Schedule Appointment
Call Now

Do I Need A Trust To Avoid Probate In Georgia

Do I Need A Trust To Avoid Probate In Georgia

Do I need a trust to avoid probate in Georgia? 

No, you don’t need a trust to avoid probate. 

This article will show you:

  • all the ways you can avoid probate
  • what types of trusts avoid probate
  • the benefits and downfalls of using a trust
  • how to set up a trust

Let’s dig in. 

Ready to Secure Your Family’s Future?

Avoid the delays, expenses, and public exposure of probate.

Schedule your free, no-pressure Estate Planning Roadmap Call today.

Schedule Your Free Strategy Call

"*" indicates required fields

Name*

What is Probate, and Why Avoid It?

Probate is the court process to confirm a will, pay any debts, and transfer assets to the people you choose. 

In Georgia, this can take months or even years, and it can be costly. 

Probate also makes personal details public, which some people prefer to keep private. 

By avoiding probate, your family can save time, money, and keep family matters private.

How Does a Trust Help Avoid Probate?

A trust can be set up to transfer assets directly to beneficiaries without going through probate in Georgia. 

When you create a trust, you place certain assets, like your house or bank accounts, into the trust. 

The trust becomes the owner, and when you pass away, these assets are given to your loved ones according to your instructions.

Types of Trusts for Probate Avoidance

Some trusts are more helpful for skipping probate than others. Here are the main types:

1. Revocable Living Trust

  • How It Works: With this trust, you keep control of your assets during your life. You can change the trust or remove assets from it if you need to.
  • Probate Impact: When you pass away, assets in a revocable trust usually skip probate, so your family gets access sooner.
  • Flexibility: This trust is very flexible, so you can adjust it if your needs change.

2. Irrevocable Trust

  • How It Works: An irrevocable trust means you give up control of the assets in it, making it permanent. It’s often used for more detailed estate planning.
  • Probate Impact: Assets in an irrevocable trust avoid probate and are also protected from some creditors.
  • Flexibility: This trust is not flexible, but it provides strong asset protection.

3. Testamentary Trust

  • How It Works: A testamentary trust is created through a will and starts after you pass away.
  • Probate Impact: Because it’s part of your will, this trust usually goes through probate, so it won’t help you avoid it.
  • Flexibility: Good for adding trust terms to a will but won’t skip probate.

When Might You Not Need a Trust?

In some cases, you may not need a trust to avoid probate. Here are other options to consider:

Using Beneficiary Designations

  • Description: Many financial accounts, retirement plans, and life insurance policies let you name a beneficiary. When you pass away, these assets go directly to the person named.
  • Probate Impact: These types of assets can transfer directly, skipping probate.
  • Limitations: This method only works for specific assets, like bank accounts and retirement plans.

Transfer on Death (TOD) and Payable on Death (POD) Accounts

  • Description: TOD and POD accounts transfer assets directly to someone you choose after your death.
  • Probate Impact: Like beneficiary accounts, these accounts avoid probate.
  • Limitations: These accounts are only for certain types of property.

Joint Ownership

  • Description: When property is jointly owned with rights of survivorship, it automatically transfers to the co-owner if one owner passes away.
  • Probate Impact: Jointly owned assets usually avoid probate, so they’re passed directly to the surviving owner.
  • Limitations: Best for spouses or family members and may not work well for everyone.

Pros and Cons of Using a Trust to Avoid Probate

Trusts are helpful for skipping probate but have some ups and downs. 

Here are the main pros and cons to help you decide if a trust fits your needs.

Pros of a Trust

  • Skips Probate: Trusts can avoid probate, saving time and money.
  • Keeps Things Private: Trusts are not part of the public record, so financial details stay private.
  • More Control: Trusts allow you to set conditions, like when and how beneficiaries receive assets.
  • Potential Tax Benefits: Some trusts can help reduce taxes for larger estates.

Cons of a Trust

  • Needs Management: You must transfer assets into the trust to avoid probate.
  • Higher Initial Cost: Trusts may cost more to set up than just having a will.
  • Complex Setup: Trusts can be more complex, especially for an irrevocable trust.

Steps to Set Up a Trust to Avoid Probate In Georgia

If a trust seems right for you, here’s how to set one up to avoid probate:

  1. Talk to an Estate Planning Attorney: You can set up a trust on your own, but an attorney can ensure it’s done right and fits your wishes.
  2. Pick the Right Type of Trust: Choose between a revocable or irrevocable trust, depending on your needs.
  3. Transfer Assets to the Trust: Place the assets you want to avoid probate in the trust. Assets not in the trust will still go through probate.
  4. Select a Trustee: Choose someone you trust to manage the trust after you pass away. You can also serve as the trustee while you’re alive and name a successor trustee.
  5. Update Beneficiaries: Make sure beneficiary designations on your accounts are up-to-date to ensure no assets accidentally go through probate.

FAQs About Using Trusts To Avoid Probate

Here are other questions clients ask us about this. 

Do I Always Need a Trust to Avoid Probate in Georgia?

No, there are other ways like beneficiary designations, TOD, and joint ownership that can help.

Will All My Assets Avoid Probate with a Trust?

Only assets placed in the trust avoid probate. Anything not in the trust may still go through probate.

Can I Change My Trust Later?

Yes, if it’s a revocable trust. Irrevocable trusts are usually permanent and harder to change.

Get Help From A Probate Lawyer

Probate lawyers see what goes wrong with a poorly set up estate plan. 

We know how to avoid all the mistakes that other lawyers make because we see it every day. 

Fill out the form if you want to set up a trust to avoid the probate process in Georgia. 

Ready to Secure Your Family’s Future?

Avoid the delays, expenses, and public exposure of probate.

Schedule your free, no-pressure Estate Planning Roadmap Call today.

Schedule Your Free Strategy Call

"*" indicates required fields

Name*

What Areas We Serve For Probate

Our Georgia probate lawyers work remotely, so you don’t have to visit an office. Here are all the counties we serve in Georgia. 

Gwinnett County
Fulton County
Cobb County
DeKalb County