Living Trusts for Married Couples With Children

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Kit with tools and guidelines to assist you in preparing, drafting, and finalizing a Joint Living Trust for you, your spouse and children.

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An increasingly popular estate planning tool, a Living Trust is a legal document that allows for the transfer of property to the persons or organizations named in the Living Trust upon the death of the maker of the Trust, without going through the expense and delay of probate. This kit includes a comprehensive array of forms, questionnaires, and general information that will assist you in assembling a complete Living Trust document.

This packet includes:
(1) Property Questionnaire
(2) Beneficiary Questionnaire
(3) Successor/ Trustee Information and Checklists including an Affidavit of Assumption of Duties by Successor Trustee
(4) General Instructions for preparing and registering your Joint Living Trust
(5) Joint Living Trust for Married Couple with Children's Trust Included
(6) Joint Assignment to Joint Living Trust by Married Couple
(7) Schedule of Assets of Joint Living Trust for Husband
(8) Schedule of Assets of Joint Living Trust for Wife
(9) Joint Schedule of Beneficiaries of Joint Living Trust for Married Couple
(10) Sample Completed Living Trust

State Law Compliance: Designed for use in all states
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.

















Joint Living Trust Kit
(Married Couple with Childrens Trust)







This Packet Includes:
1. Information


2. Joint Living Trust Kit (Married Couple with
    Childrens Trust)





Information
Joint Living Trust Kit
(Married Couple with Childrens Trust)

This kit provides tools and guidelines to assist you in preparing, drafting, and finalizing a Joint Living Trust for you and your spouse.  This form is intended for a married couple, and includes a Childrens Trust provision.

An increasingly popular estate planning tool, a Living Trust is a legal document that allows for the transfer of property to the persons or organizations named in the Living Trust upon the death of the maker of the Trust, without going through the expense and delay of probate.

This kit includes a comprehensive array of forms, questionnaires, and general information that will assist you in assembling a complete Living Trust document.

NOTE:  For state-specific rules and requirements regarding the formation and operation of living trusts, please see our State Law Digest for Living Trusts.  For your convenience, links to the digest are provided in Appendix A.   Note also that residents of the State of New York should complete a special Notice of Assignment of Property form, available at no extra charge at http://www.findlegalforms.com/public/LIVT/LT-NYAP.doc.







DISCLAIMER:

FindLegalForms, Inc. (“FLF”) is not a law firm and does not provide legal advice.  The use of these materials is not a substitute for legal advice. Only an attorney can provide legal advice.  An attorney should be consulted for all serious legal matters.  No Attorney-Client relationship is created by use of these materials.  

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Living Trust Kit  Contents

1.   Property Questionnaire
1.1.   Instructions for Property Questionnaire
1.2.   Property Questionnaire
2.   Beneficiary Questionnaire
2.1.   Instructions for Beneficiary Questionnaire
2.2.   Beneficiary Questionnaire
3.   Successor Trustee
3.1.   Information for Successor Trustee
3.2.   Successor Trustee Duties Checklists
3.3.   Successor Trustee Information List
3.4.   Affidavit of Assumption of Duties by Successor Trustee
4.   General Instructions for Preparing Joint Living Trust Form
5.   Joint Living Trust for Married Couple with Childrens Trust Included
6.   Joint Assignment to Joint Living Trust by Married Couple
7.   Schedule of Assets of Joint Living Trust for Husband
8.   Schedule of Assets of Joint Living Trust for Wife
9.   Joint Schedule of Beneficiaries of Joint Living Trust for Married Couple
10.   Sample Completed Living Trust
10.1.   Sample Living Trust of Mary Ellen Smith
10.2.   Sample Schedule of Assets of Living Trust
10.3.   Sample Schedule of Beneficiaries of Living Trust
11.   Completing Your Joint Living Trust
12.   Registration of Your Living Trust
Instructions for Property Questionnaire

The methods and manners of distribution of your property upon your death using a Living Trust are discussed in this section. Your assets consist of different types of property.  It may be personal property, real estate, “community” property, stocks, bonds, cash, heirlooms, or keepsakes.  Regardless of the type of property you own, there are certain general rules which must be kept in mind as you prepare your Living Trust.

In addition, in this section you will prepare an inventory of all of your assets and liabilities.  This will allow you to have before you a complete listing of all of the property that you own as you begin to consider which beneficiaries should receive which property.

It is also important to understand that laws of different states may apply to a single Living Trust.  The laws of the state in which you have your principal residence will be used to decide the validity of the Living Trust as to any personal property and real estate located in that state.  However, if any real estate outside of your home state is mentioned in the Living Trust, then the laws of the state in which that real estate is found will govern the disposition of that particular real estate.  Thus, if you own property outside of the state where you live, you should consult our State Law Digest for information concerning specific state laws, and be certain to check both your own states laws and those of the state in which your other property is located.

What Property May You Dispose of with Your Living Trust?

In general, you may dispose of any property that you own which has effectively been transferred to the Living Trust at the time of your death.  This simple fact, however, contains certain factors which require further explanation.  There are forms of property which you may “own,” but which may not be transferred by way of a Living Trust.  In addition, you may own only a percentage or share of certain other property.  In such situations, only that share or percentage which you actually own may be transferred by your Living Trust.  Finally, there are types of property ownership which are automatically transferred to another party at your death, regardless of the presence of a Living Trust.

In the first category of property which cannot be transferred by Living Trust are properties which have a designated beneficiary outside of the provisions of your Living Trust.  These types of properties include:

 Life insurance policies
 Retirement plans
 IRAs and KEOGHs
 Pension plans
 Trust bank accounts
 Payable-on-death bank accounts
 U.S. Savings Bonds, with payable-on-death beneficiaries
In general, if there is already a valid determination of who will receive the property upon your death (as there is, for example, in the choice of a life insurance beneficiary), you may not alter this choice of beneficiary through the use of your Living Trust.  If you wish to alter your choice of beneficiary in any of these cases, please alter the choice directly with the holder of the particular property (for instance, the life insurance company or bank).

The next category of property which may have certain restrictions regarding its transfer by Living Trust is property in which you may own only a certain share or percentage.  Examples of this may be a partnership interest in a company or jointly-held property.  Using a Living Trust, you may leave only that percentage or fraction of the ownership of the property that is actually yours.  For business interests, it is generally advisable to pass the interest which you own to a beneficiary intact.  The forced sale of the share of a business for estate distribution purposes often results in a lower value being placed on the share.  Of course, certain partnership and other business ownership agreements require the sale of a partners or owners interest upon death.  These buy-out provisions will be contained in any ownership or partnership documents that you may have.  Review such documentation carefully to determine both the exact share of your ownership and any post-death arrangements.

The ownership rights and shares of property owned jointly must be considered.  This is discussed below under common law property states, although most joint ownership laws also apply in community property states as well.  Another example of property in which only a certain share is actually able to be transferred by Living Trust is a spouses share of marital property in states which follow community property designation of certain jointly-owned property.  The following is a discussion of the basic property law rules in both community property and common law property states.  The rules regarding community property only apply to married persons in those states that follow this type of property designation.  If you are single, please disregard this section and use the common-law property states rules below to determine your ownership rights.


Community Property States
Several states, mostly in the western United States, follow the community property type of marital property system.

The system itself is derived from ancient Spanish law.  It is a relatively simple concept.  All property owned by either spouse during a marriage is divided into two types: separate property and community property.  Separate property consists of all property considered owned entirely by one spouse.

Separate property, essentially, is all property owned by the spouse prior to the marriage and kept separate during the marriage; and all property received individually by the spouse by gift or inheritance during the marriage.  All other property is considered community property.  In other words, all property acquired during the marriage by either spouse, unless by gift or inheritance, is community property.  Community property is considered to be owned in equal shares by each spouse, regardless of whose efforts actually went into acquiring the property.  (Major exceptions to this general rule are Social Security and Railroad retirement benefits, which are considered to be separate property by Federal law).

Specifically, separate property generally consists of:

 All property owned by a spouse prior to a marriage (if kept separate)
 All property a spouse receives by gift or inheritance during a marriage (if kept
separate)
 All income derived from separate property (if kept separate), except in Texas and
Idaho, where income from separate property is considered community property

Community property generally consists of:

 All property acquired by either spouse during the course of a marriage, unless it is separate property (thus it is community property unless acquired by gift or inheritance or is income from separate property)
 All pensions and retirement benefits earned during a marriage (except Social Security and Railroad retirement benefits)
 All employment income of either spouse acquired during the marriage
 All separate property which is mixed or comingled with community property during the marriage

Thus, if you are a married resident of a community property state, the property which you may dispose of by Living Trust consists of all of your separate property and one half of your jointly-owned marital community property.  The other half of the community property automatically becomes your spouses sole property on your death.

Residents of community property states may also own property jointly as tenants-in-common or as joint tenants.  These forms of property ownership are discussed below.


Common-Law Property States
Residents of all other states are governed by a common-law property system, which was derived from English law.  Under this system, there is no rule which gives 50 percent ownership of the property acquired during marriage to each spouse.  

In common-law states, the property which you may dispose of with your Living Trust consists of all the property held by title in your name, any property that you have earned or purchased with your own money, and any property that you may have been given as a gift or inherited, either before or during your marriage.

If your name alone is on a title document in these states (for instance, a deed or automobile title), then you own it solely.  If your name and your spouses name are on the document, you generally own it as tenants-in-common, unless it specifically states that your ownership is to be as joint tenants or if your state allows for a tenancy-by-the-entireties (a form of joint tenancy between married persons).  There is an important difference between these types of joint ownership: namely, survivorship.

With property owned as tenants-in-common, the percentage or fraction that each tenant-in-common owns is property which may be disposed of under a Living Trust.  If the property is held as joint tenants or as tenants-by-the-entireties, the survivor automatically receives the deceased partys share.  Thus, in your Living Trust, you may not dispose of any property held in joint tenancy or tenancy-by-the-entirety since it already has an automatic legal disposition upon your death.  For example: if two persons own a parcel of real estate as equal tenants-in-common, each person may leave a half-interest in the property to the beneficiary of their choice by their Living Trust.  By contrast, if the property is owned as joint tenants with right of survivorship, the half-interest that a person owns will automatically become the surviving owners property upon death.

In common-law states, you may dispose of any property that has your name on the title in whatever share that the title gives you, unless the title is held specifically as joint tenants or tenants-by-the-entireties.  You may also dispose of any property that you earned or purchased with your own money, and any property that you have been given as a gift or inherited.  If you are married, however, there is a further restriction on your right to dispose of property by Living Trust.

All common-law property states protect spouses from total disinheritance by providing a  statutory scheme under which a spouse may choose to take a minimum share of the deceased spouses estate, regardless of what a Living Trust or a will states.  This effectively prevents any spouse from being entirely disinherited through the use of the common-law rules of property (name on the title equals ownership of property).

The effect of these statutory provisions is to make it impossible to disinherit a spouse entirely.  If you choose to leave nothing to your spouse under your Living Trust or by other means (such as will, life insurance or joint tenancies), he or she may take it anyway, generally from any property which you tried to leave to others.  (Please see the State Law Digest for details.)

Some states also allow a certain family allowance or homestead allowance to the spouse or children to insure that they are not abruptly cut off from their support by any terms of a Living Trust.  These allowances are generally of short duration and for relatively minor amounts of money and differ greatly from state to state.

Thus, the property which you may dispose of by Living Trust is as follows:

 In community property states: All separate property (property which was brought into a marriage, or obtained by gift or inheritance during the marriage) and one half of the community property (all other property acquired during the marriage by either spouse).  If you are single, follow the common law rules below.  Note that you may not use your Living Trust to dispose of property for which a beneficiary has been chosen by the terms of the ownership of the property itself (for example: life insurance).
 In common-law states: Your share of all property in which your name is on the title document, unless it is held as joint tenants or tenants-by-the-entireties and your share of all other property which you own, earned, or purchased in your own name.  Please check the State Law Digest for information relating to the spouses minimum statutory share of an estate.  Note that you may not use your Living Trust to dispose of property for which a beneficiary has been chosen by the terms of the ownership of the property itself (for example: life insurance)
Federal Estate Taxes and State Inheritance and Estate Taxes

Various taxes may apply to property transfers upon death.  In general, there are two main type of taxes: estate taxes and inheritance taxes.  An estate tax is a government tax on the privilege of being allowed to transfer property onto others upon your death.  This tax is assessed against the estate itself and is paid out of the estate before the assets are distributed to the beneficiaries.  An inheritance tax is a tax on property received and is paid by the person who has actually inherited the property.  The federal government assesses an estate tax.  Various states impose additional estate taxes and inheritance taxes.  Additionally, the federal government and a few states apply a gift tax on property transfers during a persons life.  Nevada is the only state which does not impose any estate, inheritance, or gift taxes.  Basic information regarding each states tax situation can be found in the State Law Digest.

With regard to estate taxes, recent changes in the federal Income Tax Code, as it relates to estate taxes, have released an estimated 95 percent of the American public from any federal estate tax liability on their death.  The current IRS rules provide for the equivalent of an exemption from all estate tax for the first $1 million of a persons assets.  This exemption amount is scheduled to rise to $3.5 million by 2009.  In addition, all of the value of a persons estate that is left to a spouse is exempt from any federal estate tax.  Even if your particular assets are over this minimum exemption, there are still methods to lessen or eliminate your tax liability.  These methods, however, are beyond the scope of this kit.  Therefore, if your assets (or your joint assets, if married) total over approximately $1 million, it is recommended that you consult a tax professional prior to preparing your Living Trust.

State estate taxes are, as a rule, also very minimal or even nonexistent until the value of your estate is over $1 million.  Most states estate tax laws are tied directly to the federal estate tax regulations and thus allow for the same level of exemption equivalent from state estate taxes on death if the estate property totals under $1 million. (Please see the State Law Digest for more information regarding your states estate tax).

Less than half of the states impose an inheritance tax on the receipt of property resulting from the death of another.  There are generally relatively high exemptions allowed and the inheritance taxes are usually scaled in such a way that spouses, children, and close relatives pay much lower rates than more distant relatives or unrelated persons.  From a planning standpoint, the changes in the federal estate tax have virtually eliminated any consideration of tax consequences from the preparation of a Living Trust for most Americans.  Other factors, however, will affect the planning of your Living Trust.
Preparing Your Property Questionnaire

Before you begin to actually prepare your own Living Trust, you must understand what your assets are, who your beneficiaries are to be, and what your personal desires are as to how those assets should be distributed among your beneficiaries.

Since you may only give away property which you actually own, before you prepare your Living Trust it is helpful to gather all of the information regarding your personal financial situation together in one place.  The following Property Questionnaire will assist you in that task.

Determining who your dependents are, what their financial circumstances are, what gifts you wish to leave them, and whether you wish to make other persons or organizations beneficiaries under your Living Trust are questions that will be answered as you complete the Beneficiary Questionnaire, also included in this kit.

Together, these two Questionnaires should provide you with all of the necessary information to make the actual preparation of your Living Trust a relatively easy task.  In addition, the actual process of filling out these questions will gently force you to think about and make the important decisions which must be made in the planning and preparation of your Living Trust.

Mark down each piece of property that you wish to place in the Living Trust.  When you have finished completing this Questionnaire, have it before you as you complete your personal Living Trust.

It may also be prudent to leave a photocopy of these Questionnaires with the original of your Living Trust and provide a copy to your Successor Trustee, in order to provide a readily-accessible inventory of your assets and list of your beneficiaries for use by your Successor Trustee in managing your estate.

Property Questionnaire

What Are Your Assets?

Cash And Bank Accounts

(Individual accounts can be left by living trust, provided the account ownership has been effectively transferred to the trust; joint tenancy and payable-on-death accounts cannot.)

Checking Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Checking Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Savings Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Savings Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Certificate of Deposit                               $ __________________
Held by       ________________________________________
Expiration date    ________________________________________
Name(s) on account    ________________________________________

Other Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Total Cash    $ __________________


Life Insurance and Annuity Contracts

(Life insurance benefits cannot be left by living trust.)

Ordinary Life                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Ordinary Life                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Endowment                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Term                                   $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Annuity Contract                             $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Total Insurance     $ __________________


Accounts and Notes Receivable

(Debts payable to you may be left by living trust.)

Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________


Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Total Accounts & Notes                          $ __________________


Stocks

(Ownership of individually-held stocks and mutual funds may be left by living trust, provided the assets have been effectively transferred to the trust.)

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________


Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Total Stocks     $ __________________


Bonds

(Ownership of individually-held bonds may be left by living trust, provided the assets have been effectively transferred to the trust.)

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________
Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Total Bonds                                  $ __________________


Business Interests

(Ownership of business interests may generally be left by living trust, provided the assets have been effectively transferred to the trust.)

Individual Proprietorship
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Your net value                               $ __________________

Sole Proprietorship
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Your net value                               $ __________________

Interest in Partnership
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage interest    ________________________________________
Your net value                               $ __________________

Interest in Partnership
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage interest    ________________________________________
Your net value                               $ __________________

Close Corporation Interest
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage shares held ________________________________________
Your net value                               $ __________________

Total Business Value    $ __________________


Real Estate

(Property owned individually or as tenants-in-common may be left by living trust, provided the assets have been effectively transferred to the trust.  Property held in joint tenancy or tenancy-by-entirety may not be left by living trust, unless it has first been transferred to ownership as tenants-in-common and then transformed to ownership by the trust.)

Personal Residence
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________
         
Vacation Home
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________
Vacant Land
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________

Income property
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________

Total Real Estate                               $ __________________


Personal Property

(Personal property owned individually or as a tenant-in-common may be left by living trust, provided the assets have been effectively transferred to the trust.  Patents, copyrights, and trademarks require special transfer forms.)

Car    $ __________________
Description       ________________________________________

Car   $ __________________
Description       ________________________________________

Boat/other vehicles    $ __________________
Description       ________________________________________

Household furnishings    $ __________________
Description       ________________________________________
________________________________________
________________________________________
________________________________________
________________________________________
________________________________________

Jewelry and furs    $ __________________
Description       ________________________________________

Artwork    $ __________________
Description       ________________________________________

Total Personal Property    $ __________________
Miscellaneous Assets

Royalties, Patents, Copyrights    $ __________________
Description       ________________________________________

Heirlooms    $ __________________
Description       ________________________________________
________________________________________
________________________________________
________________________________________
________________________________________

Other    $ __________________
Description       ________________________________________

Other    $ __________________
Description       ________________________________________

Total Miscellaneous    $ __________________


Employee Benefit and Pension/Profit-Sharing Plans

(Retirement benefits cannot be left by living trust)

Company       ________________________________________
Plan type       ________________________________________
Net value    $ __________________

Company       ________________________________________
Plan type      ________________________________________
Net value    $ __________________

Company      ________________________________________
Plan type       ________________________________________
Net value    $ __________________

Total Benefit Value    $ __________________


Total Assets

(Insert totals from previous pages)

Cash Total    $ __________________
Life Insurance Total    $ __________________
Accounts & Notes Total   $ __________________
Stocks Total    $ __________________
Bonds Total    $ __________________
Business Total    $ __________________
Real Estate Total    $ __________________
Personal Property Total    $ __________________
Miscellaneous Total    $ __________________
Pension Total    $ __________________

TOTAL ASSETS   $ __________________



What Are Your Liabilities?

Notes and Loans Payable

Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Notes and Loans Payable $ __________________


Accounts Payable

Payable to       ________________________________________
Address      ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Payable to      ________________________________________
Address       ________________________________________
Term _________________________       Interest rate ________________
Amount due    $ __________________

Total Accounts Payable    $ __________________
Mortgages Payable

Property location    ________________________________________
________________________________________
Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Property location    ________________________________________
________________________________________
Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Mortgages Payable    $ __________________


Taxes Due

Federal Income    $ __________________
State Income    $ __________________
Personal Property    $ __________________
Real Estate    $ __________________
Payroll    $ __________________
Other    $ __________________
Total Taxes Due    $ __________________


Credit Card Accounts

Credit Card Account    # ________________________________________
Credit Card Company   ________________________________________
Address          ________________________________________
Amount due    $ __________________

Credit Card Account    # ________________________________________
Credit Card Company   ________________________________________
Address          ________________________________________
Amount due     $ __________________

Total Credit Card Accounts Payable    $ __________________
Miscellaneous Liabilities

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Miscellaneous Liabilities    $ __________________


Total Liabilities

(Insert totals from previous pages)

Total Notes and Loans Payable    $ __________________
Total Accounts Payable    $ __________________
Total Mortgages Payable    $ __________________
Total Taxes Due    $ __________________
Total Credit Card Accounts    $ __________________
Total Miscellaneous Liabilities    $ __________________

TOTAL LIABILITIES    $ __________________


What Is the Net Worth of Your Estate?

TOTAL ASSETS    $ __________________

   minus (-)

TOTAL LIABILITIES    $ __________________

   equals (=)

YOUR TOTAL NET WORTH    $ __________________

Instructions for Beneficiary Questionnaire

In this section you will determine both who you would like your beneficiaries to be and what specific property you will leave to each beneficiary through your Living Trust.  There is an explanation of the various methods that you may use to leave gifts to your beneficiaries.  Finally, there is a Beneficiary Questionnaire which you will use to actually make the decisions regarding which beneficiaries will receive which property.

Who May Be a Beneficiary?

Any person or organization who receives property under a Living Trust is termed a beneficiary of that Living Trust.  Any person or organization you choose may receive property under your Living Trust.  This includes any family members, the named Successor Trustee, any illegitimate children (if named specifically), corporations, charities, creditors, debtors, any friends, acquaintances, or even strangers.

A few states also have restrictions on the right to leave property to charitable organizations and churches.  These restrictions are usually in two forms: a time limit prior to death when changes to a Living Trust which leave large amounts of money or property to a charitable organization are disallowed and also a percentage limit on the amount of a persons estate which may be left to a charitable organization (often a limit of 50 percent).  The reasoning behind this rule is to prevent abuse of a dying persons desire to be forgiven.  There have been, in the past,  unscrupulous individuals or organizations who have obtained last minute changes in a Living Trust in an attempt to have the bulk of a persons estate left to them or their group.  If you intend to leave large sums of money or property to a charitable organization or church, please check with an attorney in your area to see if there are any restrictions of this type in force in your state.  

Under this same category as to who may be a beneficiary under your Living Trust are issues related to marriage, divorce, and children.  First and foremost, you are advised to review your Living Trust periodically and make any necessary changes as your marital or family situation may dictate.  If you are divorced, married, remarried, or widowed, adopt, or have a child, there may be unforeseen consequences based on the way you have written your Living Trust.  Your Living Trust should be prepared with regard to how your life is presently arranged.  It should, however, always be reviewed and updated each time there is a substantial change in your life.


What Types of Gifts May You Make?

There are various standard terms and phrases that may be employed when making gifts under your Living Trust.  The Living Trust clauses which are employed in the form included in this kit incorporate these standard terms.  Using these standard phrases, you may make a gift of any property that is owned by the Living Trust at your death to any beneficiary whom you choose.  

