Many individuals may accumulate various types and amounts of assets over time and they may feel that creating a strategy to preserve wealth is essential to protecting the interests of their loved ones. Those who wish to create a thorough strategy for asset protection could have questions about what to expect from probate and whether there might be certain strategies to help bypass this process. Exploring the available estate planning tools could help individuals in Colorado prepare to make informed choices about their options and create a strategy that aligns with their goals.
Possible options
While creating a will may be an integral aspect of estate planning, assets distributed via similar methods may be subject to the probate process. Those who wish to bypass this process could consider placing assets within a trust, as assets within a trust might not be subject to probate. There are various types of trusts available, each of which may function in its own manner and provide its own set of potential benefits.
Experts indicate that transferring assets such as real estate properties into a trust could also help shield against issues such as capital gains taxes. Another potential option to help bypass probate could pertain to the process of gifting assets to heirs. However, there may be yearly and lifetime limits involved with this path. Since exceeding these limits could trigger costly tax fees, taking steps to stave off a similar result could prove imperative.
Addressing the situation
Those who have concerns about the probate process may wish to know how best to plan for this aspect of estate planning. When facing similar concerns, a person could choose to speak with an attorney for advice in evaluating the situation. An attorney in Colorado can address a client’s needs and goals, provide insight on every available estate planning option, and help work toward creating an estate plan that focuses on what is most important to his or her future.