When you first see the words “setting up a trust,” what image comes into your mind? Is it a large company CEO sitting in his corner office with his financial advisor, deciding how to divide up his millions? Or maybe an investing tycoon sitting on the beach at his vacation home in Cancun, talking to his broker on speaker phone while sipping a drink out of a coconut?
Well, the truth is – neither of these scenarios describes how the average person can benefit from the Trust Services department at Troy Bank & Trust!
What does Trust Services really mean anyway?
“Trust Services” is really just the name of a division of a bank that works with individuals to get their affairs in order for their loved ones. That’s it. It can be any combination of drafting a Will, getting help planning for retirement, or, yes – setting up a trust. These are all things a “thousand-aire” needs anyway, so Trust Services are not at all reserved for the wealthy! If you own a home, have a family, and have some type of bank account – you need to be working with Troy Bank’s Trust Services department. We have offerings for all different types of individuals of all different financial situations.
What exactly is a Trust Fund?
One of the purposes of a trust fund is to simply protect your finances once you are gone. But because the phrase “Trust Fund” is so daunting, few people really take advantage of one, which is really a shame.
A potentially important part of overall estate planning, setting up a trust allows you to achieve certain financial objectives or provide your loved ones with certain protections. In addition, trusts have the ability to do and provide certain things that individuals do not have the ability to.
Here are some of the different reasons why an average, ordinary person might set up a trust:
- They have a child with disabilities and they want to ensure that child has their financial needs taken care of, while still qualifying for government benefits.
- Trusts in some cases can reduce or eliminate certain types of taxes.
- A trust can protect personal property.
- A trust can help your loved ones avoid probate, which can be a lengthy legal process used to distribute your assets after you’re gone.
- A trust can keep peace in the family. Because a third party, or trustee, carries out the wishes of the trust, you can be ensured that your wishes are carried out after you’re gone without fighting or contesting.
- You can specify what the money in the trust fund is to pay for – such as college, rent, healthcare, or other specific types of fund needs. With a trust, you have the power and flexibility to specify these things.
- If you have young children, you can specify money in a trust that is to be held until the children come of a certain age, protecting them from themselves in many cases!
Now, not everyone should create a trust fund. In some cases, a simple estate Will will suffice. That’s why it is important that you reach out to a Trust expert in order to best determine whether or not it will suit your estate planning needs.
Is a Trust Fund the only thing that Troy Bank’s “Trust Services” department handles?
Absolutely not! A trust is just one tool in the toolbelt for estate planning. Our Trust Services experts do it all. For example, here are some of the many services that our Trust Services department provides for our customers:
- Retirement services
- Personal representative for estates
- Estate Planning
- Trustee of trust established by a Will
- Trustee for revocable and irrevocable trusts
- Trustee for life insurance trusts
- Investment management for individuals, trusts, and foundations
Retirement and end of life planning are critical – don’t put it off
However you decide to divide your assets and protect your loved ones when you are gone, it is important not to put off this critical planning. It is estimated that 55% of Americans die without a Will or estate plan. People will often think “I don’t have enough assets to justify an estate plan” or “I just haven’t gotten around to it.” But just picture the following situation. You’re gone – but there’s no estate plan. So the state in which you live comes in to dictate what happens with your assets, and your loved ones have no say so at all.
Estate planning is so much less daunting than you might think. More importantly, you’ll experience the peace of mind that you are taking care of your family in the best possible way during your retirement years and when you’re no longer around to have control over how your assets are divided. So commit to picking up the phone and calling one of our Trust Services bankers today, come in for a consultation, and enjoy the peace of mind that a well-tended estate plan is in place for your family.
Troy Bank & Trust wants to help you with your estate planning needs
Troy Bank & Trust’s Trust Services department has helped countless people get their estate planning affairs in order, from assisting with Wills to establishing different types of trusts. Protecting your money is important to us, and we are experts at it. As a local independent bank, banking with us means you’re also helping your local economy, and we make your banking experience more accessible. Allow us to not only help you with your checking and savings needs but also give you the peace of mind that planning for your loved ones brings. After all – we are “the only bank you’ll ever need.” For more information on estate planning with our Trust Services department, visit Troy Bank & Trust here, or reach out to us by phone at 334-566-4000.