Trust Attorney in Union, MO
A trust can keep farmland together after you're gone. It can hold an inheritance until a child is old enough to manage it, or make sure children from a first marriage are provided for after a second one. It may also keep some property out of probate. Schmanke Law Firm prepares trusts for families and landowners in Union and across Franklin County, and helps successor trustees and beneficiaries with trust and estate administration.
How a trust works
Every trust has someone managing the property, called the trustee, and at least one person the property is held for, called a beneficiary. In many trusts, the person who creates the trust is also the first trustee and one of the beneficiaries. You live in your house and use your accounts the same way you did before. The trust document names who steps in as trustee later and says what happens to the property after you die.
Reasons people set up a trust
Timing is a common one. With a will, a beneficiary usually receives their inheritance once the estate is settled. A trust can hold property for a longer period and pay it out gradually, at certain ages, or for specific purposes like school or housing. Parents of young adults often care about this.
Some people want a plan for managing their property if they become unable to handle it themselves. A successor trustee named in the trust can take over managing whatever the trust holds.
Probate is another reason. Property that has been properly transferred into a trust during your lifetime generally passes under the trust's terms instead of going through probate. Property left in your own name doesn't.
Some families have more specific concerns. A second marriage with children from a first one is a good example. So is farmland that the owner wants kept together, or a beneficiary who isn't ready to manage money.
A trust doesn't solve everything, and it helps to know that going in. Under Missouri law, property in a revocable trust can still be reached by the creator's creditors during their lifetime. Questions about taxes, Medicaid, or nursing home costs depend heavily on how a trust is set up and aren't answered just by having one.
A trust usually works alongside a will
Having a will doesn't settle whether a trust would be useful. Having a trust doesn't mean you can skip a will.
A will takes effect after you die, and property passing under it generally goes through probate. A trust can hold and manage property while you're alive and keep going afterward.
Most people with a trust still have a will. It covers any property that never made it into the trust, and it's where parents name a guardian for minor children. You can read more about that on our Wills page.
Signing the trust is only part of the work
A trust only controls property it actually holds. Signing the document creates the trust, but property still has to be moved into it.
How that happens depends on the asset. Real estate usually takes a new deed. Bank and investment accounts go through the institution holding them, each with its own paperwork. Some property, like retirement accounts, is normally handled through beneficiary designations rather than being retitled.
Part of our work is going through what you own and sorting out what should go into the trust and how each piece gets there. A trust that was signed but never funded often doesn't do what its creator expected.
What we work out at the consultation
You don't need to know what kind of trust you want before you call. Most people come in with a general goal, or just a question about whether a trust is worth it for them.
Michael will talk with you about your family, your property, and what you're hoping to accomplish. From there, he'll help you understand whether a trust makes sense or whether a will alone may accomplish what you need. Sometimes the answer is that you don't need a trust.
If a trust is the right fit, Michael will walk you through the practical decisions. Who should manage it now, and who takes over later? Who benefits, and should they receive property all at once or over time? How does the trust line up with your will, your beneficiary designations, and your other estate planning documents?
After those decisions are made, Michael drafts the trust, goes over it with you, and handles the signing. He'll also walk you through what needs to happen to transfer property into the trust.
Frequently Asked Questions
Does a trust avoid probate in Missouri?
It can, for the property the trust actually holds. Property that has been properly transferred into a trust during your lifetime generally passes under the trust's terms without going through probate. Anything still titled in your own name when you die may need to go through probate even though you have a trust. That's why moving property into the trust matters as much as signing the document.
Do I need a revocable or irrevocable trust?
That depends on what you want the trust to accomplish and the circumstances of your estate. Revocable and irrevocable trusts work differently and are used for different purposes. Michael will walk you through the differences and help you understand which options make sense for your situation.
Can I change a trust after I create it?
Usually, if the trust is revocable. Irrevocable trusts are a different matter. They're much harder to change, and doing so may require the agreement of others or a court order.
Do I need a lawyer to set up a trust?
Missouri doesn't require one. Online services and forms can produce a trust document. What a form can't do is decide how the trust should be structured for your family, or check whether your property is titled so the trust actually controls it. Those questions are where most of an attorney's work goes.
How much does a trust cost?
It depends on what needs to be prepared. A straightforward trust for a married couple with a house and a few accounts takes less work than one holding farmland, business interests, or property for beneficiaries over many years. You can ask about the firm's fee for your situation during the free consultation.
Talk With a Trust Lawyer in Union
If you've been wondering whether a trust makes sense for you, schedule a free consultation at our Union office at 301 East Main Street. Appointments are also available at our Owensville office.