A few types of gifts are possible but are not addressed in our Living Trusts forms.  Simple shared gifts (for example: “All my property to my children, Alice, Bill, and Carl, in equal shares”) are possible using our forms.  However, any complex shared gift arrangements will require the assistance of an attorney.  In addition, you may impose simple conditions on any gifts in Living Trusts prepared using our forms.  However, complex conditional gifts that impose detailed requirements that the beneficiary must comply with in order to receive the gift are also beyond the scope of our forms.  Finally, although it is possible to leave any gifts under your Living Trust in many types of additional complicated trusts, a simple trust for leaving gifts to children is the only trust available for Living Trusts prepared using our forms.  If you desire to leave property in trust to an adult or in a complex trust arrangement, you are advised to seek professional advice.  

The terms that you use to make any gifts can be any that you desire, as long as the gift is made in a clear and understandable manner.  Someone reading the Living Trust at a later date, perhaps even a stranger appointed by a court, must be able to determine exactly what property you intended to be a gift and exactly who it is you intended to receive it.  If you follow the few rules which follow regarding how to identify your gifts and beneficiaries, your intentions will be clear to whomever may need to interpret your Living Trust in the future:

1.   Always describe the property in as detailed and clear a manner as possible.  For example: do not simply state “my car;” instead state “a 1994 Buick Skylark, serial #123456789.”  Describe exactly what it is you wish for each beneficiary to receive.  You may make any type of gift that you wish, either a cash gift, a gift of a specific piece of personal property or real estate, or a specific share of your total trust estate (all of the property that has been effectively transferred to the trust).  If you wish to give some of your trust estate in the form of portions of the total, it is recommended to use fractional portions.  For example, if you wish to leave your trust estate in equal shares to two persons, use “One-half of my total trust estate to . . .” for each party.
 
2.   In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.

Always describe the beneficiaries is as precise and clear a manner as is possible. For example: do not simply state “my son;” instead state “my son, Robert Edward Smith, of Houston Texas.”  This is particularly important if the beneficiary is an adopted child.

3.   Never provide a gift to a group or class of people without specifically stating their individual names.  For example: do not simply state “my sisters;” instead state “my sister Katherine Mary Jones, my sister Elizabeth Anne Jones, and my sister Annette Josephine Jones.

4.   You may put simple conditions on the gift if they are reasonable and not immoral or illegal.  For example: you may say “This gift is to be used to purchase daycare equipment for the church nursery;” but you may not say “I give this gift to my sister only if she divorces her deadbeat husband Ralph Edwards.

5.   You should always provide for an alternate beneficiary for the purpose of allowing you to designate someone to receive the gift if your first choice to receive the gift dies before you do (or, in the case of a organization chosen as primary beneficiary, is no longer in business).  Your choice for alternate beneficiary may be one or more persons or an organization.  In addition, you may delete the alternate beneficiary choice and substitute the words “the residue” instead.  The result of this change will be that if your primary beneficiary dies before you do, your gift will pass under your residuary clause, which is discussed next.

6.   Although not a technical legal requirement, a residuary clause is included in the Living Trust form included below.  With it, you will choose the person, persons, or organization to receive anything not covered by other clauses of your Living Trust.  Even if you feel that you have given away everything that you own under other clauses of your Living Trust, this can be a very important clause.  

If, for any reason, any other gifts under your Living Trust are not able to be completed, this clause goes into effect.  For example, if a beneficiary refuses to accept your gift or the chosen beneficiary has died and no alternate was selected, or both the beneficiary and alternate have died, the gift is put back into your trust estate and would pass under the residuary clause.  If there is no residuary clause included in your Living Trust, any property not disposed of under your Living Trust could potentially be forfeited to the state.

In addition, you may use this clause to give all of your trust estate (except your specific gifts) to one or more persons.  For example: you make specific gifts of $1,000.00 to a sister and a car to a friend.  By then naming your spouse as the residuary clause beneficiary, you will have gifted everything in your trust estate to your spouse  except the $1,000.00 and the car.  You could then name your children, in equal shares, as the alternate residuary beneficiaries.  In this manner, if your spouse were to die first, your children would then equally share your entire estate  except the $1,000.00 and the car.

Be sure to clearly identify the beneficiary by full name.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,“my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.

7.   A survivorship clause should be included in every Living Trust.  This provides for a period of survival for any beneficiary.  For the Living Trust form in this kit, the period is set at 30 days.  The practical effect of this is to be certain that your property passes under your Living Trust and not that of a beneficiary who dies shortly after receiving your gift.

Without this clause in your Living Trust it would be possible that property would momentarily pass to a beneficiary under your Living Trust.  When that person dies (possibly immediately if a result of a common accident or disaster) your property could wind up being left to the person whom your beneficiary designated, rather than to your alternate beneficiary.

8.   Be sure to review your Living Trust each time there is a change in your family circumstances.

9.   Finally, property may be left to your children in trust using a Childrens Trust Clause.  You may delay the time when they will actually have unrestricted control over your gift.

If you state your gifts simply, clearly, and accurately, you can be assured that they will be able to be carried out after your death regardless of who may be required to interpret the language in your Living Trust.

Beneficiary Questionnaire

Who Will Receive Which of Your Assets?

Spouse

Spouse       
   Maiden name     
   Date of marriage    
   Date of birth     
   Address     
   Current income                                        $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Children

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income             $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Grandchildren

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    
Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild   
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Parents

Parent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Parent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Siblings

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    
Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Other Dependents

Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    
Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Are There Any Other Relatives, Friends, or Organizations
to Whom You Wish to Leave Gifts?
Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    


Information for Successor Trustee

In this section, various information relating to the Successor Trustee of your Living Trust and the probate process is provided.  In many respects, your Successor Trustee will perform duties similar to those that a chosen executor would perform if property was left by a will.  Later in this section are various lists of duties that need to be performed by either your Successor Trustee or an executor of your will.  You may designate either or both to perform most of these duties.  However, the actual collection and distribution of your assets under the terms of your Living Trust must be handled by your Successor Trustee alone (or with the assistance of any attorney or other professional, if necessary).  The official duties of the Successor Trustee under the terms of the Living Trust cannot be delegated to someone else.  Many of the other duties that are listed at the end of this section can, however, be handled by other parties.

Overview of Probate Proceedings

Before actually planning your Living Trust, an overview of how the legal system operates after a persons death may be useful to keep in mind.  The system of court administration of the estates of deceased parties is generally entitled probate.  How to avoid the probate court was the subject of one of the first self-help law books to challenge the legal establishments monopoly on law.  Probate however, despite what many lawyers would have you believe, is not all that mysterious a matter.

Upon the death of a person who has left a will or a person who has not left a will, in most states there is a general sequence of events which takes place.  First, the executor appointed in the will (who, hopefully, has been notified of his or her duties in advance) locates the will and files it with the proper authority.  If necessary, the executor arranges for the funeral and burial.  A lawyer is most often hired to handle the probate proceeding.  Upon presenting the will to the probate court, the will is proved, which means that it is determined whether or not the document presented is actually the deceaseds will.  This may be done in most states with a “Self-Proving Affidavit” which is prepared and notarized at the time your will is signed or it is done with the actual testimony of those people who witnessed the signing of the will.

Upon proof that it is a valid will, the executor is officially given legal authority to gather together all of the estates property.  This authority for the executor to administer the estate is generally referred to as letters testamentary.  The probate court also officially appoints the parties who are designated as guardians of any minor children and any trustees.  If no executor was chosen in the will, or if the one chosen cannot serve, the probate court will appoint one.  The order of preference for appointment is commonly as follows: surviving spouse, next of kin, a person having an interest in the estate or claims against the estate.

If the will is shown to be invalid, or if there is no will, the same sequence of events generally is followed.  However, in this case, the party appointed to administer the estate is usually titled an administrator of the estate rather than an executor.  The court orders granting authority to an administrator are generally referred to as letters of administration.

After the executor or administrator is given authority, he or she handles the collection of assets, the management of the estate, the arrangement of any necessary appraisals, and the payment of any debts and taxes until such time as all creditors claims have been satisfied and other business of the estate completed.  An inventory of all of the assets is typically the first official act of an executor.  Creditors, by the way, only have a certain time period in which to make a claim against an estate.  The same holds true for any contests of the will (challenges to the validity of a will).  Contesting a will is a fairly rare occurrence and is most difficult if the will was properly prepared and signed by a competent, sane adult.

The executor will generally also be empowered under state law to provide an allowance for the surviving spouse and children until such time as all affairs of the deceased person are completed and the estate is closed.

Upon completion of all business and payment of all outstanding charges against the estate, an accounting and inventory of the estates assets are then presented to the probate court by the executor.  At this time, if everything appears to be in order, the executor is generally empowered to distribute all of the remaining property to the persons or organizations named in the will and probate is officially closed.  The entire probate process generally takes from six to 18 months to complete.  The distribution of your property and money is usually handled solely by the executor (with a lawyers help to be certain that all legal requirements are fulfilled).

Upon the death of a person who has signed a valid Living Trust, there is a slightly different sequence of events which takes place.  First, the Successor Trustee appointed in the Living Trust (who, hopefully, has been notified of his or her duties in advance) locates the Living Trust.  The Successor Trustee has the immediate legal authority to gather together all of the estates property.  This authority for the Successor Trustee to administer the estate is provided for in the terms of the Trust itself and does not have to be granted by a probate court.

The Successor Trustee handles the collection of assets, management of the estate, and payment of any debts and taxes until such time as all creditors claims have been satisfied and other business of the estate completed.  An inventory of all of the assets is typically the first official act of an Successor Trustee.  The Successor Trustee is then generally empowered to distribute all of the remaining property to the persons or organizations named in the Living Trust, without any court proceeding of any kind.

If your assets are distributed under a probate proceeding, the entire probate process generally takes from six to 18 months to complete, and may take much longer.  If your property is distributed under a probate proceeding, court approval of all aspects of the disbursement must normally be obtained, which is a cumbersome and very time-consuming requirement for your executor that will almost always require the help of an attorney.  Under a Living Trust, the distribution of your property and money is usually handled solely by the Successor Trustee.  This is done without court approval of the disbursement and will most likely not require the assistance of an attorney.


Choosing a Successor Trustee

Your choice of who should be your Successor Trustee is a personal decision.  A spouse, sibling, or other trusted party is usually chosen to act as Successor Trustee, although a bank officer, accountant, or attorney may also be chosen.  The person chosen should be someone you trust and someone whom you feel can handle or at least efficiently delegate the complicated tasks of making an inventory of all of your property and distributing it to your chosen beneficiaries.  The person chosen should be a resident of the state in which you currently reside.  In addition, all states require that Successor Trustees be competent, of legal age, and a citizen of the U.S.  (Please see the State Law Digest for specific requirements in your state).  It is generally not wise to appoint two or more persons as co-Successor Trustees.  It is preferable to appoint your first choice as primary Successor Trustee and the other person as alternate Successor Trustee.

In your Living Trust, you will grant the Successor Trustee broad powers to manage your estate and also provide that he or she not be required to post a bond in order to be appointed to serve as Successor Trustee.  This provision can save your estate considerable money, depending upon its size.  The fees for Successor Trustee bonds are based upon the size of the estate and can amount to hundreds of dollars every year that your estate is being managed.  By waiving this bond requirement, these potential bond fees can be eliminated and the money saved passed on to your beneficiaries.

You should discuss your choice with the person chosen to be certain that they will be willing to act as Successor Trustee.  In addition, it is wise to provide your Successor Trustee, in advance, with a copy of the Living Trust, as well as a copy of all information compiled in this kit.


Affidavit of Assumption of Duties by Successor Trustee

Upon your death, under the terms of the Living Trust, your Successor Trustee is automatically authorized to take over the administration and distribution of the trust assets.  No court proceedings are necessary to officially authorize the Successor Trustee to begin to manage the Trust.  However, some banks, real estate companies, or other financial institutions may require an Affidavit signed by the Successor Trustee that states that he or she has officially assumed the duties and responsibilities of acting as the Successor Trustee.  (A form for this document is included later in this kit).  You may wish to leave a completed, but unsigned copy of this form with the copy of the Living Trust that you provide to your Successor Trustee so that he or she may complete the form quickly and easily upon your demise.


Successor Trustee Duties Checklist Instructions

Provided on the following pages is a checklist of items that your Successor Trustee may have to deal with after your death.  Although this list is extensive, there may be other personal tasks that are not included.  Scanning this list can give you an idea of the scope and range of the Successor Trustees duties.  You can provide invaluable assistance to your Successor Trustee by being aware of their duties and providing them with information to help them.  

This listing is divided into two time periods, immediate and first month.  These time periods are approximations and many of the duties may be required to be performed either before or after the exact time specified.  All of the immediate and first month duties can be delegated to others.  The duties in the Financial listing cannot be delegated to others, although your Successor Trustee may use the assistance of professionals, such as accountants, appraisers, or lawyers, if necessary.

Successor Trustee Duties Checklists

Immediate Successor Trustee Duties

?   Contact cemetery regarding burial or cremation

?   Contact local newspaper with obituary information

?   Contact relatives and close friends

?   Contact employer and business associates

?   Contact lawyer and accountant

?   Arrange for pallbearers

?   Arrange for immediate care of decedents children

?   Arrange for living expenses for decedents spouse

?   Contact mortuary or funeral home regarding services

?   Contact veterans organizations


Successor Trustee Duties within First Month

?   Contact general insurance agent

?   Contact medical and health insurance companies

?   Contact Medicare

?   Contact union regarding pensions and death benefits

?   Contact employer regarding pensions and death benefits
?   Contact life insurance agent and report death

?   Contact Social Security Administration

?   Obtain death certificates from attending physician

?   Contact IRA or KEOGH account trustees

?   Contact county recorder

?   Contact post office

?   Contact military regarding pensions and death benefits

?   Contact Department of Motor Vehicles

?   Arrange for management of business or real estate holdings

?   Review all of decedents records and legal documents

?   Contact gas, telephone, electric, trash, and water companies

?   Contact newspaper and magazine subscription departments

?   Contact credit card companies


Successor Trustee Financial Duties
(These cannot be delegated.)

?   Begin inventory of assets

?   Arrange for appraisal of assets

?   Begin collection of assets

?   Contact banks, savings and loans, and credit unions

?   Contact mortgage companies

?   Contact stockbroker and investment counselor

?   Open bank accounts for trust

?   Open decedents safe deposit box

?   Inventory all trust assets

?   Collect all monies and property due to decedent

?   Pay all taxes due and file all necessary tax returns

?   Provide notice to all creditors

?   Pay all debts and expenses of decedent, including funeral expenses

?   Arrange for sale of trust assets, if necessary

?   Distribute all remaining assets according to Living Trust

?   Close trust books and affairs


Note Regarding Successor Trustee Information List

The following listing will provide your Successor Trustee with valuable information that will make performance of his or her difficult task much easier.  Included in this questionnaire is information relating to the location of your records, any funeral or burial arrangements that you have made, lists of important persons that the Successor Trustee will need to contact after your death, and information that will assist your Successor Trustee in preparing any obituary listing.  It may be very difficult to confront the need for this information.  Please take the time to provide this valuable record of information for your Successor Trustee.  After your death, they may be under tremendous emotional stress and this information will help them perform their necessary duties with the least difficulty.  You will probably wish to give this information list and a copy
of your Living Trust to the person whom you have chosen as your Successor Trustee.

Successor Trustee Information List

Location of Records

   Original of will    
   Original of codicil    
   Trust documents    
   Safe deposit box and key    
   Bankbook and savings passbook    
   Treasury bills and certificates of deposit    
   Social Security records    
   Real estate deeds and mortgage documents    
   Veterans information    
   Stock certificates and bonds    
   Promissory notes and loan documents    
   Business records    
   Partnership records    
   Corporation records    
   Automobile titles    
   Income tax records    
   Credit card records    
   Birth certificate    
   Warranties    
   Other important papers    
      


Funeral or Cremation Arrangements

   Name of mortuary, funeral service, or crematorium    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      

   Name of cemetery    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      
      
   Location of memorial or church service    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      


Persons to Contact

   Clergy    
   Address    
   City, State, Zip    
   Phone    

   Lawyer    
   Address    
   City, State, Zip    
   Phone    

   Accountant    
   Address    
   City, State, Zip    
   Phone    

   Life insurance agent    
   Address    
   City, State, Zip    
   Phone    

   General insurance agent    
   Address    
   City, State, Zip    
   Phone    

   Employer    
   Address    
   City, State, Zip    
   Phone    
   Military unit    
   Address    
   City, State, Zip    
   Phone    

Relatives to Contact

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    


Friends to Contact

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    
Newspaper Obituary Information

   Name    
   Date of birth    
   Place of birth    
   Current residence    
   Former residence    
   Occupation    
      
   Education    
      
   Military service    
      
   Club, union, civic, or fraternal organizations    
      
      
   Special achievements    
      
      
      
      
   Survivors    
      
      
      
      
      
   Date of death    
   Place of service    
      
   Date of service    
   Time of service    
   Memorial contribution preference    
      
      

Instructions for Affidavit of Assumption of Duties by Successor Trustee

This document may be used if your Successor Trustee is having any difficulty with a business or financial institution accepting his or her authority to act on behalf of the Trust.  Some may insist on written verification that states that the Successor Trustee actually has the power to act on behalf of the Trust.  If this is the case, this form should satisfy those institutions or businesses.  The Successor Trustee will need to attach a certified copy of the grantors death certificate to this form.

1.   Date of Affidavit, and
   Full name of Successor Trustee.
2.   Date of creation of Living Trust,
   Full name of grantor,
   Name of Living Trust, and
   Full name of Successor Trustee.
3.   Date of death of grantor, and
   Name of grantor.
4.   No information needed.
5.   Your signature and printed name (do not sign unless in front of a notary public).
6.   The Notary Acknowledgment section (to be completed by notary public).

Affidavit of Assumption of Duties
by Successor Trustee


1.   On this date, __________________________, I, ______________________________,  being of legal age and being duly sworn, declare the following:


2.   On the date of __________________________, the grantor, ________________________ ______________, created the _______________________________________________ Living Trust.  The Living Trust provides that upon the death of the grantor, I, ______________________________________, become Trustee of the Trust.

3.   On the date of __________________________, the grantor, ________________________ ______________, died, as established in the certified copy of the Certificate of Death, which is attached to this Affidavit.

4.   I hereby accept the office of Trustee of the Trust, and am now acting as Trustee of the Trust.
5.
______________________________
Signature of Trustee
______________________________
Printed Name of Trustee

6.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he or she is the person described in the above document and he or she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________


General Instructions for Preparing Joint Living Trust Form

Title Section

Title Clause:  The title is mandatory for all Living Trusts.  Fill in the name blank with your full legal name (such as the “Andrea Ann Doria Living Trust”).  If you have been known under more than one name, use only your principal name.  If you are completing a joint Living Trust as a husband and wife, you should name the trust under your joint names (such as the “Andrea Ann Doria and Peter William Doria Living Trust”).

Declaration of Trust Section

Identification and Date Clause:  The identification clause is mandatory and must be included in all Living Trusts.  In the first blank, include any other names which you are known by.  Do this by adding the phrase: “also known as” after your principal full name.  For example: “John James Smith, also known as Jimmy John Smith.”  In the spaces provided for your residence, use the location of your principal residence; that is, where you currently live permanently.  If you are completing a joint Living Trust as a husband and wife, fill in both of your full names in the spaces provided.  Fill in the date when you wish the Living Trust to take effect.

Name of Trust Clause:  Fill in your own name prior to the title of the trust (for example: “The John Smith Living Trust”).  If you are completing a joint Living Trust as a husband and wife, fill in both of your full names in the spaces provided.

Marital and Parental Status Clause:  Depending upon your current marital and parental status you will choose one of the following clauses.  If you have children, list the appropriate information for each child.  This clause should be included in your Living Trust after the phrase “My marital status is that…:
   I am single and have no children.
   I am currently married to [name of spouse] and we have no children.
   I was previously married to [name of spouse] and that marriage ended on [date] by [death, divorce, or annulment] and we had no children.
   I am single and have [number] child[ren] currently living.  Their names and dates of birth are:
   I am currently married to [name of spouse] and we have [number] child[ren] currently living.  Their names and dates of birth are:
   I was previously married to [name of spouse] and that marriage ended on [date] by [death, divorce, or annulment] and we have [number] child[ren] currently living.  Their names and dates of birth are:

Trusteeship Clause: Under this clause, you declare that you will act as the Trustee of the Trust and any subtrusts which may be created by the Trust (such as a Childrens Trust).  In addition, if you are completing a joint Living Trust as a husband and wife, there is an additional clause under this section which states that each of you will have the right to act as Trustee of the trust and any subtrusts (for example: a Childrens Trust) while you are both alive.  Upon the death of either spouse, the surviving spouse will act as Trustee.

Property Transfer Section

No additional information need be filled-in in this section.  This section of your trust provides that you are transferring ownership of all of the property listed on your Schedule of Assets of Living Trust to the trust itself.  You are also reserving the right to make any changes to your Schedule of Assets at any time, as long as they are in writing, notarized, and attached to the trust.  You are also agreeing to prepare any additional paperwork that may be necessary to complete any such transfers of ownership, such as completing a deed or title transfer if necessary.

If you are completing a joint Living Trust as a husband and wife, you are agreeing to transfer the property listed on your own individual Schedule of Assets of Joint Living Trust.  It is also noted that the property that each of you transfer as “separate” property will retain its character as “separate” property even after transfer to the trust.

Grantors Rights Section

No additional information need be filled-in for this section.  Under this section, you retain full lifetime control of all of the trusts assets that you have transferred in the above section (and by other transfer documents, if necessary).  Regarding your home, you specifically state that you retain the right of possession for your entire life and that any transfer to the trust does not interfere with any rights to homestead exemptions that you may have under state law.  If you are completing a joint Living Trust as a husband and wife, each of you will have such rights as long as each of you is alive.

Successor Trustee Section

With this clause, you will make your choice of Successor Trustee and alternative Successor Trustee, the persons who will administer and distribute your trust assets upon your death or who will take over the management of your trust upon your incapacitation.  You also provide that any such incapacitation be certified by a physician before the Successor Trustee may assume management of your trust.  The chosen alternate Successor Trustee will assume the powers of the Trustee only if the Successor Trustee that you have chosen is not surviving or is otherwise unable to serve.  A spouse, sibling, or other trusted party is usually chosen to act as Successor Trustee.  The person chosen should be a resident of the state in which you currently reside.  You also provide that he or she not be required to post a bond in order to be appointed to serve as Successor Trustee and that he or she will not be compensated for their service as Trustee.  Finally, you note that any reference to “trustee” in your document also refers to the Successor or alternative Successor Trustee.  Be sure to clearly identify the Successor Trustee and alternate Successor Trustee by full name and address.

Trustees Powers Section

In this section, no additional information needs to be filled-in and you grant any Trustee broad powers to manage your trust assets.  The powers are granted without court supervision and without oversight by anyone else.  The powers granted are the same power and authority as an individual person has over their own property.

