What is a Revocable Living Trust?
The term, “revocable,” means that the instructions of these trusts can be amended whenever the Trustmaker desires. These trusts are popular because they provide the Trustmaker the maximum flexibility in controlling the trust assets and the ability to change the plan whenever desired. While parents are alive and healthy, they act as the trust’s Trustee and have total control over the property in it; however, if one or both parents suffer a disability, the trust’s detailed instructions state how the parents should be cared for and how property held in the trust should be managed. Additional instructions state how the children and other loved ones should be cared for after the parents die. Since these trusts are “revocable,” their instructions can be changed or canceled at any time so long as the Trustmaker is still legally competent. Also, property can be place into or removed from the trust anytime the Trust maker desires.