As an estate planning attorney with nearly 15 years of experience, I've noticed a troubling trend: too many people are convinced they need a revocable trust without understanding whether it's actually right for their situation. Social media has created a lot of confusion around estate planning, so I wanted to share some honest insights about when trusts make sense—and when they don't.
The "Trust Obsession" Problem
Recently, I received a call from a prospective client who was absolutely insistent they needed a revocable trust. They expected it to take just one hour to prepare and didn't want an initial consultation. This attitude is becoming increasingly common, but it's problematic for several reasons.
Here's the thing: we always require initial consultations. Why? Because we need to assess what you actually need. The last thing we want is to create a "big monster" that you'll have to "feed" with ongoing maintenance when a simpler solution would serve you better.
The Hidden Costs of Trusts
While trusts can be valuable tools, they're expensive—and I'm not just talking about the drafting fees. The drafting cost is actually the least of your worries. The real burden comes from:
When I Actually Recommend Trusts
Don't get me wrong, trusts have their place. I recommend them in specific situations:
1. Avoiding Probate (With Timing Considerations)
If avoiding probate is your goal, a trust can help. However, I typically recommend waiting until later in life rather than setting one up when you're young. The administrative burden often outweighs the benefits for younger couples.
2. Out-of-State Property Ownership
If you own property in multiple states, a trust can help you avoid multiple probate proceedings in different jurisdictions. This is one of the strongest practical reasons for a trust.
3. Blended Family Situations
Trusts work well when you have:
4. Special Needs Planning
When Medicaid planning is involved or you need to provide for someone with special needs, trusts become necessary tools.
The Reality for Most People
Here's the truth: if you own a home, have a checking account, and own a car, you probably don't need the expense of a trust. You'll likely be fine with probate, especially here in Texas where probate is relatively reasonable compared to other states.
The only exception might be if you have a genuine phobia of probate proceedings and really don't want to deal with appearing before a judge. In that case, fine—we can set up a trust. But understand that you're paying for peace of mind, not necessity.
My Bottom Line Advice
Before jumping on the trust bandwagon, ask yourself:
Don't let social media or general advice drive your estate planning decisions. Every situation is unique, and what works for someone else might not be right for you.
The goal of good estate planning isn't to create the most complex plan possible, it's to create the right plan for your specific needs and circumstances. Sometimes that's a simple will. Sometimes it's a trust. But it should always be based on your actual situation, not on what you saw online.
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