Additional Trustee Powers Section

No additional information need be filled-in in this section.  This section provides a detailed enumeration of the powers that are granted to the Trustee.  Although in the previous section you granted any powers granted by law, many businesses and financial institutions require that a trustees actual power to perform a specific act be spelled-out in a trust document.  As you can see, the powers granted to the trustee are very extensive and approximate the power that an individual would have over his or her property.

Incapacitation Section

No additional information needs to be filled-in for this section.  This section goes into effect in the event that a grantor becomes incapacitated during his or her lifetime.  This incapacitation must be certified by a physician, as noted in the Successor Trustee section above.  In this event, the Successor Trustee is bound to manage the Trust solely for the benefit of the grantor and in accordance with the grantors accustomed manner of living.  Thus, any beneficiaries of the trust cannot demand that the Successor Trustee stop spending trust assets to care for an incapacitated grantor and save the trust assets for them.

Childrens Trust Fund Section

This clause will only be present in the Living Trusts which relate to children.  It is with this clause that you may set up a Trust Fund for any gifts you have made to your minor children.  You also may delay the time when they will actually have unrestricted control over your gift.  It is not recommended, however, to attempt to delay receipt of control beyond the age of 35.

In this section, you will fill in two ages.  First, you will select an age that a child must be under for the Childrens Trust section to take effect.  You may desire the gifts under the main Trust to be held in the Childrens Trust for any child under the age of, say, 30 years of age.  Then you will also select an age when the Childrens Trust will terminate and the then-adult will receive the property with no restrictions, for example, 35 years of age.  The ages that you select may be any reasonable age.

The terms of the trust provide that the trustee may distribute any or all of the income or principal to the children as he or she deems necessary to provide for their health, support, and education.  The trust will terminate when either the specific age is reached, all of the money is spent prior to that age, or the child dies prematurely.  Upon termination, any remaining trust funds will be distributed to the child (beneficiary), if surviving.  If the child is not surviving at the age when the trust is to terminate, the trust funds will be distributed to the heirs of the beneficiary (if there are any).  If there are none, then the trust funds remaining will revert back to the residue of your trust (as noted on your Schedule of Beneficiaries of Living Trust) and be distributed accordingly.  Additionally, since the Trustee of the Childrens Trust is the same person who is Successor Trustee, you have already granted the Trustee broad powers to manage the trust and also provided that he or she not be required to post a bond nor allowed compensation for services rendered.

Termination of Trust Section

This section provides that the Trust shall become irrevocable upon the death of the grantor.  Upon that event, the Successor Trustee will then be empowered to pay all of the valid debts, last expenses, and taxes of the grantor and then distribute the trust assets as specified on the Schedule of Beneficiaries of Living Trust.  It is also noted in any of the Trusts which contain a Childrens Trust that any such distributions to beneficiaries are subject to the terms of the Childrens Trust.  This section also provides that the Schedule of Beneficiaries may be amended at any time (before it becomes irrevocable) by a written, notarized amendment which is attached to the Trust.

If you are completing a Joint Living Trust as a husband and wife, this section provides that upon the death of the first spouse to die, the Trustee (who will generally be the surviving spouse) shall pay all of the valid debts, last expenses, and taxes of the deceased spouse and then distribute the trust assets as specified on the deceased spouses Schedule of Beneficiaries of Joint Living Trust.  The Trust will become irrevocable upon the death of the surviving spouse, and in that event, the Successor Trustee will then be empowered to pay all of the valid debts, last expenses, and taxes of the grantor and then distribute the trust assets as specified on the Schedule of Beneficiaries of Joint Living Trust of the final spouse to die.

Survivorship Section

This clause is included in every Living Trust.  This clause provides for two possibilities.  First, it provides for a required period of survival for any beneficiary to receive a gift under your Living Trust.  The practical effect of this is to be certain that your property passes under your Living Trust and not that of a beneficiary who dies shortly after receiving your gift.  The second portion of this clause provides for a determination of how your property should pass in the eventuality that both you and a beneficiary (most likely your spouse) should die in a manner that makes it impossible to determine who died first.

Without this clause in your Living Trust it would be possible that property would momentarily pass to a beneficiary under your Living Trust.  When that person dies (possibly immediately if a result of a common accident or disaster) your property could wind up being left to the person whom your beneficiary designated, rather than to your alternate beneficiary.  If you and your spouse are both preparing individual Living Trusts, it is a good idea to be certain that each of your Living Trusts contains identical survivorship clauses.  If you are each others primary beneficiary, it is also wise to attempt to coordinate who your alternate beneficiaries may be in
the event of a simultaneous death.

Amendments and Revocations Section

This form of trust reserves the right to allow you to cancel (revoke) or amend this trust or any of the schedules at any time.  However, any changes (amendments) must be in writing, notarized, and attached to the original trust document to be valid.  If you are completing a Joint Living Trust as a husband and wife, you agree that while both of you are still alive, you will only have the right to jointly amend the Trust.  However, a surviving spouse will have the right to individually amend the trust.  In addition, you will agree that either spouse will have the right to unilaterally revoke the Living Trust.  You will also have the right to jointly revoke the Trust at any time.

Governing Law Section

You will fill in the number of pages, including all schedules, and the state of your legal residence where indicated after you have properly typed or had your Living Trust typed.  The laws of the state of your principal residence will govern any questions regarding the operation of the trust or the actions of any trustee.

Signature Section

The signature lines of your Living Trust will be completed in front of a notary public.  Please see “Completing Your Living Trust,” below.

Notary Acknowledgment Section

This section will be completed by a notary public.  Please see “Completing Your Living Trust,” below.


Completing Your Schedule of Assets of Living Trust Form(s)

On this form, you will include a listing of all of the property that you wish to transfer into the trust.  This document should be attached to the Living Trust when completed.  It is relatively simple to complete.  Simply fill in the title information (name and date of trust) and then carefully list the property that you have chosen to include in the trust.

Please refer to your Property Questionnaire to be certain that you include all of the property that you desire to be held in trust.

Always describe the property in as detailed and clear a manner as possible.  For example: do not simply state “my car,” instead state “a 1994 Buick Skylark, serial #123456789.”  In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.

(Note for married couples completing Joint Living Trust: You will each complete a separate  schedule of Assets of Living Trust form.  On each of these forms, you will note which shared property you wish to add to the trust and which separately-owned property you wish to transfer to the trust.  Please refer back to your completed Property Questionnaire and the attached discussion regarding common-law and community property to complete this form.)


Very Important Note: If the particular asset that you list on this Schedule has any type of ownership document, such as a title, deed, stock certificate, or similar document, you must also transfer the ownership of the asset to the trust by completing a new deed, title, or other transfer paperwork.  Simply listing the asset on this form does not transfer it to the trust if an ownership document is required.  For those items of personal property for which no such ownership document exists (such as a stereo system, appliances, antiques, etc.), the listing on the Schedule of Assets of Living Trust will effectively transfer the ownership to the Trust.


This Schedule of Assets will become a part of the Living Trust.  It should be stapled to the original of the trust document.  Any time that any changes are made to the assets that are to be included in the Living Trust, this schedule must be changed and an Amendment to Living Trust form should be filled out.  (Forms and instructions for amending your living trust are available at www.findlegalforms.com ).


Completing Your Schedule of Beneficiaries of Living Trust Form(s)

Using this form, you will direct how your property will be distributed by your Successor Trustee upon your death.  You will select your beneficiaries, alternate beneficiaries, and the property that each of them will receive.  You may wish to refer back to your Beneficiary Questionnaire to prepare this form.  The information that you compiled for that Questionnaire will be your guide for preparing your Living Trust, both in terms of being certain that you have disposed of all of your Trust assets, and in terms of being certain that you have left gifts to all those persons or organizations that you wished to.  Using the clauses in this section, you will be able to prepare a Living Trust in which you may:

   Make specific gifts of cash, real estate, or personal property to anyone
   Make specific gifts of certain shares of your trust assets
   Make a gift of the rest (residue) of your assets to anyone

Specific Gifts Clause: Use this type of clause to provide specific gifts to your beneficiaries.  If chosen, add this clause or clauses after the phrase “Upon the death of the grantor of the trust and the payment of all debts, taxes, and liabilities of the grantee, the Successor Trustee shall then distribute the remaining assets of the trust as follows:

To my [relationship], [name of beneficiary], or if not surviving, to my [relationship],
[name of alternate beneficiary], the following trust assets shall be distributed:
For making specific gifts, use as many of the “To my” paragraphs as is necessary to complete your chosen gifts.  In these paragraphs, you may make any type of gift that you wish, either a cash gift, a gift of a specific piece of personal property or real estate, or a specific share of your total trust estate.  If you wish to give some of your trust estate in the form of portions of the total, it is recommended to use fractional portions.  For example, if you wish to leave your trust estate in equal shares to two persons, name both parties after “To my” and state “one-half of my total trust estate to each party.

Although the Living Trust form in this kit does not contain a specific clause which states that you give one person your entire trust estate, you may make such a gift using this clause by simply stating after “The following trust assets shall be distributed:

“My entire trust estate

Be sure that you do not attempt to give any other gifts.  However, you should still include the residuary clause in your Living Trust, which is explained on the following pages.

You may only give away property that the trust itself owns.  Be certain that any property included in any of the gift clauses is also included on your Schedule of Assets and has been effectively transferred to the Trust.  In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.  For example: “The blue velvet coat which was a gift from my brother John.”  Use serial numbers, colors, or any other descriptive words to clearly indicate the exact nature of the gift.  For cash gifts, specifically indicate the amount of the gift.  For gifts of securities, state the amount of shares and the name of the company.  You may add simple conditions to the gifts that you make, if you desire.  For example: You may state “$1,000.00 to the Centerville Church for use in purchasing a new roof for the church.”  Complex conditions, however, are not possible in this clause, and immoral or illegal conditions are not acceptable.

Be sure to clearly identify the beneficiary and alternate beneficiary by full name.  You can also name joint beneficiaries, such as several children, if you choose.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,“my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.

The choice of alternate beneficiary is for the purpose of allowing you to designate someone to receive the gift if your first choice to receive the gift dies before you do (or, in the case of a organization chosen as primary beneficiary, is no longer in business).  In this or any of the other gift clauses, your choice for alternate beneficiary may be one or more persons or an organization.  It is recommended to always specifically name your beneficiary(s), rather than using a description only, such as “my children.”  In addition, you may delete the alternate beneficiary choice and substitute the words “the residue” instead.  The result of this change will be that if your primary beneficiary dies before you do, your gift will pass under your residuary clause, which is discussed below.  If additional gifts are desired, simply photocopy an additional page.

Residuary Clause: Although not a technical legal requirement, a residuary clause is included in the attached Living Trust form.  With it, you will choose the person, persons, or organization to receive anything not covered by other clauses of your Living Trust.  Even if you feel that you have given away everything that your trust owns under other clauses of your Living Trust, this can be a very important clause.

If, for any reason, any other gifts under your Living Trust are not able to completed, this clause goes into effect.  For example, if a beneficiary refuses to accept your gift or the chosen beneficiary has died and no alternate was selected or both the beneficiary and alternate has died, the gift is put back into your trust estate and will pass under the residuary clause.  If there is no residuary clause included, any property not disposed of could potentially be forfeited to the state.

In addition, you may use this clause to give all of your estate (except your specific gifts) to one or more persons.  For example: you make specific gifts of $1,000.00 to a sister and a car to a friend.  By then naming your spouse as the residuary clause beneficiary, you will have gifted everything in your trust estate to your spouse - except the $1,000.00 and the car.  You could then name your children, in equal shares, as the alternate residuary beneficiaries.  In this manner, if your spouse were to die first, your children would then equally share your entire trust estate - except the $1,000.00 and the car.

Be sure to clearly identify the beneficiary by full name.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,” or “my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.


Finishing Your Living Trust Forms

After you have filled in all of the appropriate information, carefully re-read your entire Living Trust and your Schedules of Assets and Beneficiaries.  Be certain that they contain all of the correct information that you desire.  Then starting at the beginning of the Living Trust forms, delete any of the words and phrases in the Living Trust forms that do not apply in your situation.  After all of the extraneous information has been deleted, look over the attached sample Living Trust to see how a completed Living Trust should look. Then proceed to the section entitled “Completing Your Living Trust” for instructions on printing and final preparation of your Living Trust.


Instructions for Joint Living Trust of Married Couple with Childrens Trust included

This Living Trust is appropriate for use by a married couple with one or more minor children, and the married couple desire to jointly enter into a Living Trust and place the property and assets which may be left to their child(ren) in a trust fund.

Fill in each of the appropriate blanks in this particular Living Trust, a Schedule of Assets of Joint Living Trust for Husband, a Schedule of Assets of Joint Living Trust for Wife, and a Joint Schedule of Beneficiaries of Joint Living Trust using the information which you included in your Property and Beneficiary Questionnaires.  Please note that each spouse must complete a separate Schedule of Assets.  Delete any information that is not appropriate to your situation.  You will then complete the preparation of all your forms following the instructions later in this kit.

To complete this form, you will need the following information:

1.   The name of the Living Trust (generally, both of your full names will be the name of the trust, such as the “Gwendolyn Smith and Robert Smith Living Trust”).
2.   Both of your complete names,The date on which you wish the Living Trust to take effect,The name of the Living Trust,Both of your complete names, andYour marital status and the names of any children (instructions above for the correct phrase).
3.   No information needed.
4.   No information needed.
5.   No information needed.
6.   The names and addresses of your chosen Successor Trustee and Alternative Successor Trustee.
7.   No information needed.
8.   No information needed.
9A.The age of your child(ren) under which you wish the Childrens Trust to take effect,
   and the age of each child when the Childrens Trust will terminate.
9B. No information needed.
10.   No information needed.
11.   No information needed.
12.   No information needed.
13.   The number of pages of the Living Trust, including schedules, andThe state of your legal residence.
14.   Your signatures and printed names (do not sign unless in front of a notary public).
15.   The Notary Acknowledgment section (to be completed by notary public).



Joint Living Trust of Married Couple
with Childrens Trust Included
1.   Title

   LIVING TRUST OF ___________________________________________________ and ___________________________________________________

2   Declaration of Trust

   We, ______________________________ and ______________________________,the grantors of this trust, declare and make this Living Trust on _________________ (date).

   This trust will be known as the ________________________________________ and___________________________________________ Living Trust.

We, ______________________________ and ______________________________, will be trustees of this trust and any subtrusts created under this trust.  Either trustee may act for and represent the trust in any transaction.  Upon the death of either trustee, the surviving grantor shall serve as sole trustee of this trust.

   Our marital status is that ________________________________________________.

3.   Property Transfer

The husband transfers his ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Joint Living Trust for Husband, which is specifically made a part of this trust.  The property listed on the Schedule of Assets of Joint Living Trust for Husband shall retain its character as the shared or separate property of the Husband.  The wife also transfers her ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Joint Living Trust for Wife, which is specifically made a part of this trust.  The property listed on the Schedule of Assets of Joint Living Trust for Wife shall retain its character as the shared or separate property of the Wife.  We reserve the right to add or delete any of these assets at any time.  In addition, we will prepare a separate Deed, Assignment, or any other documents necessary to carry out such transfers.  Any additions or deletions to any of the Schedules of Assets of Living Trust must be written, notarized, and attached to this document to be valid.

4.   Grantors Rights

As long as we are both alive, we retain all rights to all income, profits, and control of the shared property listed on the attached Schedule of Assets of Joint Living Trust for Husband and Schedule of Assets of Joint Living Trust for Wife.  As long as the Husband is alive, he shall retain all rights to all income, profits, and control of the separate property listed on Schedule of Assets of Joint Living Trust for Husband.  As long as the Wife is alive, she shall retain all rights to all income, profits, and control of the separate property listed on Schedule of Assets of Joint Living Trust for Wife.  If our principal residence is transferred to this trust, we retain the right to possess and occupy it for our lives, rent-free, and without charge.  We will remain liable for all taxes, insurance, maintenance, related costs, and expenses.  The rights that we retain are intended to give us a beneficial interest in our principal residence such that we do not lose any eligibility that we may have for a state homestead exemption for which we are otherwise qualified.

5.   Successor Trustee

Upon the death of the surviving grantor or if it is certified by a licensed physician that either the sole surviving grantor or both grantors are physically or mentally unable to manage this trust and his or her financial affairs, then we appoint ________________ ___________________ (name), of _______________________________________ _________________________ (address), as Successor Trustee of this trust and any subtrusts created by this trust, to serve without bond and without compensation.  If this successor trustee is not surviving or otherwise unable to serve, we appoint _____ ___________________ (name), of ________________________________________ _________________________ (address), as Alternate Successor Trustee, also to serve without bond and without compensation.  The successor trustee or alternative successor trustee shall not be liable for any actions taken in good faith.  References to “trustee” in this document shall include any successor or alternative successor trustees.

6.   Trustees Powers

In addition to any powers, authority, and discretion granted by law, we grant the trustee any and all powers to perform any acts, in his or her sole discretion and without court approval, for the management and distribution of this trust and any subtrusts created by this trust.  We intend the trustee to have the same power and authority to manage and distribute the trust assets as an individual owner has over his or her own wholly-owned property.

7.   Additional Trustee Powers

The trustees powers include, but are not limited to: the power to sell trust property, borrow money, and encumber that property, specifically including trust real estate, by mortgage, deed of trust, or other method; the power to manage trust real estate as if the trustee were the absolute owner of it, including the power to lease or grant options to lease the property, make repairs or alterations, and insure against loss; the power to sell or grant options for the sale or exchange of any trust property, including stocks, bonds, and any other form of security; the power to invest trust property in property of any kind, including but not limited to bonds, notes, mortgages, and stocks; the power to receive additional property from any source and add to any trust created by this trust; the power to employ and pay reasonable fees to accountants, lawyers, or investment consultants for information or advice relating to the trust; the power to deposit and hold trust funds in both interest-bearing and non-interest-bearing accounts; the power to deposit funds in bank or other accounts uninsured by FDIC coverage; the power to enter into electronic fund transfer or safe deposit arrangements with financial institutions; the power to continue any business of the grantor; the power to institute or defend legal actions concerning the trust or grantors affairs; and the power to execute any document necessary to administer any childrens trust created in this trust.

8.   Incapacitation

   Should the successor trustee or alternative successor trustee assume management of this trust during the lifetime of the grantor(s), the successor trustee or alternative successor trustee shall manage the trust solely for the proper health care, support, maintenance, comfort, and/or welfare of the grantor(s), in accordance with the grantors accustomed manner of living.

9.   Childrens Trust Fund

   A.     If any of our children who are named as beneficiaries on the attached Joint Schedule of Beneficiaries of Joint Living Trust are under _________________ years old on the death of the surviving grantor, we direct that any property that we give them under this trust be held in an individual childrens trust for each child under the following terms, until each shall reach the age of _________________ years old.

B.   In the trustees sole discretion, the trustee may distribute any or all of the principal, income, or both as deemed necessary for the beneficiarys health, support, welfare, and education.  Any income not distributed shall be added to the trust principal.  Any such trust shall terminate when the beneficiary reaches the required age, dies prior to reaching the required age, or all trust funds have been distributed.  Upon termination, any remaining undistributed principal and income shall pass to the beneficiary; or if not surviving, to the beneficiarys heirs; or if none, to the residue of the main trust created by this document.

10.   Termination of Trust

Upon the death of the first grantor to die, the trustee shall pay from the assets of the trust all valid debts, last expenses, and estate taxes due upon the death of the first grantor to die.  The trustee shall then distribute the trust assets of the deceased spouse as specified on the attached Joint Schedule of Beneficiaries of Joint Living Trust, subject to the provisions of any childrens trust which is created by this document.  Upon the death of the surviving grantor, this trust shall become irrevocable.  The successor trustee shall then pay all valid debts, last expenses, and estate taxes from the assets of this trust.  The successor trustee shall then distribute the remaining trust assets in the manner shown on the attached Joint Schedule of Beneficiaries of Joint Living Trust which is specifically made a part of this trust, subject to the provisions of any childrens trust which is created by this document.  Any additions or deletions to the Joint Schedule of Beneficiaries of Joint Living Trust must be written, notarized, and attached to this document to be valid.

11.   Survivorship

All beneficiaries named in the Joint Schedule of Beneficiaries of Joint Living Trust must survive the last surviving grantor by thirty (30) days to receive any gift under this living trust.  If any beneficiary and the last surviving grantor should die simultaneously, then the last surviving grantor shall be conclusively presumed to have survived that beneficiary for purposes of this living trust.

12.   Amendments and Revocations

We reserve the right to jointly amend any or all of this trust at any time.  Upon the death of either grantor, the surviving grantor may amend this trust.  The amendments must be written, notarized, and attached to this document to be valid.  We also reserve the right to individually or jointly revoke this trust at any time.  Upon the death of either grantor, the surviving grantor may revoke this trust.  A revocation of this trust must be written, notarized, and attached to this document to be valid.  If the trust is revoked, the property shall revert to the grantors based on the ownership rights in the property before the property was transferred to the trust.

13. Governing Law

This trust, containing ____________________ pages, was created on the date noted above and will be governed under the laws of the State of ____________________.

14.   Signature

______________________________    ______________________________
Signature of Grantor    Signature of Grantor

______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor
15.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ___________________________ and _______________________
_____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Joint Assignment to Joint Living Trust by Married Couple

This form may be used if an assignment of shared ownership of personal property to a Joint Living Trust is necessary.

An assignment of property is used for the transfer of personal property to the trust.  Recall that you must complete transfer paperwork if the property in question is real estate, patents, copyrights, trademarks, motor vehicles, boats, stocks, bonds, or some other form of property that has ownership documents (such as a deed or title).  For property with no ownership documentation, generally, the listing of property to be held by the trust on the Schedule of Trust Assets effectively transfers ownership of property to the trust.  Thus, an assignment of property is not normally a legal necessity.  However, some businesses or financial institutions may require this particular document to verify that the property has been technically “assigned” to the trust.  In addition, this form is also necessary to assign patents, copyrights, or trademarks to the trust.  If such occasions arise, you may use this document.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantors,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of property to be assigned to the trust.
3.   No information needed.
4.   No information needed.
5.   Your signatures and printed names (do not sign unless in front of a notary public).
6.   The Notary Acknowledgment section (to be completed by notary public).
Joint Assignment to Joint Living Trust


1.   This Joint Assignment to Living Trust is made on _______________________ (date), between _________________________ and ___________________________, the grantors, and the __________________________ and _________________________ Joint Living Trust dated ___________________________.

2.   The grantors transfer and convey possession, ownership, and all right, title, and intent in the following property to the Joint Living Trust:



3.   The grantors warrant that they own this property and that they have the full authority to transfer and convey the property to the Joint Living Trust. Grantors also warrant that the property is transferred free and clear of all liens, indebtedness, or liabilities.

