trust.
Banks and professional trustees often charge management fees, typically based on a percentage of assets under management. For many families, naming a trusted relative or individual as trustee is a cost-effective solution as opposed to paying third parties’ management fees.
In order to determine whether a trust may be beneficial for your circumstances, you can begin preparing by taking the following steps
Whether you are considering a revocable living trust, a special needs trust, or a trust to protect your home, I can help. As an Illinois trust attorney with 19 years of legal experience, I can guide you through your options and draft a plan that meets your family’s needs.
Call 708-279-4050 today to schedule your free consultation and learn how a trust can protect your assets and secure your legacy.
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