Hi! My passed family member’s living trust has a section allowing the trustee(me) to add assets and cash to the trust after death. The language in the trust says trustee can also keep the trust open and manage assets and distribute when sees fit if it does not add a burden onto beneficiaries/if they don’t decline. I’m also a beneficiary and a relative is but they get and easy $300. Are there any issues to have these unique powers now? It would be smart as the trust now has its own EIN.
@@Legaleescorp thank you :) I wanted to double check if any issues as I am the trustee and a beneficiary allowed to add personal cash or assets into it to then distribute to myself for HEMS or general or for a trust purpose/need. I have to do the taxes too.
Love these videos! You seem like someone who has had a very successful career and is tired of all the other attorneys who do one-size-fits-all estate planning.
if I want to put $500k into an irrevocable trust to pay a child beneficiary (who is now 5) an annuity between the ages of 32 to 62 (trust would be depleted age 62), would I pay tax putting the money into the trust today? Or would the child beneficiary only pay tax receiving their annuity payment each year between the ages 32 and 62?
You would be responsible for a gift tax putting the money into the irrevocable trust. It is a gift to the child. You may be able to use up part of your unified credit for gift and estate tax, so you actually won’t owe any tax. The child would pay income taxes in the money they receive during the pay out period. I assume it would be broken up between principal and interest for tax purposes.
can you put our own cash in an irrivocalble trust acct (my deceased parents) and pay your personal credit card with it? is this commingle or conversion of funds?
You can put your own cash into the trust account. There may be a tax consequence and there may be an asset protection consequence. It is best to keep your cash separate from the account in an irrevocable trust.
Irrevocable trusts aren’t “owned” like an asset that you put into an LLC. The irrevocable trust already defines the trustee, so you may or may not be able to have the LLC be the trustee, but that would not give you any more asset protection. In an irrevocable trust, you probably can’t change the beneficiary, but it wouldn’t give you any more asset protection to have the LLC be the beneficiary. Some people says it does give you asset protection, but me and my gang of lawyers haven’t been able to figure out what it does for you. If you get a really smart lawyer that knows why they say it will give you asset protection, let me know.
It would’ve promissory note
A heart to heart talk....woe when you have more than one sibling. They can’t even talk to each other
Hi! My passed family member’s living trust has a section allowing the trustee(me) to add assets and cash to the trust after death. The language in the trust says trustee can also keep the trust open and manage assets and distribute when sees fit if it does not add a burden onto beneficiaries/if they don’t decline.
I’m also a beneficiary and a relative is but they get and easy $300.
Are there any issues to have these unique powers now? It would be smart as the trust now has its own EIN.
No you should be fine with the powers. Doesn’t matter that there is an EIN.
@@Legaleescorp thank you :) I wanted to double check if any issues as I am the trustee and a beneficiary allowed to add personal cash or assets into it to then distribute to myself for HEMS or general or for a trust purpose/need.
I have to do the taxes too.
What is considered the Date an Irrevocable Trust was funded? When applying for an EIN.
The date of death if it is a conversion from a standard living revocable trust or date signed on.
Date signed on is for a pre-death irrevocable trust
Love these videos! You seem like someone who has had a very successful career and is tired of all the other attorneys who do one-size-fits-all estate planning.
Thanks for the info Mr. Lee.
You're welcome.
if I want to put $500k into an irrevocable trust to pay a child beneficiary (who is now 5) an annuity between the ages of 32 to 62 (trust would be depleted age 62), would I pay tax putting the money into the trust today? Or would the child beneficiary only pay tax receiving their annuity payment each year between the ages 32 and 62?
You would be responsible for a gift tax putting the money into the irrevocable trust. It is a gift to the child. You may be able to use up part of your unified credit for gift and estate tax, so you actually won’t owe any tax. The child would pay income taxes in the money they receive during the pay out period. I assume it would be broken up between principal and interest for tax purposes.
Good video and presentation. I can actually understand these concepts when you explain. Other videos are gobbly gook
can you put our own cash in an irrivocalble trust acct (my deceased parents) and pay your personal credit card with it? is this commingle or conversion of funds?
You can put your own cash into the trust account. There may be a tax consequence and there may be an asset protection consequence. It is best to keep your cash separate from the account in an irrevocable trust.
😂 “don’t kill me this week”
can i put my irrevocable trust im my nevada LLC
Irrevocable trusts aren’t “owned” like an asset that you put into an LLC. The irrevocable trust already defines the trustee, so you may or may not be able to have the LLC be the trustee, but that would not give you any more asset protection. In an irrevocable trust, you probably can’t change the beneficiary, but it wouldn’t give you any more asset protection to have the LLC be the beneficiary. Some people says it does give you asset protection, but me and my gang of lawyers haven’t been able to figure out what it does for you. If you get a really smart lawyer that knows why they say it will give you asset protection, let me know.
What
After 10 “trusts 101” vids i thought I knew all about trusts. But now I saw this vid and realized I, in fact, know fk-all about trusts 🫤