4.   Signed and delivered to the Joint Living Trust on the above date.

5.
______________________________    ______________________________
Signature of Grantor    Signature of Grantor
______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor

6.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ and _________________ _____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Schedule of Assets of Joint Living Trust for Husband

This form should be used by a husband who is setting up a Joint Living Trust with his wife.  This form allows for any of the husbands separate property and shared property to be assigned to the trust.  Please remember that any assets that have ownership documents must be transferred to the ownership of the trust using the appropriate method of documentary transfer (such as a deed or title).

Please refer to your Property Questionnaire to determine which property you desire to transfer to your Living Trust.  The listing of property on this Schedule will effectively transfer the ownership of the property to the trust, unless an additional transfer of ownership document is necessary.  Even if such additional paperwork is necessary, you should list the property on this Schedule of Assets. Please refer to the property instructions earlier in this kit for details of how to list the property and for information on how to determine which of your property is separate and which is shared or jointly owned.  The shared property that you list on this Schedule should match the shared property that is listed by your spouse on her Schedule of Assets.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of husbands separate property to be transferred to the trust.
3.   Full description of husbands shared property to be transferred to the trust.
4.   Your signature and printed name (do not sign unless in front of a notary public).
5.   The Notary Acknowledgment section (to be completed by notary public).

Schedule of Assets of
Joint Living Trust for Husband

1.   This Schedule of Assets of Joint Living Trust for Husband is made on __________________ (date), by ______________________________, the co-grantor, to the __________________ _________________________________ and ______________________________________ Living Trust dated __________________________.

2.   All husbands right, title, and interest in the following separate property shall be the property of the trust:



















3.   All husbands right, title, and interest in the following shared property shall be the property of the trust:

4.

______________________________
Signature of Grantor

______________________________
Printed Name of Grantor

5.  Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he is the person described in the above document and he signed the above document in my presence. I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Schedule of Assets of Joint Living Trust for Wife

This form should be used by a wife who is setting up a Joint Living Trust with her husband.  This form allows for any of the wifes separate property and shared property to be assigned to the trust.  Please remember that any assets that have ownership documents must be transferred to the ownership of the trust using the appropriate method of documentary transfer (such as a deed or title).

Please refer to your Property Questionnaire to determine which property you desire to transfer to your Joint Living Trust.  The listing of property on this Schedule will effectively transfer the ownership of the property to the trust, unless an additional transfer of ownership document is necessary.  Even if such additional paperwork is necessary, you should list the property on this Schedule of Assets.  Please refer to the property instructions above for details of how to list the property and for information on how to determine which of your property is separate and which is shared.  The shared property that you list on this Schedule should match the shared property that is listed by your spouse on his Schedule of Assets.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of wifes separate property to be transferred to the trust.
3.   Full description of wifes shared property to be transferred to the trust.
4.   Your signature and printed name (do not sign unless in front of a notary public).
5.   The Notary Acknowledgment section (to be completed by notary public).

Schedule of Assets of
Joint Living Trust for Wife

1.   This Schedule of Assets of Joint Living Trust for Wife is made on _____________________ (date), by ______________________________, the co-grantor, to the ________________ ________________________________ and _______________________________________ Living Trust dated __________________________.

2.   All wifes right, title, and interest in the following separate property shall be the property of the trust:














3.   All wifes right, title, and interest in the following shared property shall be the property of the trust:


4.

______________________________
Signature of Grantor

______________________________
Printed Name of Grantor

5.  Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Joint Schedule of Beneficiaries of Joint Living Trust

This form should be used to list the beneficiaries of a husband and wife who are setting up a Joint Living Trust.

Using this form, the husband will complete a section under which he will leave his share of the shared property and any of his separately-owned property which is listed on his Schedule of Assets of Joint Living Trust for Husband.  Additionally, the wife will complete a section under which she will leave her share of the shared property and any of her separately-owned property which is listed on her Schedule of Assets of Joint Living Trust for Wife.

Please refer to your Beneficiary Questionnaire to determine which property you desire to leave to which beneficiaries of your Joint Living Trust.  Please refer to the property and beneficiary instructions above for details of how to list the property and beneficiaries.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   For each item of property to be left by husband, complete the following:
Name of beneficiary,Relationship of beneficiary,Name of alternative beneficiary (if main beneficiary has died first),Relationship of alternative beneficiary, andFull description of property to be transferred.
3.   For the husbands residuary clause, complete the following:
Name of residuary beneficiary,Relationship of residuary beneficiary,Name of alternative residuary beneficiary (if main beneficiary has died first),    andRelationship of alternative residuary beneficiary.
4.   For each item of property to be left by wife, complete the following:
Name of beneficiary,Relationship of beneficiary,Name of alternative beneficiary (if main beneficiary has died first),Relationship of alternative beneficiary, andFull description of property to be transferred.
5.   For the wifes residuary clause, complete the following:
Name of residuary beneficiary,Relationship of residuary beneficiary,Name of alternative residuary beneficiary (if main beneficiary has died first),    andRelationship of alternative residuary beneficiary.
6.   No information needed.
7.   Your signatures and printed names (do not sign unless in front of a notary public).
8.   The Notary Acknowledgment section (to be completed by notary public).

Joint Schedule of Beneficiaries of Joint Living Trust

1.   This Joint Schedule of Beneficiaries is made on _____________________________ (date), by _______________________________ and __________________________________, the co-grantors, to the __________________________________ and ______________________ ____________________ Joint Living Trust dated ___________________________.

2.   Upon the death of the husband and the payment of all debts, taxes, and liabilities of the husband, the Trustee shall distribute the assets of the Trust listed on the Schedule of Assets of Joint Living Trust for Husband as follows:

To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:

   






To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:









To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:


   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:








3.   All the rest and residue of the husbands trust assets shall be distributed to _______________ _________________ (name), my _________________________ (relationship), or if not surviving, to ______________________________ (name), my ______________________ (relationship).

4.   Upon the death of the wife and the payment of all debts, taxes, and liabilities of the wife, the Trustee shall distribute the assets of the Trust listed on the Schedule of Assets of Joint Living Trust for Wife as follows:

   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:





   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:

   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:








   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:






5.   All the rest and residue of the wifes trust assets shall be distributed to __________________ _________________ (name), my _________________________ (relationship), or if not surviving, to _____________________________ (name), my _______________________ (relationship).

6.   If any of the Beneficiaries named on this Joint Schedule of Beneficiaries are subject to the terms of any childrens trust in the main trust document to which this Schedule pertains, then any property distributed to such Beneficiary shall be subject to the terms of any such childrens trust.

7.
______________________________    ______________________________
Signature of Grantor    Signature of Grantor
______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor

8.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ and _________________ _____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________



Sample Completed Living Trust

Provided below is a complete sample Living Trust.  By reviewing this sample, you will be able to see what a completed Living Trust should look like and how the various parts are put together.  Examine the clauses to see how your printed, final Living Trust should look upon completion.  In this sample Living Trust, a Mrs. Mary Smith is the fictional grantor.  Mrs. Smith is married to Mr. John Smith, and they have two minor children who live with them.  In her Living Trust, Mrs. Smith wishes to accomplish the following:

   Leave her oval diamond necklace to a friend
   Leave her brown mink coat to her mother
   Leave $10,000.00 to each of her children, to be held in trust if they are under the age of 21 upon her death until they are 30
   Leave all the rest of her trust estate to her husband
   Appoint her husband to act as Successor Trustee of the Living Trust and Trustee of the childrens trust

By filling in the appropriate blanks in these Living Trust clauses, the fictional Mrs. Mary Smith is able to easily and quickly prepare a Living Trust which accomplishes all of her desires.  She has transferred the desired personal property to her trust using a Schedule of Assets of Living Trust and she has designated what each beneficiary shall receive upon her death using the Schedule of Beneficiaries of Living Trust.  Mrs. Smith has chosen not to place any real estate into her Trust since she holds title to her and her husbands home as a joint tenant with her husband.  Thus, her husband will automatically own the entire piece of real estate upon her death and the property will not be required to be probated.  Although it appears that Mrs. Smith has managed to provide that all of her desires for the distribution of her property upon her death will be accomplished without the expense or delay of probate, she would still be wise to complete a basic will for use as a backup in the event of unforeseen acquisitions of property.  Also note that should she acquire additional personal property, Mrs. Smith will need to amend her Schedule of Assets to provide for a transfer of such property into the Trust.

She may rest assured that by having properly prepared and signed a Living Trust, her wishes will be carried out upon her death.  Since Mrs. Smith chose to prepare an individual Living Trust rather than a Joint Living Trust, it would be advisable that Mrs. Smiths husband also prepare a Living Trust for himself that includes similar provisions for survivorship and reciprocal provisions for a childrens trust fund.


LIVING TRUST OF MARY ELLEN SMITH


Declaration of Trust

I, Mary Ellen Smith, the grantor of this trust, declare and make this Living Trust on June 4, 2003.

This trust will be known as the Mary Ellen Smith Living Trust.  I, Mary Ellen Smith, will be trustee of this trust and any subtrusts created under this trust.  My marital status is that I am married to John Henry Smith and we have two (2) children whose names and dates of birth are: Alice Mary Smith (June 4, 1995), and Bradley John Smith (April 16, 2000).


Property Transfer

I transfer ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Living Trust, which is specifically made a part of this trust.  I reserve the right to add or delete any of these assets at any time.  In addition, I will prepare a separate Deed, Assignment, or any other documents necessary to carry out such transfers.  Any additions or deletions to the Schedule of Assets of Living Trust must be written, notarized, and attached to this document to be valid.


Grantors Rights
Until I die, I retain all rights to all income, profits, and control of the trust property.  If my principal residence is transferred to this trust, I retain the right to possess and occupy it for my life, rent-free and without charge.  I will remain liable for all taxes, insurance, maintenance, related costs, and expenses.  The rights that I retain are intended to give me a beneficial interest in my principal residence such that I do not lose any eligibility that I may have for a state homestead exemption for which I am otherwise qualified.


Successor Trustee

Upon my death or if it is certified by a licensed physician that I am physically or mentally unable to manage this trust and my financial affairs, then I appoint John Henry Smith, of 123 Main Street, Centerville, IL, as Successor Trustee, to serve without bond and without compensation.  If this successor trustee is not surviving or otherwise unable to serve, I appoint Elizabeth Joan Allen, of 234 Broadway, Centerville, IL, as Alternate Successor Trustee, also to serve without bond and without compensation.  The successor trustee or alternative successor trustee shall not be liable for any actions taken in good faith.  References to “trustee” in this document shall include any successor or alternative successor trustees.

Trustees Powers

In addition to any powers, authority, and discretion granted by law, I grant the trustee any and all powers to perform any acts, in his or her sole discretion and without court approval, for the management and distribution of this trust and any subtrusts created by this trust.  I intend the trustee to have the same power and authority to manage and distribute the trust assets as an individual owner has over his or her own wholly-owned property.


Additional Trustee Powers

The trustees powers include, but are not limited to: the power to sell trust property, borrow money, and encumber that property, specifically including trust real estate, by mortgage, deed of trust, or other method; the power to manage trust real estate as if the trustee were the absolute owner of it, including the power to lease or grant options to lease the property, make repairs or alterations, and insure against loss; the power to sell or grant options for the sale or exchange of any trust property, including stocks, bonds, and any other form of security; the power to invest trust property in property of any kind, including but not limited to bonds, notes, mortgages, and stocks; the power to receive additional property from any source and add to any trust created by this trust; the power to employ and pay reasonable fees to accountants, lawyers, or investment consultants for information or advice relating to the trust; the power to deposit and hold trust funds in both interest-bearing and non-interest-bearing accounts; the power to deposit funds in bank or other accounts uninsured by FDIC coverage; the power to enter into electronic fund transfer or safe deposit arrangements with financial institutions; the power to continue any business of the grantor; the power to institute or defend legal actions concerning the trust or grantors affairs; and the power to execute any document necessary to administer any childrens trust created in this trust.


Incapacitation

Should the successor trustee or alternative successor trustee assume management of this trust during the lifetime of the grantor, the successor trustee or alternative successor trustee shall manage the trust solely for the proper health care, support, maintenance, comfort, and/or welfare of the grantor, in accordance with the grantors accustomed manner of living.


Childrens Trust Fund
If any of my children who are named as beneficiaries on the attached Schedule of Beneficiaries of Living Trust are under twenty-one (21) years old on my death, I direct that any property that I give them under this trust be held in an individual childrens trust for each child under the following terms, until each shall reach the age of thirty (30) years old.

In the trustees sole discretion, the trustee may distribute any or all of the principal, income, or both as deemed necessary for the beneficiarys health, support, welfare, and education.  Any income not distributed shall be added to the trust principal.  Any such trust shall terminate when the beneficiary reaches the required age, dies prior to reaching the required age, or all trust funds have been distributed.  Upon termination, any remaining undistributed principal and income shall pass to the beneficiary; or if not surviving, to the beneficiarys heirs; or if none, to the residue of the main trust created by this document.


Termination of Trust

Upon my death, this trust shall become irrevocable.  The successor trustee shall then pay my valid debts, last expenses, and estate taxes from the assets of this trust.  The successor trustee shall then distribute the remaining trust assets in the manner shown on the attached Schedule of Beneficiaries of Living Trust which is specifically made a part of this trust, subject to the provisions of any childrens trust which is created by this document.  I reserve the right to add and/or delete any beneficiaries at any time.  Any additions or deletions to the Schedule of Beneficiaries of Living Trust must be written, notarized, and attached to this document to be valid.


Survivorship

All beneficiaries named in the Schedule of Beneficiaries of Living Trust must survive me by thirty (30) days to receive any gift under this living trust.  If any beneficiary and I should die simultaneously, I shall be conclusively presumed to have survived that beneficiary for purposes of this living trust.


Amendments and Revocations

I reserve the right to amend any or all of this trust at any time.  The amendments must be written, notarized, and attached to this document to be valid.  I also reserve the right to revoke this trust at any time.  A revocation of this trust must be written, notarized, and attached to this document to be valid.


Governing Law

This trust, containing seven (7) pages, was created on the date noted above and will be governed under the laws of the State of Illinois.

Signature

Mary Ellen Smith (Signed)   
Signature of Grantor

Mary Ellen Smith          
Printed Name of Grantor

Notary Acknowledgments

State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln (Signed)    
Notary Public
My commission expires 12/31/2005
SCHEDULE OF ASSETS OF LIVING TRUST

This Schedule of Assets of Living Trust is made on June 4, 2003, by Mary Ellen Smith, the grantor, to the Mary Ellen Smith Living Trust dated June 4, 2003.

All grantors right, title, and interest in the following property shall be the property of the trust:

An oval diamond necklace purchased from Tiffany and Co., and described as an oval-cut diamond of .75 carats set in a white-gold setting on an 18-inch white-gold braided necklace

A brown mink coat purchased from Henderson Furriers, size small, and described as a thigh-length light-brown mink coat with two (2) slash-side pockets, manufactured by Hanson and Company of Chicago, IL

$20,000.00 in funds held in a trust account for the Mary Ellen Smith Trust in the Bank of Centerville, Centerville, IL, account #123456789

Mary Ellen Smith (Signed)  
Signature of Grantor

Mary Ellen Smith          
Printed Name of Grantor


State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln (Signed)      
Notary Public
My commission expires 12/31/2005

SCHEDULE OF BENEFICIARIES OF LIVING TRUST

This Schedule of Beneficiaries is made on June 4, 2003, by Mary Ellen Smith, the grantor, to the Mary Ellen Smith Living Trust dated June 4, 2003.

Upon the death of the grantor of the trust and the payment of all debts, taxes, and liabilities of the grantor, the Successor Trustee shall distribute the remaining assets of the Trust as follows:

To Annie Janet Jones, my friend, or if not surviving, to Helen Mary Barrett, my mother, the following trust assets shall be distributed:

An oval diamond necklace purchased from Tiffany and Co., and described as an oval-cut diamond of .75 carats set in a white-gold setting on an 18-inch white-gold braided necklace

To Helen Mary Barrett, my mother, or if not surviving, to Annie Janet Jones, my friend, the following trust assets shall be distributed:

A brown mink coat purchased from Henderson Furriers, size small, and described as a thigh-length light-brown mink coat with two (2) slash-side pockets, manufactured by Hanson and Company of Chicago, IL

To Alice Mary Smith and Bradley John Smith, my children, in equal shares, or if not surviving, to John Henry Smith, my husband, the following trust assets shall be distributed:

$20,000.00 in funds held in a trust account for the Mary Ellen Smith Trust in the Bank of Centerville, Centerville, IL, account #123456789

All the rest and residue of the trust assets shall be distributed to John Henry Smith, my husband, or if not surviving, to Alice Mary Smith and Bradley John Smith, my children, in equal shares.

If any of the Beneficiaries named on this Schedule of Beneficiaries is subject to the terms of any childrens trust in the main trust document to which this Schedule pertains, then any property distributed to such Beneficiary shall be subject to the terms of any such childrens trust.

Mary Ellen Smith  (Signed)   
Signature of Grantor

Mary Ellen Smith         
Printed Name of Grantor

State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln    (Signed)   
Notary Public

My commission expires 12/31/2005


Completing Your Living Trust

As you have noted in the sample Living Trust in the previous section, there is nothing very complicated about the arrangement of your Living Trust.  This section will explain how to put your own Living Trust together and properly complete and print it yourself or have it completed and readied for your signatures.  Using your Property and Beneficiary Questionnaires as a guide, you should already have selected and filled in the appropriate information on one the Living Trust form in this kit, and on the appropriate Schedules of Assets and Beneficiaries.

Below are instructions for preparing the final version of your Living Trust.  As you go about preparing your Living Trust, take your time and be very careful to proofread the original before you sign it to be certain that it exactly states your desires.

1.   On a copy worksheet version of your Living Trust and Schedules, cross out all of the instructions, circled numbers, and any other extraneous material which is not to become a part of your Living Trust.  Carefully re-read the entire worksheet version of your Living Trust to be certain that it is exactly as you wish.

2.   After making any necessary changes, print the entire Living Trust and the appropriate Schedules on good quality letter-sized (8½” x 11”) paper.

3.   After you have completed typing your Living Trust and Schedules, fill in the total number of pages in the line above the Signature section.  Again, very carefully proofread your entire Living Trust.  Be certain that there are no errors.  If there are any errors, correct and reprint that particular page.  Do not attempt to correct any errors with whiteout type correcting fluid or tape or with erasures of any kind.  Do not cross out or add anything to the printed copy using a pen or pencil.  Your Living Trust, when completed properly, should look similar to the sample Living Trust contained in the previous section, except that the signature and notary acknowledgement spaces should be blank.

4.   When you have a perfect original of your Living Trust and Schedules, with no corrections and no additions, staple all of the pages together in the top left-hand corner.

5.   Take the original of your Living Trust and Schedules before a Notary Public.  Many banks, real estate offices, and government offices have notary services and most will be glad to assist you.  In front of the Notary Public, you should sign your Living Trust and Schedules in the places indicated.

6.   The final step is for the Notary Public to complete the Notary Acknowledgments, sign in the space indicated, and stamp with his or her Notary Seal.  When this step is completed, your Living Trust is a valid legal document and you may be assured that your wishes will be carried out upon your death.

Once it has been properly executed following the steps above, you may make photocopies of your Living Trust.  It is a good idea to label any of these as “COPIES.

Safeguarding Your Living Trust

Having completed your Living Trust according to the foregoing instructions, it is now time to place your Living Trust in a safe place.  Many people keep their important papers in a safe deposit box at a local bank.  Although this is an acceptable place for storing a Living Trust, be advised that there are certain drawbacks.  Your Living Trust should be in a place which is readily accessible to your Successor Trustee at a moments notice.  Often there are certain unavoidable delays in gaining access to a safe deposit box in an emergency situation.  If you are married and your safe deposit box is jointly held, many of these delays can be avoided.  However, even in this situation, some states prevent immediate access to the safe deposit box of a deceased married person.  If you decide to keep the original in your safe deposit box, it is a good idea to keep a clearly marked copy of your Living Trust at home in a safe but easily-located place, with a note as to where the original may be found.

An acceptable alternative to a safe deposit box is a home file box or desk that is used for home storage of your important papers.  If possible, this storage place should be fireproof and under lock and key.  Wherever you decide to store your Living Trust, you will need to inform your chosen Successor Trustee of its location.  The Successor Trustee will need to obtain the original of your Living Trust shortly after your demise to determine if there are any necessary duties which must be looked after without delay, for example: funeral plans or organ donations.

It is also a good practice to store any life insurance policies and a copy of your birth certificate in the same location.  Additionally, it is also prudent to store a copy of your Property Questionnaire, Beneficiary Questionnaire, and the Successor Trustee Information List with your Living Trust in order to provide your Successor Trustee with an inventory and location list of your assets and a list of information regarding your beneficiaries.  Any title documents or deeds relating to property which is to be transferred under your Living Trust may also be stored with your Living Trust for the convenience of your Successor Trustee.  A final precaution, if you desire, is to allow the Successor Trustee whom you have named to keep a copy of your Living Trust.  Be careful, however, to be certain that you immediately inform him or her of any amendments to your Living Trust which you prepare or of any decision to revoke your Living Trust.


Transferring Property to Your Living Trust

After you have completed signing and having your Living Trust notarized, you will need to complete the transfers to the Trust of any property which has ownership documentation.  It is very important that you make these transfers as soon as possible after completing your Living Trust.  If you do not effectively transfer the property to your Trust, this property will not be considered part of your trust estate and your Successor Trustee will have no legal authority to distribute the property to your chosen beneficiaries.  Such untransferred property would pass to the beneficiaries of any will you might have or, if you do not have a will, would be distributed to your heirs as determined by the state, or, in a worst case scenario, would actually be forfeited to the state if you have no living heirs.

To be certain that these events do not come to pass, you must complete the proper documents of title to pass ownership of the property from yourself to the Trust.  The types of property and the necessary ownership documents that you will need to complete include the following:

   All real estate (transferred by deed, which must then be properly recorded in the county or parish clerks office)
   Motor vehicles (transferred by title generally, which must then be filed with the states motor vehicle department or Secretary of State)
   Boats (transferred by title generally, which must then be filed with the appropriate state department)
   Patents, copyrights, and trademarks (transferred generally, by an Assignment of Property to Living Trust form which must then be filed with the appropriate federal agency)
   Bank accounts and safe deposit boxes (generally transferred by completing paperwork supplied by the particular financial institution)
   Stocks, bonds, and mutual funds (stocks and bonds are generally transferred by having a new stock certificate or bond issued.  Mutual fund or brokerage accounts are transferred by completing paperwork supplied by the particular brokerage house or fund)
   Business interests (ownership of a sole proprietorship is transferred by listing it on your Schedule of Assets of Living Trust.  Corporate ownership transfers require reissuing stock certificates in the name of the trust.  Transfers of ownership for partnerships will generally require amending the partnership agreement to specify ownership by the trust)

When transferring property ownership to the Living Trust, you should specify ownership as follows:

“[your name], as Trustee of the [your name] Living Trust, dated [date of creation of the trust].

So, for example, the name on a new deed which is used to transfer property to the trust would be “Andrea Ann Doria, as Trustee of the Andrea Ann Doria Living Trust, dated June 4, 2003.

