Can I Revoke or Terminate a Revocable Living Trust?
A revocable trust is flexible, so it remains a popular estate planning choice for individuals and families. Unlike an irrevocable trust, you can add or remove assets held in a revocable trust at any time. Furthermore, the trustee is you, most often, who initially created the trust. So a quick answer to the question, “Can I Revoke or Terminate a Revocable Living Trust” is yes. But that is not all!
Creating a revocable living trust in New Jersey takes some time and planning. You will almost certainly need a lawyer to help with the process. Once completed, you can feel peace of mind having achieved your objectives. However, you might wonder whether or not your revocable living trust can be terminated.
A revocable living trust can be terminated at any time by the trustor while they are alive. If they pass, the ability to run the trust passes to the successor trustee. Some trustors will choose to have the trust automatically terminated when they die. There are benefits to selecting the option, and an estate planning lawyer can explain these.
Terminating a Revocable Living Trust
When the trustor or grantor (creator of the trust), who is also the trustee (person who manages the trust), would like to terminate the trust, they can do so at any time. The process often includes the following:
- Transferring any assets held in the trust back to the trustor or other individuals (upon the request of the trustor)
- If needed, formally and legally revoke the trust.
Terminating the Trust After the Trustor Dies
When the trustor passes away, the revocable trust becomes irrevocable. It is essential to name a successor trustee. The successor trustee takes over at your death. Take the time to clarify with investment institutions serving as the current trustee.
Why Terminate a Revocable Living Trust
Most people who terminate a revocable living trust decide because the purpose or intention has been fulfilled. Often this intention is regarding the distribution of assets. That said, it is undoubtedly possible to revoke trust for other reasons, including:
- Significant changes have occurred during the trustor’s lifetime, such as a marriage, divorce, or the death of an heir.
- The trustor would like to make substantial changes to the trust, and a lawyer recommends terminating the current trust and creating a new one.
Would you like to terminate your revocable living trust? Are you contemplating updating your plan? Please reach out to Klenk Law. We can help!
Call Klenk Law Today For Assistance
Families are looking for a more private process after their passing. The process becomes public when a will passes through probate, meaning anyone can access your estate’s contents. Developing a trust safeguards assets from probate and ensures a private process. Protect your rights and assets with a revocable living trust established by our New Jersey revocable living trust lawyer; schedule an appointment with our team at Klenk Law today. We are happy to answer questions about Revocable Living Trust New Jersey.
We hope you enjoyed this short article addressing the question. “Can I Revoke or Terminate a Revocable Living Trust?” It’s What We Do!