The trust agreement itself establishes the trust and provides the terms for its administration, but until you take the steps to transfer your assets to the trust, your trust does not hold any assets.
Too Young for an Estate Plan? No Estate to Plan for? Think Again!
There are a few common misperceptions about estate planning. “Estate planning is only for wealthy people.” “I’m only 30, I don’t need an estate plan.” And of course, “I don’t have an estate to plan for.” At first glance these reasons might seem logical. After all, estate planning is often presented through the media in regards to multi millionaires and creating trust funds for children. However, there are several reasons why every person over the age of 18 years should create an estate plan.
Can Minor Children Inherit Property?
In Colorado, the age of majority is 18 years old for estate planning purposes. It is at this age that children may become a legal beneficiary of property. What happens if you pass away while your children are minors? Individuals frequently name their children as secondary or contingent beneficiaries on their life insurance policies, retirement accounts, and investment or savings accounts. Who will manage these funds for the child, and where will they be held until the child attains the age of majority?
What If I Don't Create A Will?
If you don’t have a will, don’t fret. The Colorado state government has made an estate plan for you! When you die without a will, you are said to die “intestate.” The intestacy statutes can be found in the Colorado Revised Statutes. These statutes determine who is entitled to receive your property and in what amount.