If you add or delete property from your Schedule of Assets of Living Trust or if you entirely revoke your Living Trust, you must be certain to officially transfer ownership of the property back to yourself using the appropriate ownership documentation.
Instructions for Registration of Living Trust

Residents of a number of states are required to register the main details regarding the existence of a Living Trust with their local courts.  Please check the State Law Digest to determine if such registration is required in your state.  Note also that even though such registration may technically be required for your state, there are no penalties or consequences for failing to do so.

1.   Full name of trustee,Name of Living Trust, andDate original Living Trust was created.
2.   No information needed.
3.   Your signature and printed name (do not sign unless in front of a notary public).
4.   The Notary Acknowledgment section (to be completed by notary public).
Registration of Living Trust

1.   I, ______________________________, am Trustee of the __________________________ ____________________ Living Trust, which was created on the date of ________________, by the grantor, _____________________________.

2.   I hereby acknowledge that I accept the office of Trustee of the Trust, and am now acting as Trustee of the Trust.

3.

______________________________
Signature of Trustee

______________________________
Printed Name of Trustee

4.    Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he or she is the person described in the above document and he or she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________





APPENDIX A
FindLegalForms.com
State Law Digest for Living Trusts

(Click on the appropriate state link below to access the states living trusts law summary)

ALABAMA
ALASKA
ARIZONA
ARKANSAS
CALIFORNIA
COLORADO
CONNECTICUT
DELAWARE
DISTRICT OF COLUMBIA
FLORIDA
GEORGIA
HAWAII
IDAHO
ILLINOIS
INDIANA
IOWA
KANSAS
KENTUCKY
LOUISIANA
MAINE
MARYLAND
MASSACHUSETTS
MICHIGAN
MINNESOTA
MISSISSIPPI
MISSOURI
MONTANA
NEBRASKA
NEVADA
NEW HAMPSHIRE
NEW JERSEY
NEW MEXICO
NEW YORK
NORTH CAROLINA
NORTH DAKOTA
OHIO
OKLAHOMA
OREGON
PENNSYLVANIA
RHODE ISLAND
SOUTH CAROLINA
SOUTH DAKOTA
TENNESSEE
TEXAS
UTAH
VERMONT
VIRGINIA
WASHINGTON
WEST VIRGINIA
WISCONSIN
WYOMING

Number of Pages86
DimensionsDesigned for Letter Size (8.5" x 11")
EditableYes (.doc, .wpd and .rtf)
UsageUnlimited number of prints
Product number#27366
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.

















Joint Living Trust Kit
(Married Couple with Childrens Trust)







This Packet Includes:
1. Information


2. Joint Living Trust Kit (Married Couple with
    Childrens Trust)





Information
Joint Living Trust Kit
(Married Couple with Childrens Trust)

This kit provides tools and guidelines to assist you in preparing, drafting, and finalizing a Joint Living Trust for you and your spouse.  This form is intended for a married couple, and includes a Childrens Trust provision.

An increasingly popular estate planning tool, a Living Trust is a legal document that allows for the transfer of property to the persons or organizations named in the Living Trust upon the death of the maker of the Trust, without going through the expense and delay of probate.

This kit includes a comprehensive array of forms, questionnaires, and general information that will assist you in assembling a complete Living Trust document.

NOTE:  For state-specific rules and requirements regarding the formation and operation of living trusts, please see our State Law Digest for Living Trusts.  For your convenience, links to the digest are provided in Appendix A.   Note also that residents of the State of New York should complete a special Notice of Assignment of Property form, available at no extra charge at http://www.findlegalforms.com/public/LIVT/LT-NYAP.doc.







DISCLAIMER:

FindLegalForms, Inc. (“FLF”) is not a law firm and does not provide legal advice.  The use of these materials is not a substitute for legal advice. Only an attorney can provide legal advice.  An attorney should be consulted for all serious legal matters.  No Attorney-Client relationship is created by use of these materials.  

THESE MATERIALS ARE PROVIDED “AS-IS.  FLF DOES NOT GIVE ANY EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY, SUITABILITY OR COMPLETENESS FOR ANY OF THE MATERIALS FOR YOUR PARTICULAR NEEDS.  THE MATERIALS ARE USED AT YOUR OWN RISK.  IN NO EVENT WILL:  I) FLF, ITS AGENTS, PARTNERS, OR AFFILIATES; OR II) THE PROVIDERS, AUTHORS OR PUBLISHERS OF ITS MATERIALS, BE RESPONSIBLE OR LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES; LOSS OF USE, DATE OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER USED AND ON ANY THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE OF THESE MATERIALS. 




Living Trust Kit  Contents

1.   Property Questionnaire
1.1.   Instructions for Property Questionnaire
1.2.   Property Questionnaire
2.   Beneficiary Questionnaire
2.1.   Instructions for Beneficiary Questionnaire
2.2.   Beneficiary Questionnaire
3.   Successor Trustee
3.1.   Information for Successor Trustee
3.2.   Successor Trustee Duties Checklists
3.3.   Successor Trustee Information List
3.4.   Affidavit of Assumption of Duties by Successor Trustee
4.   General Instructions for Preparing Joint Living Trust Form
5.   Joint Living Trust for Married Couple with Childrens Trust Included
6.   Joint Assignment to Joint Living Trust by Married Couple
7.   Schedule of Assets of Joint Living Trust for Husband
8.   Schedule of Assets of Joint Living Trust for Wife
9.   Joint Schedule of Beneficiaries of Joint Living Trust for Married Couple
10.   Sample Completed Living Trust
10.1.   Sample Living Trust of Mary Ellen Smith
10.2.   Sample Schedule of Assets of Living Trust
10.3.   Sample Schedule of Beneficiaries of Living Trust
11.   Completing Your Joint Living Trust
12.   Registration of Your Living Trust
Instructions for Property Questionnaire

The methods and manners of distribution of your property upon your death using a Living Trust are discussed in this section. Your assets consist of different types of property.  It may be personal property, real estate, “community” property, stocks, bonds, cash, heirlooms, or keepsakes.  Regardless of the type of property you own, there are certain general rules which must be kept in mind as you prepare your Living Trust.

In addition, in this section you will prepare an inventory of all of your assets and liabilities.  This will allow you to have before you a complete listing of all of the property that you own as you begin to consider which beneficiaries should receive which property.

It is also important to understand that laws of different states may apply to a single Living Trust.  The laws of the state in which you have your principal residence will be used to decide the validity of the Living Trust as to any personal property and real estate located in that state.  However, if any real estate outside of your home state is mentioned in the Living Trust, then the laws of the state in which that real estate is found will govern the disposition of that particular real estate.  Thus, if you own property outside of the state where you live, you should consult our State Law Digest for information concerning specific state laws, and be certain to check both your own states laws and those of the state in which your other property is located.

What Property May You Dispose of with Your Living Trust?

In general, you may dispose of any property that you own which has effectively been transferred to the Living Trust at the time of your death.  This simple fact, however, contains certain factors which require further explanation.  There are forms of property which you may “own,” but which may not be transferred by way of a Living Trust.  In addition, you may own only a percentage or share of certain other property.  In such situations, only that share or percentage which you actually own may be transferred by your Living Trust.  Finally, there are types of property ownership which are automatically transferred to another party at your death, regardless of the presence of a Living Trust.

In the first category of property which cannot be transferred by Living Trust are properties which have a designated beneficiary outside of the provisions of your Living Trust.  These types of properties include:

 Life insurance policies
 Retirement plans
 IRAs and KEOGHs
 Pension plans
 Trust bank accounts
 Payable-on-death bank accounts
 U.S. Savings Bonds, with payable-on-death beneficiaries
In general, if there is already a valid determination of who will receive the property upon your death (as there is, for example, in the choice of a life insurance beneficiary), you may not alter this choice of beneficiary through the use of your Living Trust.  If you wish to alter your choice of beneficiary in any of these cases, please alter the choice directly with the holder of the particular property (for instance, the life insurance company or bank).

The next category of property which may have certain restrictions regarding its transfer by Living Trust is property in which you may own only a certain share or percentage.  Examples of this may be a partnership interest in a company or jointly-held property.  Using a Living Trust, you may leave only that percentage or fraction of the ownership of the property that is actually yours.  For business interests, it is generally advisable to pass the interest which you own to a beneficiary intact.  The forced sale of the share of a business for estate distribution purposes often results in a lower value being placed on the share.  Of course, certain partnership and other business ownership agreements require the sale of a partners or owners interest upon death.  These buy-out provisions will be contained in any ownership or partnership documents that you may have.  Review such documentation carefully to determine both the exact share of your ownership and any post-death arrangements.

The ownership rights and shares of property owned jointly must be considered.  This is discussed below under common law property states, although most joint ownership laws also apply in community property states as well.  Another example of property in which only a certain share is actually able to be transferred by Living Trust is a spouses share of marital property in states which follow community property designation of certain jointly-owned property.  The following is a discussion of the basic property law rules in both community property and common law property states.  The rules regarding community property only apply to married persons in those states that follow this type of property designation.  If you are single, please disregard this section and use the common-law property states rules below to determine your ownership rights.


Community Property States
Several states, mostly in the western United States, follow the community property type of marital property system.

The system itself is derived from ancient Spanish law.  It is a relatively simple concept.  All property owned by either spouse during a marriage is divided into two types: separate property and community property.  Separate property consists of all property considered owned entirely by one spouse.

Separate property, essentially, is all property owned by the spouse prior to the marriage and kept separate during the marriage; and all property received individually by the spouse by gift or inheritance during the marriage.  All other property is considered community property.  In other words, all property acquired during the marriage by either spouse, unless by gift or inheritance, is community property.  Community property is considered to be owned in equal shares by each spouse, regardless of whose efforts actually went into acquiring the property.  (Major exceptions to this general rule are Social Security and Railroad retirement benefits, which are considered to be separate property by Federal law).

Specifically, separate property generally consists of:

 All property owned by a spouse prior to a marriage (if kept separate)
 All property a spouse receives by gift or inheritance during a marriage (if kept
separate)
 All income derived from separate property (if kept separate), except in Texas and
Idaho, where income from separate property is considered community property

Community property generally consists of:

 All property acquired by either spouse during the course of a marriage, unless it is separate property (thus it is community property unless acquired by gift or inheritance or is income from separate property)
 All pensions and retirement benefits earned during a marriage (except Social Security and Railroad retirement benefits)
 All employment income of either spouse acquired during the marriage
 All separate property which is mixed or comingled with community property during the marriage

Thus, if you are a married resident of a community property state, the property which you may dispose of by Living Trust consists of all of your separate property and one half of your jointly-owned marital community property.  The other half of the community property automatically becomes your spouses sole property on your death.

Residents of community property states may also own property jointly as tenants-in-common or as joint tenants.  These forms of property ownership are discussed below.


Common-Law Property States
Residents of all other states are governed by a common-law property system, which was derived from English law.  Under this system, there is no rule which gives 50 percent ownership of the property acquired during marriage to each spouse.  

In common-law states, the property which you may dispose of with your Living Trust consists of all the property held by title in your name, any property that you have earned or purchased with your own money, and any property that you may have been given as a gift or inherited, either before or during your marriage.

If your name alone is on a title document in these states (for instance, a deed or automobile title), then you own it solely.  If your name and your spouses name are on the document, you generally own it as tenants-in-common, unless it specifically states that your ownership is to be as joint tenants or if your state allows for a tenancy-by-the-entireties (a form of joint tenancy between married persons).  There is an important difference between these types of joint ownership: namely, survivorship.

With property owned as tenants-in-common, the percentage or fraction that each tenant-in-common owns is property which may be disposed of under a Living Trust.  If the property is held as joint tenants or as tenants-by-the-entireties, the survivor automatically receives the deceased partys share.  Thus, in your Living Trust, you may not dispose of any property held in joint tenancy or tenancy-by-the-entirety since it already has an automatic legal disposition upon your death.  For example: if two persons own a parcel of real estate as equal tenants-in-common, each person may leave a half-interest in the property to the beneficiary of their choice by their Living Trust.  By contrast, if the property is owned as joint tenants with right of survivorship, the half-interest that a person owns will automatically become the surviving owners property upon death.

In common-law states, you may dispose of any property that has your name on the title in whatever share that the title gives you, unless the title is held specifically as joint tenants or tenants-by-the-entireties.  You may also dispose of any property that you earned or purchased with your own money, and any property that you have been given as a gift or inherited.  If you are married, however, there is a further restriction on your right to dispose of property by Living Trust.

All common-law property states protect spouses from total disinheritance by providing a  statutory scheme under which a spouse may choose to take a minimum share of the deceased spouses estate, regardless of what a Living Trust or a will states.  This effectively prevents any spouse from being entirely disinherited through the use of the common-law rules of property (name on the title equals ownership of property).

The effect of these statutory provisions is to make it impossible to disinherit a spouse entirely.  If you choose to leave nothing to your spouse under your Living Trust or by other means (such as will, life insurance or joint tenancies), he or she may take it anyway, generally from any property which you tried to leave to others.  (Please see the State Law Digest for details.)

Some states also allow a certain family allowance or homestead allowance to the spouse or children to insure that they are not abruptly cut off from their support by any terms of a Living Trust.  These allowances are generally of short duration and for relatively minor amounts of money and differ greatly from state to state.

Thus, the property which you may dispose of by Living Trust is as follows:

 In community property states: All separate property (property which was brought into a marriage, or obtained by gift or inheritance during the marriage) and one half of the community property (all other property acquired during the marriage by either spouse).  If you are single, follow the common law rules below.  Note that you may not use your Living Trust to dispose of property for which a beneficiary has been chosen by the terms of the ownership of the property itself (for example: life insurance).
 In common-law states: Your share of all property in which your name is on the title document, unless it is held as joint tenants or tenants-by-the-entireties and your share of all other property which you own, earned, or purchased in your own name.  Please check the State Law Digest for information relating to the spouses minimum statutory share of an estate.  Note that you may not use your Living Trust to dispose of property for which a beneficiary has been chosen by the terms of the ownership of the property itself (for example: life insurance)
Federal Estate Taxes and State Inheritance and Estate Taxes

Various taxes may apply to property transfers upon death.  In general, there are two main type of taxes: estate taxes and inheritance taxes.  An estate tax is a government tax on the privilege of being allowed to transfer property onto others upon your death.  This tax is assessed against the estate itself and is paid out of the estate before the assets are distributed to the beneficiaries.  An inheritance tax is a tax on property received and is paid by the person who has actually inherited the property.  The federal government assesses an estate tax.  Various states impose additional estate taxes and inheritance taxes.  Additionally, the federal government and a few states apply a gift tax on property transfers during a persons life.  Nevada is the only state which does not impose any estate, inheritance, or gift taxes.  Basic information regarding each states tax situation can be found in the State Law Digest.

With regard to estate taxes, recent changes in the federal Income Tax Code, as it relates to estate taxes, have released an estimated 95 percent of the American public from any federal estate tax liability on their death.  The current IRS rules provide for the equivalent of an exemption from all estate tax for the first $1 million of a persons assets.  This exemption amount is scheduled to rise to $3.5 million by 2009.  In addition, all of the value of a persons estate that is left to a spouse is exempt from any federal estate tax.  Even if your particular assets are over this minimum exemption, there are still methods to lessen or eliminate your tax liability.  These methods, however, are beyond the scope of this kit.  Therefore, if your assets (or your joint assets, if married) total over approximately $1 million, it is recommended that you consult a tax professional prior to preparing your Living Trust.

State estate taxes are, as a rule, also very minimal or even nonexistent until the value of your estate is over $1 million.  Most states estate tax laws are tied directly to the federal estate tax regulations and thus allow for the same level of exemption equivalent from state estate taxes on death if the estate property totals under $1 million. (Please see the State Law Digest for more information regarding your states estate tax).

Less than half of the states impose an inheritance tax on the receipt of property resulting from the death of another.  There are generally relatively high exemptions allowed and the inheritance taxes are usually scaled in such a way that spouses, children, and close relatives pay much lower rates than more distant relatives or unrelated persons.  From a planning standpoint, the changes in the federal estate tax have virtually eliminated any consideration of tax consequences from the preparation of a Living Trust for most Americans.  Other factors, however, will affect the planning of your Living Trust.
Preparing Your Property Questionnaire

Before you begin to actually prepare your own Living Trust, you must understand what your assets are, who your beneficiaries are to be, and what your personal desires are as to how those assets should be distributed among your beneficiaries.

Since you may only give away property which you actually own, before you prepare your Living Trust it is helpful to gather all of the information regarding your personal financial situation together in one place.  The following Property Questionnaire will assist you in that task.

Determining who your dependents are, what their financial circumstances are, what gifts you wish to leave them, and whether you wish to make other persons or organizations beneficiaries under your Living Trust are questions that will be answered as you complete the Beneficiary Questionnaire, also included in this kit.

Together, these two Questionnaires should provide you with all of the necessary information to make the actual preparation of your Living Trust a relatively easy task.  In addition, the actual process of filling out these questions will gently force you to think about and make the important decisions which must be made in the planning and preparation of your Living Trust.

Mark down each piece of property that you wish to place in the Living Trust.  When you have finished completing this Questionnaire, have it before you as you complete your personal Living Trust.

It may also be prudent to leave a photocopy of these Questionnaires with the original of your Living Trust and provide a copy to your Successor Trustee, in order to provide a readily-accessible inventory of your assets and list of your beneficiaries for use by your Successor Trustee in managing your estate.

Property Questionnaire

What Are Your Assets?

Cash And Bank Accounts

(Individual accounts can be left by living trust, provided the account ownership has been effectively transferred to the trust; joint tenancy and payable-on-death accounts cannot.)

Checking Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Checking Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Savings Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Savings Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Certificate of Deposit                               $ __________________
Held by       ________________________________________
Expiration date    ________________________________________
Name(s) on account    ________________________________________

Other Account                               $ __________________
Bank          ________________________________________
Account #       ________________________________________
Name(s) on account    ________________________________________

Total Cash    $ __________________


Life Insurance and Annuity Contracts

(Life insurance benefits cannot be left by living trust.)

Ordinary Life                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Ordinary Life                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Endowment                                $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Term                                   $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Annuity Contract                             $ __________________
Company    ________________________________________
Policy #    ________________________________________
Beneficiary    ________________________________________
Address    ________________________________________

Total Insurance     $ __________________


Accounts and Notes Receivable

(Debts payable to you may be left by living trust.)

Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________


Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Accounts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Notes                                   $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Other Debts                                $ __________________
Due from    ________________________________________
Address    ________________________________________

Total Accounts & Notes                          $ __________________


Stocks

(Ownership of individually-held stocks and mutual funds may be left by living trust, provided the assets have been effectively transferred to the trust.)

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________


Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                   $ __________________

Total Stocks     $ __________________


Bonds

(Ownership of individually-held bonds may be left by living trust, provided the assets have been effectively transferred to the trust.)

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________
Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Company          ________________________________________
CUSIP or Certificate #    ________________________________________
# and type of shares       ________________________________________
Value                                     $ __________________

Total Bonds                                  $ __________________


Business Interests

(Ownership of business interests may generally be left by living trust, provided the assets have been effectively transferred to the trust.)

Individual Proprietorship
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Your net value                               $ __________________

Sole Proprietorship
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Your net value                               $ __________________

Interest in Partnership
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage interest    ________________________________________
Your net value                               $ __________________

Interest in Partnership
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage interest    ________________________________________
Your net value                               $ __________________

Close Corporation Interest
Name          ________________________________________
Location       ________________________________________
Type of business    ________________________________________
Gross value             $ _________________
Percentage shares held ________________________________________
Your net value                               $ __________________

Total Business Value    $ __________________


Real Estate

(Property owned individually or as tenants-in-common may be left by living trust, provided the assets have been effectively transferred to the trust.  Property held in joint tenancy or tenancy-by-entirety may not be left by living trust, unless it has first been transferred to ownership as tenants-in-common and then transformed to ownership by the trust.)

Personal Residence
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________
         
Vacation Home
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________
Vacant Land
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________

Income property
Location       ________________________________________
Value                $ _________________
How held and percent held? (Joint Tenants, Tenancy in Common, etc?)
______________________ / __________ %
Value of your share    $ __________________

Total Real Estate                               $ __________________


Personal Property

(Personal property owned individually or as a tenant-in-common may be left by living trust, provided the assets have been effectively transferred to the trust.  Patents, copyrights, and trademarks require special transfer forms.)

Car    $ __________________
Description       ________________________________________

Car   $ __________________
Description       ________________________________________

Boat/other vehicles    $ __________________
Description       ________________________________________

Household furnishings    $ __________________
Description       ________________________________________
________________________________________
________________________________________
________________________________________
________________________________________
________________________________________

Jewelry and furs    $ __________________
Description       ________________________________________

Artwork    $ __________________
Description       ________________________________________

Total Personal Property    $ __________________
Miscellaneous Assets

Royalties, Patents, Copyrights    $ __________________
Description       ________________________________________

Heirlooms    $ __________________
Description       ________________________________________
________________________________________
________________________________________
________________________________________
________________________________________

Other    $ __________________
Description       ________________________________________

Other    $ __________________
Description       ________________________________________

Total Miscellaneous    $ __________________


Employee Benefit and Pension/Profit-Sharing Plans

(Retirement benefits cannot be left by living trust)

Company       ________________________________________
Plan type       ________________________________________
Net value    $ __________________

Company       ________________________________________
Plan type      ________________________________________
Net value    $ __________________

Company      ________________________________________
Plan type       ________________________________________
Net value    $ __________________

Total Benefit Value    $ __________________


Total Assets

(Insert totals from previous pages)

Cash Total    $ __________________
Life Insurance Total    $ __________________
Accounts & Notes Total   $ __________________
Stocks Total    $ __________________
Bonds Total    $ __________________
Business Total    $ __________________
Real Estate Total    $ __________________
Personal Property Total    $ __________________
Miscellaneous Total    $ __________________
Pension Total    $ __________________

TOTAL ASSETS   $ __________________



What Are Your Liabilities?

Notes and Loans Payable

Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Notes and Loans Payable $ __________________


Accounts Payable

Payable to       ________________________________________
Address      ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Payable to      ________________________________________
Address       ________________________________________
Term _________________________       Interest rate ________________
Amount due    $ __________________

Total Accounts Payable    $ __________________
Mortgages Payable

Property location    ________________________________________
________________________________________
Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Property location    ________________________________________
________________________________________
Payable to       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Mortgages Payable    $ __________________


Taxes Due

Federal Income    $ __________________
State Income    $ __________________
Personal Property    $ __________________
Real Estate    $ __________________
Payroll    $ __________________
Other    $ __________________
Total Taxes Due    $ __________________


Credit Card Accounts

Credit Card Account    # ________________________________________
Credit Card Company   ________________________________________
Address          ________________________________________
Amount due    $ __________________

Credit Card Account    # ________________________________________
Credit Card Company   ________________________________________
Address          ________________________________________
Amount due     $ __________________

Total Credit Card Accounts Payable    $ __________________
Miscellaneous Liabilities

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

To whom due       ________________________________________
Address       ________________________________________
Term _________________________    Interest rate ________________
Amount due    $ __________________

Total Miscellaneous Liabilities    $ __________________


Total Liabilities

(Insert totals from previous pages)

Total Notes and Loans Payable    $ __________________
Total Accounts Payable    $ __________________
Total Mortgages Payable    $ __________________
Total Taxes Due    $ __________________
Total Credit Card Accounts    $ __________________
Total Miscellaneous Liabilities    $ __________________

TOTAL LIABILITIES    $ __________________


What Is the Net Worth of Your Estate?

TOTAL ASSETS    $ __________________

   minus (-)

TOTAL LIABILITIES    $ __________________

   equals (=)

YOUR TOTAL NET WORTH    $ __________________

Instructions for Beneficiary Questionnaire

In this section you will determine both who you would like your beneficiaries to be and what specific property you will leave to each beneficiary through your Living Trust.  There is an explanation of the various methods that you may use to leave gifts to your beneficiaries.  Finally, there is a Beneficiary Questionnaire which you will use to actually make the decisions regarding which beneficiaries will receive which property.

Who May Be a Beneficiary?

Any person or organization who receives property under a Living Trust is termed a beneficiary of that Living Trust.  Any person or organization you choose may receive property under your Living Trust.  This includes any family members, the named Successor Trustee, any illegitimate children (if named specifically), corporations, charities, creditors, debtors, any friends, acquaintances, or even strangers.

A few states also have restrictions on the right to leave property to charitable organizations and churches.  These restrictions are usually in two forms: a time limit prior to death when changes to a Living Trust which leave large amounts of money or property to a charitable organization are disallowed and also a percentage limit on the amount of a persons estate which may be left to a charitable organization (often a limit of 50 percent).  The reasoning behind this rule is to prevent abuse of a dying persons desire to be forgiven.  There have been, in the past,  unscrupulous individuals or organizations who have obtained last minute changes in a Living Trust in an attempt to have the bulk of a persons estate left to them or their group.  If you intend to leave large sums of money or property to a charitable organization or church, please check with an attorney in your area to see if there are any restrictions of this type in force in your state.  

Under this same category as to who may be a beneficiary under your Living Trust are issues related to marriage, divorce, and children.  First and foremost, you are advised to review your Living Trust periodically and make any necessary changes as your marital or family situation may dictate.  If you are divorced, married, remarried, or widowed, adopt, or have a child, there may be unforeseen consequences based on the way you have written your Living Trust.  Your Living Trust should be prepared with regard to how your life is presently arranged.  It should, however, always be reviewed and updated each time there is a substantial change in your life.


What Types of Gifts May You Make?

There are various standard terms and phrases that may be employed when making gifts under your Living Trust.  The Living Trust clauses which are employed in the form included in this kit incorporate these standard terms.  Using these standard phrases, you may make a gift of any property that is owned by the Living Trust at your death to any beneficiary whom you choose.  

A few types of gifts are possible but are not addressed in our Living Trusts forms.  Simple shared gifts (for example: “All my property to my children, Alice, Bill, and Carl, in equal shares”) are possible using our forms.  However, any complex shared gift arrangements will require the assistance of an attorney.  In addition, you may impose simple conditions on any gifts in Living Trusts prepared using our forms.  However, complex conditional gifts that impose detailed requirements that the beneficiary must comply with in order to receive the gift are also beyond the scope of our forms.  Finally, although it is possible to leave any gifts under your Living Trust in many types of additional complicated trusts, a simple trust for leaving gifts to children is the only trust available for Living Trusts prepared using our forms.  If you desire to leave property in trust to an adult or in a complex trust arrangement, you are advised to seek professional advice.  

The terms that you use to make any gifts can be any that you desire, as long as the gift is made in a clear and understandable manner.  Someone reading the Living Trust at a later date, perhaps even a stranger appointed by a court, must be able to determine exactly what property you intended to be a gift and exactly who it is you intended to receive it.  If you follow the few rules which follow regarding how to identify your gifts and beneficiaries, your intentions will be clear to whomever may need to interpret your Living Trust in the future:

1.   Always describe the property in as detailed and clear a manner as possible.  For example: do not simply state “my car;” instead state “a 1994 Buick Skylark, serial #123456789.”  Describe exactly what it is you wish for each beneficiary to receive.  You may make any type of gift that you wish, either a cash gift, a gift of a specific piece of personal property or real estate, or a specific share of your total trust estate (all of the property that has been effectively transferred to the trust).  If you wish to give some of your trust estate in the form of portions of the total, it is recommended to use fractional portions.  For example, if you wish to leave your trust estate in equal shares to two persons, use “One-half of my total trust estate to . . .” for each party.
 
2.   In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.

Always describe the beneficiaries is as precise and clear a manner as is possible. For example: do not simply state “my son;” instead state “my son, Robert Edward Smith, of Houston Texas.”  This is particularly important if the beneficiary is an adopted child.

3.   Never provide a gift to a group or class of people without specifically stating their individual names.  For example: do not simply state “my sisters;” instead state “my sister Katherine Mary Jones, my sister Elizabeth Anne Jones, and my sister Annette Josephine Jones.

4.   You may put simple conditions on the gift if they are reasonable and not immoral or illegal.  For example: you may say “This gift is to be used to purchase daycare equipment for the church nursery;” but you may not say “I give this gift to my sister only if she divorces her deadbeat husband Ralph Edwards.

5.   You should always provide for an alternate beneficiary for the purpose of allowing you to designate someone to receive the gift if your first choice to receive the gift dies before you do (or, in the case of a organization chosen as primary beneficiary, is no longer in business).  Your choice for alternate beneficiary may be one or more persons or an organization.  In addition, you may delete the alternate beneficiary choice and substitute the words “the residue” instead.  The result of this change will be that if your primary beneficiary dies before you do, your gift will pass under your residuary clause, which is discussed next.

6.   Although not a technical legal requirement, a residuary clause is included in the Living Trust form included below.  With it, you will choose the person, persons, or organization to receive anything not covered by other clauses of your Living Trust.  Even if you feel that you have given away everything that you own under other clauses of your Living Trust, this can be a very important clause.  

If, for any reason, any other gifts under your Living Trust are not able to be completed, this clause goes into effect.  For example, if a beneficiary refuses to accept your gift or the chosen beneficiary has died and no alternate was selected, or both the beneficiary and alternate have died, the gift is put back into your trust estate and would pass under the residuary clause.  If there is no residuary clause included in your Living Trust, any property not disposed of under your Living Trust could potentially be forfeited to the state.

In addition, you may use this clause to give all of your trust estate (except your specific gifts) to one or more persons.  For example: you make specific gifts of $1,000.00 to a sister and a car to a friend.  By then naming your spouse as the residuary clause beneficiary, you will have gifted everything in your trust estate to your spouse  except the $1,000.00 and the car.  You could then name your children, in equal shares, as the alternate residuary beneficiaries.  In this manner, if your spouse were to die first, your children would then equally share your entire estate  except the $1,000.00 and the car.

Be sure to clearly identify the beneficiary by full name.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,“my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.

7.   A survivorship clause should be included in every Living Trust.  This provides for a period of survival for any beneficiary.  For the Living Trust form in this kit, the period is set at 30 days.  The practical effect of this is to be certain that your property passes under your Living Trust and not that of a beneficiary who dies shortly after receiving your gift.

Without this clause in your Living Trust it would be possible that property would momentarily pass to a beneficiary under your Living Trust.  When that person dies (possibly immediately if a result of a common accident or disaster) your property could wind up being left to the person whom your beneficiary designated, rather than to your alternate beneficiary.

8.   Be sure to review your Living Trust each time there is a change in your family circumstances.

9.   Finally, property may be left to your children in trust using a Childrens Trust Clause.  You may delay the time when they will actually have unrestricted control over your gift.

If you state your gifts simply, clearly, and accurately, you can be assured that they will be able to be carried out after your death regardless of who may be required to interpret the language in your Living Trust.

Beneficiary Questionnaire

Who Will Receive Which of Your Assets?

Spouse

Spouse       
   Maiden name     
   Date of marriage    
   Date of birth     
   Address     
   Current income                                        $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Children

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income             $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Child    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Grandchildren

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    
Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Grandchild   
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Parents

Parent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Parent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Siblings

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    
Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Sibling    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Other Dependents

Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    
Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    

Other Dependent    
   Date of birth    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
      
   Alternate beneficiary    


Are There Any Other Relatives, Friends, or Organizations
to Whom You Wish to Leave Gifts?
Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    

Name    
   Relationship    
   Address    
      
   Spouses name (if any)    
   Current income    $ __________________
   Amount, specific items, or share of trust estate that you desire to leave    
      
   Alternate beneficiary    


Information for Successor Trustee

In this section, various information relating to the Successor Trustee of your Living Trust and the probate process is provided.  In many respects, your Successor Trustee will perform duties similar to those that a chosen executor would perform if property was left by a will.  Later in this section are various lists of duties that need to be performed by either your Successor Trustee or an executor of your will.  You may designate either or both to perform most of these duties.  However, the actual collection and distribution of your assets under the terms of your Living Trust must be handled by your Successor Trustee alone (or with the assistance of any attorney or other professional, if necessary).  The official duties of the Successor Trustee under the terms of the Living Trust cannot be delegated to someone else.  Many of the other duties that are listed at the end of this section can, however, be handled by other parties.

Overview of Probate Proceedings

Before actually planning your Living Trust, an overview of how the legal system operates after a persons death may be useful to keep in mind.  The system of court administration of the estates of deceased parties is generally entitled probate.  How to avoid the probate court was the subject of one of the first self-help law books to challenge the legal establishments monopoly on law.  Probate however, despite what many lawyers would have you believe, is not all that mysterious a matter.

Upon the death of a person who has left a will or a person who has not left a will, in most states there is a general sequence of events which takes place.  First, the executor appointed in the will (who, hopefully, has been notified of his or her duties in advance) locates the will and files it with the proper authority.  If necessary, the executor arranges for the funeral and burial.  A lawyer is most often hired to handle the probate proceeding.  Upon presenting the will to the probate court, the will is proved, which means that it is determined whether or not the document presented is actually the deceaseds will.  This may be done in most states with a “Self-Proving Affidavit” which is prepared and notarized at the time your will is signed or it is done with the actual testimony of those people who witnessed the signing of the will.

Upon proof that it is a valid will, the executor is officially given legal authority to gather together all of the estates property.  This authority for the executor to administer the estate is generally referred to as letters testamentary.  The probate court also officially appoints the parties who are designated as guardians of any minor children and any trustees.  If no executor was chosen in the will, or if the one chosen cannot serve, the probate court will appoint one.  The order of preference for appointment is commonly as follows: surviving spouse, next of kin, a person having an interest in the estate or claims against the estate.

If the will is shown to be invalid, or if there is no will, the same sequence of events generally is followed.  However, in this case, the party appointed to administer the estate is usually titled an administrator of the estate rather than an executor.  The court orders granting authority to an administrator are generally referred to as letters of administration.

After the executor or administrator is given authority, he or she handles the collection of assets, the management of the estate, the arrangement of any necessary appraisals, and the payment of any debts and taxes until such time as all creditors claims have been satisfied and other business of the estate completed.  An inventory of all of the assets is typically the first official act of an executor.  Creditors, by the way, only have a certain time period in which to make a claim against an estate.  The same holds true for any contests of the will (challenges to the validity of a will).  Contesting a will is a fairly rare occurrence and is most difficult if the will was properly prepared and signed by a competent, sane adult.

The executor will generally also be empowered under state law to provide an allowance for the surviving spouse and children until such time as all affairs of the deceased person are completed and the estate is closed.

Upon completion of all business and payment of all outstanding charges against the estate, an accounting and inventory of the estates assets are then presented to the probate court by the executor.  At this time, if everything appears to be in order, the executor is generally empowered to distribute all of the remaining property to the persons or organizations named in the will and probate is officially closed.  The entire probate process generally takes from six to 18 months to complete.  The distribution of your property and money is usually handled solely by the executor (with a lawyers help to be certain that all legal requirements are fulfilled).

Upon the death of a person who has signed a valid Living Trust, there is a slightly different sequence of events which takes place.  First, the Successor Trustee appointed in the Living Trust (who, hopefully, has been notified of his or her duties in advance) locates the Living Trust.  The Successor Trustee has the immediate legal authority to gather together all of the estates property.  This authority for the Successor Trustee to administer the estate is provided for in the terms of the Trust itself and does not have to be granted by a probate court.

The Successor Trustee handles the collection of assets, management of the estate, and payment of any debts and taxes until such time as all creditors claims have been satisfied and other business of the estate completed.  An inventory of all of the assets is typically the first official act of an Successor Trustee.  The Successor Trustee is then generally empowered to distribute all of the remaining property to the persons or organizations named in the Living Trust, without any court proceeding of any kind.

If your assets are distributed under a probate proceeding, the entire probate process generally takes from six to 18 months to complete, and may take much longer.  If your property is distributed under a probate proceeding, court approval of all aspects of the disbursement must normally be obtained, which is a cumbersome and very time-consuming requirement for your executor that will almost always require the help of an attorney.  Under a Living Trust, the distribution of your property and money is usually handled solely by the Successor Trustee.  This is done without court approval of the disbursement and will most likely not require the assistance of an attorney.


Choosing a Successor Trustee

Your choice of who should be your Successor Trustee is a personal decision.  A spouse, sibling, or other trusted party is usually chosen to act as Successor Trustee, although a bank officer, accountant, or attorney may also be chosen.  The person chosen should be someone you trust and someone whom you feel can handle or at least efficiently delegate the complicated tasks of making an inventory of all of your property and distributing it to your chosen beneficiaries.  The person chosen should be a resident of the state in which you currently reside.  In addition, all states require that Successor Trustees be competent, of legal age, and a citizen of the U.S.  (Please see the State Law Digest for specific requirements in your state).  It is generally not wise to appoint two or more persons as co-Successor Trustees.  It is preferable to appoint your first choice as primary Successor Trustee and the other person as alternate Successor Trustee.

In your Living Trust, you will grant the Successor Trustee broad powers to manage your estate and also provide that he or she not be required to post a bond in order to be appointed to serve as Successor Trustee.  This provision can save your estate considerable money, depending upon its size.  The fees for Successor Trustee bonds are based upon the size of the estate and can amount to hundreds of dollars every year that your estate is being managed.  By waiving this bond requirement, these potential bond fees can be eliminated and the money saved passed on to your beneficiaries.

You should discuss your choice with the person chosen to be certain that they will be willing to act as Successor Trustee.  In addition, it is wise to provide your Successor Trustee, in advance, with a copy of the Living Trust, as well as a copy of all information compiled in this kit.


Affidavit of Assumption of Duties by Successor Trustee

Upon your death, under the terms of the Living Trust, your Successor Trustee is automatically authorized to take over the administration and distribution of the trust assets.  No court proceedings are necessary to officially authorize the Successor Trustee to begin to manage the Trust.  However, some banks, real estate companies, or other financial institutions may require an Affidavit signed by the Successor Trustee that states that he or she has officially assumed the duties and responsibilities of acting as the Successor Trustee.  (A form for this document is included later in this kit).  You may wish to leave a completed, but unsigned copy of this form with the copy of the Living Trust that you provide to your Successor Trustee so that he or she may complete the form quickly and easily upon your demise.


Successor Trustee Duties Checklist Instructions

Provided on the following pages is a checklist of items that your Successor Trustee may have to deal with after your death.  Although this list is extensive, there may be other personal tasks that are not included.  Scanning this list can give you an idea of the scope and range of the Successor Trustees duties.  You can provide invaluable assistance to your Successor Trustee by being aware of their duties and providing them with information to help them.  

This listing is divided into two time periods, immediate and first month.  These time periods are approximations and many of the duties may be required to be performed either before or after the exact time specified.  All of the immediate and first month duties can be delegated to others.  The duties in the Financial listing cannot be delegated to others, although your Successor Trustee may use the assistance of professionals, such as accountants, appraisers, or lawyers, if necessary.

Successor Trustee Duties Checklists

Immediate Successor Trustee Duties

?   Contact cemetery regarding burial or cremation

?   Contact local newspaper with obituary information

?   Contact relatives and close friends

?   Contact employer and business associates

?   Contact lawyer and accountant

?   Arrange for pallbearers

?   Arrange for immediate care of decedents children

?   Arrange for living expenses for decedents spouse

?   Contact mortuary or funeral home regarding services

?   Contact veterans organizations


Successor Trustee Duties within First Month

?   Contact general insurance agent

?   Contact medical and health insurance companies

?   Contact Medicare

?   Contact union regarding pensions and death benefits

?   Contact employer regarding pensions and death benefits
?   Contact life insurance agent and report death

?   Contact Social Security Administration

?   Obtain death certificates from attending physician

?   Contact IRA or KEOGH account trustees

?   Contact county recorder

?   Contact post office

?   Contact military regarding pensions and death benefits

?   Contact Department of Motor Vehicles

?   Arrange for management of business or real estate holdings

?   Review all of decedents records and legal documents

?   Contact gas, telephone, electric, trash, and water companies

?   Contact newspaper and magazine subscription departments

?   Contact credit card companies


Successor Trustee Financial Duties
(These cannot be delegated.)

?   Begin inventory of assets

?   Arrange for appraisal of assets

?   Begin collection of assets

?   Contact banks, savings and loans, and credit unions

?   Contact mortgage companies

?   Contact stockbroker and investment counselor

?   Open bank accounts for trust

?   Open decedents safe deposit box

?   Inventory all trust assets

?   Collect all monies and property due to decedent

?   Pay all taxes due and file all necessary tax returns

?   Provide notice to all creditors

?   Pay all debts and expenses of decedent, including funeral expenses

?   Arrange for sale of trust assets, if necessary

?   Distribute all remaining assets according to Living Trust

?   Close trust books and affairs


Note Regarding Successor Trustee Information List

The following listing will provide your Successor Trustee with valuable information that will make performance of his or her difficult task much easier.  Included in this questionnaire is information relating to the location of your records, any funeral or burial arrangements that you have made, lists of important persons that the Successor Trustee will need to contact after your death, and information that will assist your Successor Trustee in preparing any obituary listing.  It may be very difficult to confront the need for this information.  Please take the time to provide this valuable record of information for your Successor Trustee.  After your death, they may be under tremendous emotional stress and this information will help them perform their necessary duties with the least difficulty.  You will probably wish to give this information list and a copy
of your Living Trust to the person whom you have chosen as your Successor Trustee.

Successor Trustee Information List

Location of Records

   Original of will    
   Original of codicil    
   Trust documents    
   Safe deposit box and key    
   Bankbook and savings passbook    
   Treasury bills and certificates of deposit    
   Social Security records    
   Real estate deeds and mortgage documents    
   Veterans information    
   Stock certificates and bonds    
   Promissory notes and loan documents    
   Business records    
   Partnership records    
   Corporation records    
   Automobile titles    
   Income tax records    
   Credit card records    
   Birth certificate    
   Warranties    
   Other important papers    
      


Funeral or Cremation Arrangements

   Name of mortuary, funeral service, or crematorium    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      

   Name of cemetery    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      
      
   Location of memorial or church service    
   Name of person contacted    
   Phone    
   Address    
      
   Arrangements made    
      
      


Persons to Contact

   Clergy    
   Address    
   City, State, Zip    
   Phone    

   Lawyer    
   Address    
   City, State, Zip    
   Phone    

   Accountant    
   Address    
   City, State, Zip    
   Phone    

   Life insurance agent    
   Address    
   City, State, Zip    
   Phone    

   General insurance agent    
   Address    
   City, State, Zip    
   Phone    

   Employer    
   Address    
   City, State, Zip    
   Phone    
   Military unit    
   Address    
   City, State, Zip    
   Phone    

Relatives to Contact

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    

   Relative name    
   Address    
   City, State, Zip    
   Phone    


Friends to Contact

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
   Address    
   City, State, Zip    
   Phone    

   Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    

Friend name    
Address    
City, State, Zip    
Phone    
Newspaper Obituary Information

   Name    
   Date of birth    
   Place of birth    
   Current residence    
   Former residence    
   Occupation    
      
   Education    
      
   Military service    
      
   Club, union, civic, or fraternal organizations    
      
      
   Special achievements    
      
      
      
      
   Survivors    
      
      
      
      
      
   Date of death    
   Place of service    
      
   Date of service    
   Time of service    
   Memorial contribution preference    
      
      

Instructions for Affidavit of Assumption of Duties by Successor Trustee

This document may be used if your Successor Trustee is having any difficulty with a business or financial institution accepting his or her authority to act on behalf of the Trust.  Some may insist on written verification that states that the Successor Trustee actually has the power to act on behalf of the Trust.  If this is the case, this form should satisfy those institutions or businesses.  The Successor Trustee will need to attach a certified copy of the grantors death certificate to this form.

1.   Date of Affidavit, and
   Full name of Successor Trustee.
2.   Date of creation of Living Trust,
   Full name of grantor,
   Name of Living Trust, and
   Full name of Successor Trustee.
3.   Date of death of grantor, and
   Name of grantor.
4.   No information needed.
5.   Your signature and printed name (do not sign unless in front of a notary public).
6.   The Notary Acknowledgment section (to be completed by notary public).

Affidavit of Assumption of Duties
by Successor Trustee


1.   On this date, __________________________, I, ______________________________,  being of legal age and being duly sworn, declare the following:


2.   On the date of __________________________, the grantor, ________________________ ______________, created the _______________________________________________ Living Trust.  The Living Trust provides that upon the death of the grantor, I, ______________________________________, become Trustee of the Trust.

3.   On the date of __________________________, the grantor, ________________________ ______________, died, as established in the certified copy of the Certificate of Death, which is attached to this Affidavit.

4.   I hereby accept the office of Trustee of the Trust, and am now acting as Trustee of the Trust.
5.
______________________________
Signature of Trustee
______________________________
Printed Name of Trustee

6.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he or she is the person described in the above document and he or she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________


General Instructions for Preparing Joint Living Trust Form

Title Section

Title Clause:  The title is mandatory for all Living Trusts.  Fill in the name blank with your full legal name (such as the “Andrea Ann Doria Living Trust”).  If you have been known under more than one name, use only your principal name.  If you are completing a joint Living Trust as a husband and wife, you should name the trust under your joint names (such as the “Andrea Ann Doria and Peter William Doria Living Trust”).

Declaration of Trust Section

Identification and Date Clause:  The identification clause is mandatory and must be included in all Living Trusts.  In the first blank, include any other names which you are known by.  Do this by adding the phrase: “also known as” after your principal full name.  For example: “John James Smith, also known as Jimmy John Smith.”  In the spaces provided for your residence, use the location of your principal residence; that is, where you currently live permanently.  If you are completing a joint Living Trust as a husband and wife, fill in both of your full names in the spaces provided.  Fill in the date when you wish the Living Trust to take effect.

Name of Trust Clause:  Fill in your own name prior to the title of the trust (for example: “The John Smith Living Trust”).  If you are completing a joint Living Trust as a husband and wife, fill in both of your full names in the spaces provided.

Marital and Parental Status Clause:  Depending upon your current marital and parental status you will choose one of the following clauses.  If you have children, list the appropriate information for each child.  This clause should be included in your Living Trust after the phrase “My marital status is that…:
   I am single and have no children.
   I am currently married to [name of spouse] and we have no children.
   I was previously married to [name of spouse] and that marriage ended on [date] by [death, divorce, or annulment] and we had no children.
   I am single and have [number] child[ren] currently living.  Their names and dates of birth are:
   I am currently married to [name of spouse] and we have [number] child[ren] currently living.  Their names and dates of birth are:
   I was previously married to [name of spouse] and that marriage ended on [date] by [death, divorce, or annulment] and we have [number] child[ren] currently living.  Their names and dates of birth are:

Trusteeship Clause: Under this clause, you declare that you will act as the Trustee of the Trust and any subtrusts which may be created by the Trust (such as a Childrens Trust).  In addition, if you are completing a joint Living Trust as a husband and wife, there is an additional clause under this section which states that each of you will have the right to act as Trustee of the trust and any subtrusts (for example: a Childrens Trust) while you are both alive.  Upon the death of either spouse, the surviving spouse will act as Trustee.

Property Transfer Section

No additional information need be filled-in in this section.  This section of your trust provides that you are transferring ownership of all of the property listed on your Schedule of Assets of Living Trust to the trust itself.  You are also reserving the right to make any changes to your Schedule of Assets at any time, as long as they are in writing, notarized, and attached to the trust.  You are also agreeing to prepare any additional paperwork that may be necessary to complete any such transfers of ownership, such as completing a deed or title transfer if necessary.

If you are completing a joint Living Trust as a husband and wife, you are agreeing to transfer the property listed on your own individual Schedule of Assets of Joint Living Trust.  It is also noted that the property that each of you transfer as “separate” property will retain its character as “separate” property even after transfer to the trust.

Grantors Rights Section

No additional information need be filled-in for this section.  Under this section, you retain full lifetime control of all of the trusts assets that you have transferred in the above section (and by other transfer documents, if necessary).  Regarding your home, you specifically state that you retain the right of possession for your entire life and that any transfer to the trust does not interfere with any rights to homestead exemptions that you may have under state law.  If you are completing a joint Living Trust as a husband and wife, each of you will have such rights as long as each of you is alive.

Successor Trustee Section

With this clause, you will make your choice of Successor Trustee and alternative Successor Trustee, the persons who will administer and distribute your trust assets upon your death or who will take over the management of your trust upon your incapacitation.  You also provide that any such incapacitation be certified by a physician before the Successor Trustee may assume management of your trust.  The chosen alternate Successor Trustee will assume the powers of the Trustee only if the Successor Trustee that you have chosen is not surviving or is otherwise unable to serve.  A spouse, sibling, or other trusted party is usually chosen to act as Successor Trustee.  The person chosen should be a resident of the state in which you currently reside.  You also provide that he or she not be required to post a bond in order to be appointed to serve as Successor Trustee and that he or she will not be compensated for their service as Trustee.  Finally, you note that any reference to “trustee” in your document also refers to the Successor or alternative Successor Trustee.  Be sure to clearly identify the Successor Trustee and alternate Successor Trustee by full name and address.

Trustees Powers Section

In this section, no additional information needs to be filled-in and you grant any Trustee broad powers to manage your trust assets.  The powers are granted without court supervision and without oversight by anyone else.  The powers granted are the same power and authority as an individual person has over their own property.

Additional Trustee Powers Section

No additional information need be filled-in in this section.  This section provides a detailed enumeration of the powers that are granted to the Trustee.  Although in the previous section you granted any powers granted by law, many businesses and financial institutions require that a trustees actual power to perform a specific act be spelled-out in a trust document.  As you can see, the powers granted to the trustee are very extensive and approximate the power that an individual would have over his or her property.

Incapacitation Section

No additional information needs to be filled-in for this section.  This section goes into effect in the event that a grantor becomes incapacitated during his or her lifetime.  This incapacitation must be certified by a physician, as noted in the Successor Trustee section above.  In this event, the Successor Trustee is bound to manage the Trust solely for the benefit of the grantor and in accordance with the grantors accustomed manner of living.  Thus, any beneficiaries of the trust cannot demand that the Successor Trustee stop spending trust assets to care for an incapacitated grantor and save the trust assets for them.

Childrens Trust Fund Section

This clause will only be present in the Living Trusts which relate to children.  It is with this clause that you may set up a Trust Fund for any gifts you have made to your minor children.  You also may delay the time when they will actually have unrestricted control over your gift.  It is not recommended, however, to attempt to delay receipt of control beyond the age of 35.

In this section, you will fill in two ages.  First, you will select an age that a child must be under for the Childrens Trust section to take effect.  You may desire the gifts under the main Trust to be held in the Childrens Trust for any child under the age of, say, 30 years of age.  Then you will also select an age when the Childrens Trust will terminate and the then-adult will receive the property with no restrictions, for example, 35 years of age.  The ages that you select may be any reasonable age.

The terms of the trust provide that the trustee may distribute any or all of the income or principal to the children as he or she deems necessary to provide for their health, support, and education.  The trust will terminate when either the specific age is reached, all of the money is spent prior to that age, or the child dies prematurely.  Upon termination, any remaining trust funds will be distributed to the child (beneficiary), if surviving.  If the child is not surviving at the age when the trust is to terminate, the trust funds will be distributed to the heirs of the beneficiary (if there are any).  If there are none, then the trust funds remaining will revert back to the residue of your trust (as noted on your Schedule of Beneficiaries of Living Trust) and be distributed accordingly.  Additionally, since the Trustee of the Childrens Trust is the same person who is Successor Trustee, you have already granted the Trustee broad powers to manage the trust and also provided that he or she not be required to post a bond nor allowed compensation for services rendered.

Termination of Trust Section

This section provides that the Trust shall become irrevocable upon the death of the grantor.  Upon that event, the Successor Trustee will then be empowered to pay all of the valid debts, last expenses, and taxes of the grantor and then distribute the trust assets as specified on the Schedule of Beneficiaries of Living Trust.  It is also noted in any of the Trusts which contain a Childrens Trust that any such distributions to beneficiaries are subject to the terms of the Childrens Trust.  This section also provides that the Schedule of Beneficiaries may be amended at any time (before it becomes irrevocable) by a written, notarized amendment which is attached to the Trust.

If you are completing a Joint Living Trust as a husband and wife, this section provides that upon the death of the first spouse to die, the Trustee (who will generally be the surviving spouse) shall pay all of the valid debts, last expenses, and taxes of the deceased spouse and then distribute the trust assets as specified on the deceased spouses Schedule of Beneficiaries of Joint Living Trust.  The Trust will become irrevocable upon the death of the surviving spouse, and in that event, the Successor Trustee will then be empowered to pay all of the valid debts, last expenses, and taxes of the grantor and then distribute the trust assets as specified on the Schedule of Beneficiaries of Joint Living Trust of the final spouse to die.

Survivorship Section

This clause is included in every Living Trust.  This clause provides for two possibilities.  First, it provides for a required period of survival for any beneficiary to receive a gift under your Living Trust.  The practical effect of this is to be certain that your property passes under your Living Trust and not that of a beneficiary who dies shortly after receiving your gift.  The second portion of this clause provides for a determination of how your property should pass in the eventuality that both you and a beneficiary (most likely your spouse) should die in a manner that makes it impossible to determine who died first.

Without this clause in your Living Trust it would be possible that property would momentarily pass to a beneficiary under your Living Trust.  When that person dies (possibly immediately if a result of a common accident or disaster) your property could wind up being left to the person whom your beneficiary designated, rather than to your alternate beneficiary.  If you and your spouse are both preparing individual Living Trusts, it is a good idea to be certain that each of your Living Trusts contains identical survivorship clauses.  If you are each others primary beneficiary, it is also wise to attempt to coordinate who your alternate beneficiaries may be in
the event of a simultaneous death.

Amendments and Revocations Section

This form of trust reserves the right to allow you to cancel (revoke) or amend this trust or any of the schedules at any time.  However, any changes (amendments) must be in writing, notarized, and attached to the original trust document to be valid.  If you are completing a Joint Living Trust as a husband and wife, you agree that while both of you are still alive, you will only have the right to jointly amend the Trust.  However, a surviving spouse will have the right to individually amend the trust.  In addition, you will agree that either spouse will have the right to unilaterally revoke the Living Trust.  You will also have the right to jointly revoke the Trust at any time.

Governing Law Section

You will fill in the number of pages, including all schedules, and the state of your legal residence where indicated after you have properly typed or had your Living Trust typed.  The laws of the state of your principal residence will govern any questions regarding the operation of the trust or the actions of any trustee.

Signature Section

The signature lines of your Living Trust will be completed in front of a notary public.  Please see “Completing Your Living Trust,” below.

Notary Acknowledgment Section

This section will be completed by a notary public.  Please see “Completing Your Living Trust,” below.


Completing Your Schedule of Assets of Living Trust Form(s)

On this form, you will include a listing of all of the property that you wish to transfer into the trust.  This document should be attached to the Living Trust when completed.  It is relatively simple to complete.  Simply fill in the title information (name and date of trust) and then carefully list the property that you have chosen to include in the trust.

Please refer to your Property Questionnaire to be certain that you include all of the property that you desire to be held in trust.

Always describe the property in as detailed and clear a manner as possible.  For example: do not simply state “my car,” instead state “a 1994 Buick Skylark, serial #123456789.”  In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.

(Note for married couples completing Joint Living Trust: You will each complete a separate  schedule of Assets of Living Trust form.  On each of these forms, you will note which shared property you wish to add to the trust and which separately-owned property you wish to transfer to the trust.  Please refer back to your completed Property Questionnaire and the attached discussion regarding common-law and community property to complete this form.)


Very Important Note: If the particular asset that you list on this Schedule has any type of ownership document, such as a title, deed, stock certificate, or similar document, you must also transfer the ownership of the asset to the trust by completing a new deed, title, or other transfer paperwork.  Simply listing the asset on this form does not transfer it to the trust if an ownership document is required.  For those items of personal property for which no such ownership document exists (such as a stereo system, appliances, antiques, etc.), the listing on the Schedule of Assets of Living Trust will effectively transfer the ownership to the Trust.


This Schedule of Assets will become a part of the Living Trust.  It should be stapled to the original of the trust document.  Any time that any changes are made to the assets that are to be included in the Living Trust, this schedule must be changed and an Amendment to Living Trust form should be filled out.  (Forms and instructions for amending your living trust are available at www.findlegalforms.com ).


Completing Your Schedule of Beneficiaries of Living Trust Form(s)

Using this form, you will direct how your property will be distributed by your Successor Trustee upon your death.  You will select your beneficiaries, alternate beneficiaries, and the property that each of them will receive.  You may wish to refer back to your Beneficiary Questionnaire to prepare this form.  The information that you compiled for that Questionnaire will be your guide for preparing your Living Trust, both in terms of being certain that you have disposed of all of your Trust assets, and in terms of being certain that you have left gifts to all those persons or organizations that you wished to.  Using the clauses in this section, you will be able to prepare a Living Trust in which you may:

   Make specific gifts of cash, real estate, or personal property to anyone
   Make specific gifts of certain shares of your trust assets
   Make a gift of the rest (residue) of your assets to anyone

Specific Gifts Clause: Use this type of clause to provide specific gifts to your beneficiaries.  If chosen, add this clause or clauses after the phrase “Upon the death of the grantor of the trust and the payment of all debts, taxes, and liabilities of the grantee, the Successor Trustee shall then distribute the remaining assets of the trust as follows:

To my [relationship], [name of beneficiary], or if not surviving, to my [relationship],
[name of alternate beneficiary], the following trust assets shall be distributed:
For making specific gifts, use as many of the “To my” paragraphs as is necessary to complete your chosen gifts.  In these paragraphs, you may make any type of gift that you wish, either a cash gift, a gift of a specific piece of personal property or real estate, or a specific share of your total trust estate.  If you wish to give some of your trust estate in the form of portions of the total, it is recommended to use fractional portions.  For example, if you wish to leave your trust estate in equal shares to two persons, name both parties after “To my” and state “one-half of my total trust estate to each party.

Although the Living Trust form in this kit does not contain a specific clause which states that you give one person your entire trust estate, you may make such a gift using this clause by simply stating after “The following trust assets shall be distributed:

“My entire trust estate

Be sure that you do not attempt to give any other gifts.  However, you should still include the residuary clause in your Living Trust, which is explained on the following pages.

You may only give away property that the trust itself owns.  Be certain that any property included in any of the gift clauses is also included on your Schedule of Assets and has been effectively transferred to the Trust.  In your description of the property, you should be as specific and precise as possible.  For land, it is suggested that you use the description exactly as shown on the deed to the property.  For personal property, be certain that your description clearly differentiates your gift from any other property.  For example: “The blue velvet coat which was a gift from my brother John.”  Use serial numbers, colors, or any other descriptive words to clearly indicate the exact nature of the gift.  For cash gifts, specifically indicate the amount of the gift.  For gifts of securities, state the amount of shares and the name of the company.  You may add simple conditions to the gifts that you make, if you desire.  For example: You may state “$1,000.00 to the Centerville Church for use in purchasing a new roof for the church.”  Complex conditions, however, are not possible in this clause, and immoral or illegal conditions are not acceptable.

Be sure to clearly identify the beneficiary and alternate beneficiary by full name.  You can also name joint beneficiaries, such as several children, if you choose.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,“my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.

The choice of alternate beneficiary is for the purpose of allowing you to designate someone to receive the gift if your first choice to receive the gift dies before you do (or, in the case of a organization chosen as primary beneficiary, is no longer in business).  In this or any of the other gift clauses, your choice for alternate beneficiary may be one or more persons or an organization.  It is recommended to always specifically name your beneficiary(s), rather than using a description only, such as “my children.”  In addition, you may delete the alternate beneficiary choice and substitute the words “the residue” instead.  The result of this change will be that if your primary beneficiary dies before you do, your gift will pass under your residuary clause, which is discussed below.  If additional gifts are desired, simply photocopy an additional page.

Residuary Clause: Although not a technical legal requirement, a residuary clause is included in the attached Living Trust form.  With it, you will choose the person, persons, or organization to receive anything not covered by other clauses of your Living Trust.  Even if you feel that you have given away everything that your trust owns under other clauses of your Living Trust, this can be a very important clause.

If, for any reason, any other gifts under your Living Trust are not able to completed, this clause goes into effect.  For example, if a beneficiary refuses to accept your gift or the chosen beneficiary has died and no alternate was selected or both the beneficiary and alternate has died, the gift is put back into your trust estate and will pass under the residuary clause.  If there is no residuary clause included, any property not disposed of could potentially be forfeited to the state.

In addition, you may use this clause to give all of your estate (except your specific gifts) to one or more persons.  For example: you make specific gifts of $1,000.00 to a sister and a car to a friend.  By then naming your spouse as the residuary clause beneficiary, you will have gifted everything in your trust estate to your spouse - except the $1,000.00 and the car.  You could then name your children, in equal shares, as the alternate residuary beneficiaries.  In this manner, if your spouse were to die first, your children would then equally share your entire trust estate - except the $1,000.00 and the car.

Be sure to clearly identify the beneficiary by full name.  The space provided for an identification of the relationship of the beneficiary can be simply a descriptive phrase like “my wife,” or “my brother-in-law,” or “my best friend.”  It does not mean that the beneficiary must be related to you personally.


Finishing Your Living Trust Forms

After you have filled in all of the appropriate information, carefully re-read your entire Living Trust and your Schedules of Assets and Beneficiaries.  Be certain that they contain all of the correct information that you desire.  Then starting at the beginning of the Living Trust forms, delete any of the words and phrases in the Living Trust forms that do not apply in your situation.  After all of the extraneous information has been deleted, look over the attached sample Living Trust to see how a completed Living Trust should look. Then proceed to the section entitled “Completing Your Living Trust” for instructions on printing and final preparation of your Living Trust.


Instructions for Joint Living Trust of Married Couple with Childrens Trust included

This Living Trust is appropriate for use by a married couple with one or more minor children, and the married couple desire to jointly enter into a Living Trust and place the property and assets which may be left to their child(ren) in a trust fund.

Fill in each of the appropriate blanks in this particular Living Trust, a Schedule of Assets of Joint Living Trust for Husband, a Schedule of Assets of Joint Living Trust for Wife, and a Joint Schedule of Beneficiaries of Joint Living Trust using the information which you included in your Property and Beneficiary Questionnaires.  Please note that each spouse must complete a separate Schedule of Assets.  Delete any information that is not appropriate to your situation.  You will then complete the preparation of all your forms following the instructions later in this kit.

To complete this form, you will need the following information:

1.   The name of the Living Trust (generally, both of your full names will be the name of the trust, such as the “Gwendolyn Smith and Robert Smith Living Trust”).
2.   Both of your complete names,The date on which you wish the Living Trust to take effect,The name of the Living Trust,Both of your complete names, andYour marital status and the names of any children (instructions above for the correct phrase).
3.   No information needed.
4.   No information needed.
5.   No information needed.
6.   The names and addresses of your chosen Successor Trustee and Alternative Successor Trustee.
7.   No information needed.
8.   No information needed.
9A.The age of your child(ren) under which you wish the Childrens Trust to take effect,
   and the age of each child when the Childrens Trust will terminate.
9B. No information needed.
10.   No information needed.
11.   No information needed.
12.   No information needed.
13.   The number of pages of the Living Trust, including schedules, andThe state of your legal residence.
14.   Your signatures and printed names (do not sign unless in front of a notary public).
15.   The Notary Acknowledgment section (to be completed by notary public).



Joint Living Trust of Married Couple
with Childrens Trust Included
1.   Title

   LIVING TRUST OF ___________________________________________________ and ___________________________________________________

2   Declaration of Trust

   We, ______________________________ and ______________________________,the grantors of this trust, declare and make this Living Trust on _________________ (date).

   This trust will be known as the ________________________________________ and___________________________________________ Living Trust.

We, ______________________________ and ______________________________, will be trustees of this trust and any subtrusts created under this trust.  Either trustee may act for and represent the trust in any transaction.  Upon the death of either trustee, the surviving grantor shall serve as sole trustee of this trust.

   Our marital status is that ________________________________________________.

3.   Property Transfer

The husband transfers his ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Joint Living Trust for Husband, which is specifically made a part of this trust.  The property listed on the Schedule of Assets of Joint Living Trust for Husband shall retain its character as the shared or separate property of the Husband.  The wife also transfers her ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Joint Living Trust for Wife, which is specifically made a part of this trust.  The property listed on the Schedule of Assets of Joint Living Trust for Wife shall retain its character as the shared or separate property of the Wife.  We reserve the right to add or delete any of these assets at any time.  In addition, we will prepare a separate Deed, Assignment, or any other documents necessary to carry out such transfers.  Any additions or deletions to any of the Schedules of Assets of Living Trust must be written, notarized, and attached to this document to be valid.

4.   Grantors Rights

As long as we are both alive, we retain all rights to all income, profits, and control of the shared property listed on the attached Schedule of Assets of Joint Living Trust for Husband and Schedule of Assets of Joint Living Trust for Wife.  As long as the Husband is alive, he shall retain all rights to all income, profits, and control of the separate property listed on Schedule of Assets of Joint Living Trust for Husband.  As long as the Wife is alive, she shall retain all rights to all income, profits, and control of the separate property listed on Schedule of Assets of Joint Living Trust for Wife.  If our principal residence is transferred to this trust, we retain the right to possess and occupy it for our lives, rent-free, and without charge.  We will remain liable for all taxes, insurance, maintenance, related costs, and expenses.  The rights that we retain are intended to give us a beneficial interest in our principal residence such that we do not lose any eligibility that we may have for a state homestead exemption for which we are otherwise qualified.

5.   Successor Trustee

Upon the death of the surviving grantor or if it is certified by a licensed physician that either the sole surviving grantor or both grantors are physically or mentally unable to manage this trust and his or her financial affairs, then we appoint ________________ ___________________ (name), of _______________________________________ _________________________ (address), as Successor Trustee of this trust and any subtrusts created by this trust, to serve without bond and without compensation.  If this successor trustee is not surviving or otherwise unable to serve, we appoint _____ ___________________ (name), of ________________________________________ _________________________ (address), as Alternate Successor Trustee, also to serve without bond and without compensation.  The successor trustee or alternative successor trustee shall not be liable for any actions taken in good faith.  References to “trustee” in this document shall include any successor or alternative successor trustees.

6.   Trustees Powers

In addition to any powers, authority, and discretion granted by law, we grant the trustee any and all powers to perform any acts, in his or her sole discretion and without court approval, for the management and distribution of this trust and any subtrusts created by this trust.  We intend the trustee to have the same power and authority to manage and distribute the trust assets as an individual owner has over his or her own wholly-owned property.

7.   Additional Trustee Powers

The trustees powers include, but are not limited to: the power to sell trust property, borrow money, and encumber that property, specifically including trust real estate, by mortgage, deed of trust, or other method; the power to manage trust real estate as if the trustee were the absolute owner of it, including the power to lease or grant options to lease the property, make repairs or alterations, and insure against loss; the power to sell or grant options for the sale or exchange of any trust property, including stocks, bonds, and any other form of security; the power to invest trust property in property of any kind, including but not limited to bonds, notes, mortgages, and stocks; the power to receive additional property from any source and add to any trust created by this trust; the power to employ and pay reasonable fees to accountants, lawyers, or investment consultants for information or advice relating to the trust; the power to deposit and hold trust funds in both interest-bearing and non-interest-bearing accounts; the power to deposit funds in bank or other accounts uninsured by FDIC coverage; the power to enter into electronic fund transfer or safe deposit arrangements with financial institutions; the power to continue any business of the grantor; the power to institute or defend legal actions concerning the trust or grantors affairs; and the power to execute any document necessary to administer any childrens trust created in this trust.

8.   Incapacitation

   Should the successor trustee or alternative successor trustee assume management of this trust during the lifetime of the grantor(s), the successor trustee or alternative successor trustee shall manage the trust solely for the proper health care, support, maintenance, comfort, and/or welfare of the grantor(s), in accordance with the grantors accustomed manner of living.

9.   Childrens Trust Fund

   A.     If any of our children who are named as beneficiaries on the attached Joint Schedule of Beneficiaries of Joint Living Trust are under _________________ years old on the death of the surviving grantor, we direct that any property that we give them under this trust be held in an individual childrens trust for each child under the following terms, until each shall reach the age of _________________ years old.

B.   In the trustees sole discretion, the trustee may distribute any or all of the principal, income, or both as deemed necessary for the beneficiarys health, support, welfare, and education.  Any income not distributed shall be added to the trust principal.  Any such trust shall terminate when the beneficiary reaches the required age, dies prior to reaching the required age, or all trust funds have been distributed.  Upon termination, any remaining undistributed principal and income shall pass to the beneficiary; or if not surviving, to the beneficiarys heirs; or if none, to the residue of the main trust created by this document.

10.   Termination of Trust

Upon the death of the first grantor to die, the trustee shall pay from the assets of the trust all valid debts, last expenses, and estate taxes due upon the death of the first grantor to die.  The trustee shall then distribute the trust assets of the deceased spouse as specified on the attached Joint Schedule of Beneficiaries of Joint Living Trust, subject to the provisions of any childrens trust which is created by this document.  Upon the death of the surviving grantor, this trust shall become irrevocable.  The successor trustee shall then pay all valid debts, last expenses, and estate taxes from the assets of this trust.  The successor trustee shall then distribute the remaining trust assets in the manner shown on the attached Joint Schedule of Beneficiaries of Joint Living Trust which is specifically made a part of this trust, subject to the provisions of any childrens trust which is created by this document.  Any additions or deletions to the Joint Schedule of Beneficiaries of Joint Living Trust must be written, notarized, and attached to this document to be valid.

11.   Survivorship

All beneficiaries named in the Joint Schedule of Beneficiaries of Joint Living Trust must survive the last surviving grantor by thirty (30) days to receive any gift under this living trust.  If any beneficiary and the last surviving grantor should die simultaneously, then the last surviving grantor shall be conclusively presumed to have survived that beneficiary for purposes of this living trust.

12.   Amendments and Revocations

We reserve the right to jointly amend any or all of this trust at any time.  Upon the death of either grantor, the surviving grantor may amend this trust.  The amendments must be written, notarized, and attached to this document to be valid.  We also reserve the right to individually or jointly revoke this trust at any time.  Upon the death of either grantor, the surviving grantor may revoke this trust.  A revocation of this trust must be written, notarized, and attached to this document to be valid.  If the trust is revoked, the property shall revert to the grantors based on the ownership rights in the property before the property was transferred to the trust.

13. Governing Law

This trust, containing ____________________ pages, was created on the date noted above and will be governed under the laws of the State of ____________________.

14.   Signature

______________________________    ______________________________
Signature of Grantor    Signature of Grantor

______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor
15.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ___________________________ and _______________________
_____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Joint Assignment to Joint Living Trust by Married Couple

This form may be used if an assignment of shared ownership of personal property to a Joint Living Trust is necessary.

An assignment of property is used for the transfer of personal property to the trust.  Recall that you must complete transfer paperwork if the property in question is real estate, patents, copyrights, trademarks, motor vehicles, boats, stocks, bonds, or some other form of property that has ownership documents (such as a deed or title).  For property with no ownership documentation, generally, the listing of property to be held by the trust on the Schedule of Trust Assets effectively transfers ownership of property to the trust.  Thus, an assignment of property is not normally a legal necessity.  However, some businesses or financial institutions may require this particular document to verify that the property has been technically “assigned” to the trust.  In addition, this form is also necessary to assign patents, copyrights, or trademarks to the trust.  If such occasions arise, you may use this document.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantors,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of property to be assigned to the trust.
3.   No information needed.
4.   No information needed.
5.   Your signatures and printed names (do not sign unless in front of a notary public).
6.   The Notary Acknowledgment section (to be completed by notary public).
Joint Assignment to Joint Living Trust


1.   This Joint Assignment to Living Trust is made on _______________________ (date), between _________________________ and ___________________________, the grantors, and the __________________________ and _________________________ Joint Living Trust dated ___________________________.

2.   The grantors transfer and convey possession, ownership, and all right, title, and intent in the following property to the Joint Living Trust:



3.   The grantors warrant that they own this property and that they have the full authority to transfer and convey the property to the Joint Living Trust. Grantors also warrant that the property is transferred free and clear of all liens, indebtedness, or liabilities.

4.   Signed and delivered to the Joint Living Trust on the above date.

5.
______________________________    ______________________________
Signature of Grantor    Signature of Grantor
______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor

6.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ and _________________ _____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Schedule of Assets of Joint Living Trust for Husband

This form should be used by a husband who is setting up a Joint Living Trust with his wife.  This form allows for any of the husbands separate property and shared property to be assigned to the trust.  Please remember that any assets that have ownership documents must be transferred to the ownership of the trust using the appropriate method of documentary transfer (such as a deed or title).

Please refer to your Property Questionnaire to determine which property you desire to transfer to your Living Trust.  The listing of property on this Schedule will effectively transfer the ownership of the property to the trust, unless an additional transfer of ownership document is necessary.  Even if such additional paperwork is necessary, you should list the property on this Schedule of Assets. Please refer to the property instructions earlier in this kit for details of how to list the property and for information on how to determine which of your property is separate and which is shared or jointly owned.  The shared property that you list on this Schedule should match the shared property that is listed by your spouse on her Schedule of Assets.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of husbands separate property to be transferred to the trust.
3.   Full description of husbands shared property to be transferred to the trust.
4.   Your signature and printed name (do not sign unless in front of a notary public).
5.   The Notary Acknowledgment section (to be completed by notary public).

Schedule of Assets of
Joint Living Trust for Husband

1.   This Schedule of Assets of Joint Living Trust for Husband is made on __________________ (date), by ______________________________, the co-grantor, to the __________________ _________________________________ and ______________________________________ Living Trust dated __________________________.

2.   All husbands right, title, and interest in the following separate property shall be the property of the trust:



















3.   All husbands right, title, and interest in the following shared property shall be the property of the trust:

4.

______________________________
Signature of Grantor

______________________________
Printed Name of Grantor

5.  Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he is the person described in the above document and he signed the above document in my presence. I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Schedule of Assets of Joint Living Trust for Wife

This form should be used by a wife who is setting up a Joint Living Trust with her husband.  This form allows for any of the wifes separate property and shared property to be assigned to the trust.  Please remember that any assets that have ownership documents must be transferred to the ownership of the trust using the appropriate method of documentary transfer (such as a deed or title).

Please refer to your Property Questionnaire to determine which property you desire to transfer to your Joint Living Trust.  The listing of property on this Schedule will effectively transfer the ownership of the property to the trust, unless an additional transfer of ownership document is necessary.  Even if such additional paperwork is necessary, you should list the property on this Schedule of Assets.  Please refer to the property instructions above for details of how to list the property and for information on how to determine which of your property is separate and which is shared.  The shared property that you list on this Schedule should match the shared property that is listed by your spouse on his Schedule of Assets.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   Full description of wifes separate property to be transferred to the trust.
3.   Full description of wifes shared property to be transferred to the trust.
4.   Your signature and printed name (do not sign unless in front of a notary public).
5.   The Notary Acknowledgment section (to be completed by notary public).

Schedule of Assets of
Joint Living Trust for Wife

1.   This Schedule of Assets of Joint Living Trust for Wife is made on _____________________ (date), by ______________________________, the co-grantor, to the ________________ ________________________________ and _______________________________________ Living Trust dated __________________________.

2.   All wifes right, title, and interest in the following separate property shall be the property of the trust:














3.   All wifes right, title, and interest in the following shared property shall be the property of the trust:


4.

______________________________
Signature of Grantor

______________________________
Printed Name of Grantor

5.  Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________
Instructions for Joint Schedule of Beneficiaries of Joint Living Trust

This form should be used to list the beneficiaries of a husband and wife who are setting up a Joint Living Trust.

Using this form, the husband will complete a section under which he will leave his share of the shared property and any of his separately-owned property which is listed on his Schedule of Assets of Joint Living Trust for Husband.  Additionally, the wife will complete a section under which she will leave her share of the shared property and any of her separately-owned property which is listed on her Schedule of Assets of Joint Living Trust for Wife.

Please refer to your Beneficiary Questionnaire to determine which property you desire to leave to which beneficiaries of your Joint Living Trust.  Please refer to the property and beneficiary instructions above for details of how to list the property and beneficiaries.

To complete this form, you will need the following information:

1.   Date of assignment,Full name of grantor,Name of Joint Living Trust, andDate original Joint Living Trust was created.
2.   For each item of property to be left by husband, complete the following:
Name of beneficiary,Relationship of beneficiary,Name of alternative beneficiary (if main beneficiary has died first),Relationship of alternative beneficiary, andFull description of property to be transferred.
3.   For the husbands residuary clause, complete the following:
Name of residuary beneficiary,Relationship of residuary beneficiary,Name of alternative residuary beneficiary (if main beneficiary has died first),    andRelationship of alternative residuary beneficiary.
4.   For each item of property to be left by wife, complete the following:
Name of beneficiary,Relationship of beneficiary,Name of alternative beneficiary (if main beneficiary has died first),Relationship of alternative beneficiary, andFull description of property to be transferred.
5.   For the wifes residuary clause, complete the following:
Name of residuary beneficiary,Relationship of residuary beneficiary,Name of alternative residuary beneficiary (if main beneficiary has died first),    andRelationship of alternative residuary beneficiary.
6.   No information needed.
7.   Your signatures and printed names (do not sign unless in front of a notary public).
8.   The Notary Acknowledgment section (to be completed by notary public).

Joint Schedule of Beneficiaries of Joint Living Trust

1.   This Joint Schedule of Beneficiaries is made on _____________________________ (date), by _______________________________ and __________________________________, the co-grantors, to the __________________________________ and ______________________ ____________________ Joint Living Trust dated ___________________________.

2.   Upon the death of the husband and the payment of all debts, taxes, and liabilities of the husband, the Trustee shall distribute the assets of the Trust listed on the Schedule of Assets of Joint Living Trust for Husband as follows:

To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:

   






To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:









To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:


   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:








3.   All the rest and residue of the husbands trust assets shall be distributed to _______________ _________________ (name), my _________________________ (relationship), or if not surviving, to ______________________________ (name), my ______________________ (relationship).

4.   Upon the death of the wife and the payment of all debts, taxes, and liabilities of the wife, the Trustee shall distribute the assets of the Trust listed on the Schedule of Assets of Joint Living Trust for Wife as follows:

   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:





   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:

   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:







   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:








   To ________________________________ (name), my ___________________________ (relationship), or if not surviving, to ________________________________ (name), my _________________________ (relationship), the following trust assets shall be distributed:






5.   All the rest and residue of the wifes trust assets shall be distributed to __________________ _________________ (name), my _________________________ (relationship), or if not surviving, to _____________________________ (name), my _______________________ (relationship).

6.   If any of the Beneficiaries named on this Joint Schedule of Beneficiaries are subject to the terms of any childrens trust in the main trust document to which this Schedule pertains, then any property distributed to such Beneficiary shall be subject to the terms of any such childrens trust.

7.
______________________________    ______________________________
Signature of Grantor    Signature of Grantor
______________________________    ______________________________
Printed Name of Grantor    Printed Name of Grantor

8.   Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ and _________________ _____________ came before me personally and, under oath, stated that they are the persons described in the above document and they signed the above document in my presence.  I declare under penalty of perjury that the persons whose names are subscribed to this instrument appear to be of sound mind and under no duress, fraud, or undue influence.

_____________________________
Notary Public
My commission expires ____________________



Sample Completed Living Trust

Provided below is a complete sample Living Trust.  By reviewing this sample, you will be able to see what a completed Living Trust should look like and how the various parts are put together.  Examine the clauses to see how your printed, final Living Trust should look upon completion.  In this sample Living Trust, a Mrs. Mary Smith is the fictional grantor.  Mrs. Smith is married to Mr. John Smith, and they have two minor children who live with them.  In her Living Trust, Mrs. Smith wishes to accomplish the following:

   Leave her oval diamond necklace to a friend
   Leave her brown mink coat to her mother
   Leave $10,000.00 to each of her children, to be held in trust if they are under the age of 21 upon her death until they are 30
   Leave all the rest of her trust estate to her husband
   Appoint her husband to act as Successor Trustee of the Living Trust and Trustee of the childrens trust

By filling in the appropriate blanks in these Living Trust clauses, the fictional Mrs. Mary Smith is able to easily and quickly prepare a Living Trust which accomplishes all of her desires.  She has transferred the desired personal property to her trust using a Schedule of Assets of Living Trust and she has designated what each beneficiary shall receive upon her death using the Schedule of Beneficiaries of Living Trust.  Mrs. Smith has chosen not to place any real estate into her Trust since she holds title to her and her husbands home as a joint tenant with her husband.  Thus, her husband will automatically own the entire piece of real estate upon her death and the property will not be required to be probated.  Although it appears that Mrs. Smith has managed to provide that all of her desires for the distribution of her property upon her death will be accomplished without the expense or delay of probate, she would still be wise to complete a basic will for use as a backup in the event of unforeseen acquisitions of property.  Also note that should she acquire additional personal property, Mrs. Smith will need to amend her Schedule of Assets to provide for a transfer of such property into the Trust.

She may rest assured that by having properly prepared and signed a Living Trust, her wishes will be carried out upon her death.  Since Mrs. Smith chose to prepare an individual Living Trust rather than a Joint Living Trust, it would be advisable that Mrs. Smiths husband also prepare a Living Trust for himself that includes similar provisions for survivorship and reciprocal provisions for a childrens trust fund.


LIVING TRUST OF MARY ELLEN SMITH


Declaration of Trust

I, Mary Ellen Smith, the grantor of this trust, declare and make this Living Trust on June 4, 2003.

This trust will be known as the Mary Ellen Smith Living Trust.  I, Mary Ellen Smith, will be trustee of this trust and any subtrusts created under this trust.  My marital status is that I am married to John Henry Smith and we have two (2) children whose names and dates of birth are: Alice Mary Smith (June 4, 1995), and Bradley John Smith (April 16, 2000).


Property Transfer

I transfer ownership to this trust of all of the assets which are listed on the attached Schedule of Assets of Living Trust, which is specifically made a part of this trust.  I reserve the right to add or delete any of these assets at any time.  In addition, I will prepare a separate Deed, Assignment, or any other documents necessary to carry out such transfers.  Any additions or deletions to the Schedule of Assets of Living Trust must be written, notarized, and attached to this document to be valid.


Grantors Rights
Until I die, I retain all rights to all income, profits, and control of the trust property.  If my principal residence is transferred to this trust, I retain the right to possess and occupy it for my life, rent-free and without charge.  I will remain liable for all taxes, insurance, maintenance, related costs, and expenses.  The rights that I retain are intended to give me a beneficial interest in my principal residence such that I do not lose any eligibility that I may have for a state homestead exemption for which I am otherwise qualified.


Successor Trustee

Upon my death or if it is certified by a licensed physician that I am physically or mentally unable to manage this trust and my financial affairs, then I appoint John Henry Smith, of 123 Main Street, Centerville, IL, as Successor Trustee, to serve without bond and without compensation.  If this successor trustee is not surviving or otherwise unable to serve, I appoint Elizabeth Joan Allen, of 234 Broadway, Centerville, IL, as Alternate Successor Trustee, also to serve without bond and without compensation.  The successor trustee or alternative successor trustee shall not be liable for any actions taken in good faith.  References to “trustee” in this document shall include any successor or alternative successor trustees.

Trustees Powers

In addition to any powers, authority, and discretion granted by law, I grant the trustee any and all powers to perform any acts, in his or her sole discretion and without court approval, for the management and distribution of this trust and any subtrusts created by this trust.  I intend the trustee to have the same power and authority to manage and distribute the trust assets as an individual owner has over his or her own wholly-owned property.


Additional Trustee Powers

The trustees powers include, but are not limited to: the power to sell trust property, borrow money, and encumber that property, specifically including trust real estate, by mortgage, deed of trust, or other method; the power to manage trust real estate as if the trustee were the absolute owner of it, including the power to lease or grant options to lease the property, make repairs or alterations, and insure against loss; the power to sell or grant options for the sale or exchange of any trust property, including stocks, bonds, and any other form of security; the power to invest trust property in property of any kind, including but not limited to bonds, notes, mortgages, and stocks; the power to receive additional property from any source and add to any trust created by this trust; the power to employ and pay reasonable fees to accountants, lawyers, or investment consultants for information or advice relating to the trust; the power to deposit and hold trust funds in both interest-bearing and non-interest-bearing accounts; the power to deposit funds in bank or other accounts uninsured by FDIC coverage; the power to enter into electronic fund transfer or safe deposit arrangements with financial institutions; the power to continue any business of the grantor; the power to institute or defend legal actions concerning the trust or grantors affairs; and the power to execute any document necessary to administer any childrens trust created in this trust.


Incapacitation

Should the successor trustee or alternative successor trustee assume management of this trust during the lifetime of the grantor, the successor trustee or alternative successor trustee shall manage the trust solely for the proper health care, support, maintenance, comfort, and/or welfare of the grantor, in accordance with the grantors accustomed manner of living.


Childrens Trust Fund
If any of my children who are named as beneficiaries on the attached Schedule of Beneficiaries of Living Trust are under twenty-one (21) years old on my death, I direct that any property that I give them under this trust be held in an individual childrens trust for each child under the following terms, until each shall reach the age of thirty (30) years old.

In the trustees sole discretion, the trustee may distribute any or all of the principal, income, or both as deemed necessary for the beneficiarys health, support, welfare, and education.  Any income not distributed shall be added to the trust principal.  Any such trust shall terminate when the beneficiary reaches the required age, dies prior to reaching the required age, or all trust funds have been distributed.  Upon termination, any remaining undistributed principal and income shall pass to the beneficiary; or if not surviving, to the beneficiarys heirs; or if none, to the residue of the main trust created by this document.


Termination of Trust

Upon my death, this trust shall become irrevocable.  The successor trustee shall then pay my valid debts, last expenses, and estate taxes from the assets of this trust.  The successor trustee shall then distribute the remaining trust assets in the manner shown on the attached Schedule of Beneficiaries of Living Trust which is specifically made a part of this trust, subject to the provisions of any childrens trust which is created by this document.  I reserve the right to add and/or delete any beneficiaries at any time.  Any additions or deletions to the Schedule of Beneficiaries of Living Trust must be written, notarized, and attached to this document to be valid.


Survivorship

All beneficiaries named in the Schedule of Beneficiaries of Living Trust must survive me by thirty (30) days to receive any gift under this living trust.  If any beneficiary and I should die simultaneously, I shall be conclusively presumed to have survived that beneficiary for purposes of this living trust.


Amendments and Revocations

I reserve the right to amend any or all of this trust at any time.  The amendments must be written, notarized, and attached to this document to be valid.  I also reserve the right to revoke this trust at any time.  A revocation of this trust must be written, notarized, and attached to this document to be valid.


Governing Law

This trust, containing seven (7) pages, was created on the date noted above and will be governed under the laws of the State of Illinois.

Signature

Mary Ellen Smith (Signed)   
Signature of Grantor

Mary Ellen Smith          
Printed Name of Grantor

Notary Acknowledgments

State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln (Signed)    
Notary Public
My commission expires 12/31/2005
SCHEDULE OF ASSETS OF LIVING TRUST

This Schedule of Assets of Living Trust is made on June 4, 2003, by Mary Ellen Smith, the grantor, to the Mary Ellen Smith Living Trust dated June 4, 2003.

All grantors right, title, and interest in the following property shall be the property of the trust:

An oval diamond necklace purchased from Tiffany and Co., and described as an oval-cut diamond of .75 carats set in a white-gold setting on an 18-inch white-gold braided necklace

A brown mink coat purchased from Henderson Furriers, size small, and described as a thigh-length light-brown mink coat with two (2) slash-side pockets, manufactured by Hanson and Company of Chicago, IL

$20,000.00 in funds held in a trust account for the Mary Ellen Smith Trust in the Bank of Centerville, Centerville, IL, account #123456789

Mary Ellen Smith (Signed)  
Signature of Grantor

Mary Ellen Smith          
Printed Name of Grantor


State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln (Signed)      
Notary Public
My commission expires 12/31/2005

SCHEDULE OF BENEFICIARIES OF LIVING TRUST

This Schedule of Beneficiaries is made on June 4, 2003, by Mary Ellen Smith, the grantor, to the Mary Ellen Smith Living Trust dated June 4, 2003.

Upon the death of the grantor of the trust and the payment of all debts, taxes, and liabilities of the grantor, the Successor Trustee shall distribute the remaining assets of the Trust as follows:

To Annie Janet Jones, my friend, or if not surviving, to Helen Mary Barrett, my mother, the following trust assets shall be distributed:

An oval diamond necklace purchased from Tiffany and Co., and described as an oval-cut diamond of .75 carats set in a white-gold setting on an 18-inch white-gold braided necklace

To Helen Mary Barrett, my mother, or if not surviving, to Annie Janet Jones, my friend, the following trust assets shall be distributed:

A brown mink coat purchased from Henderson Furriers, size small, and described as a thigh-length light-brown mink coat with two (2) slash-side pockets, manufactured by Hanson and Company of Chicago, IL

To Alice Mary Smith and Bradley John Smith, my children, in equal shares, or if not surviving, to John Henry Smith, my husband, the following trust assets shall be distributed:

$20,000.00 in funds held in a trust account for the Mary Ellen Smith Trust in the Bank of Centerville, Centerville, IL, account #123456789

All the rest and residue of the trust assets shall be distributed to John Henry Smith, my husband, or if not surviving, to Alice Mary Smith and Bradley John Smith, my children, in equal shares.

If any of the Beneficiaries named on this Schedule of Beneficiaries is subject to the terms of any childrens trust in the main trust document to which this Schedule pertains, then any property distributed to such Beneficiary shall be subject to the terms of any such childrens trust.

Mary Ellen Smith  (Signed)   
Signature of Grantor

Mary Ellen Smith         
Printed Name of Grantor

State of Illinois
County of Johnson

On June 4, 2003, Mary Ellen Smith came before me personally and, under oath, stated that she is the person described in the above document and she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

Sally Lincoln    (Signed)   
Notary Public

My commission expires 12/31/2005


Completing Your Living Trust

As you have noted in the sample Living Trust in the previous section, there is nothing very complicated about the arrangement of your Living Trust.  This section will explain how to put your own Living Trust together and properly complete and print it yourself or have it completed and readied for your signatures.  Using your Property and Beneficiary Questionnaires as a guide, you should already have selected and filled in the appropriate information on one the Living Trust form in this kit, and on the appropriate Schedules of Assets and Beneficiaries.

Below are instructions for preparing the final version of your Living Trust.  As you go about preparing your Living Trust, take your time and be very careful to proofread the original before you sign it to be certain that it exactly states your desires.

1.   On a copy worksheet version of your Living Trust and Schedules, cross out all of the instructions, circled numbers, and any other extraneous material which is not to become a part of your Living Trust.  Carefully re-read the entire worksheet version of your Living Trust to be certain that it is exactly as you wish.

2.   After making any necessary changes, print the entire Living Trust and the appropriate Schedules on good quality letter-sized (8½” x 11”) paper.

3.   After you have completed typing your Living Trust and Schedules, fill in the total number of pages in the line above the Signature section.  Again, very carefully proofread your entire Living Trust.  Be certain that there are no errors.  If there are any errors, correct and reprint that particular page.  Do not attempt to correct any errors with whiteout type correcting fluid or tape or with erasures of any kind.  Do not cross out or add anything to the printed copy using a pen or pencil.  Your Living Trust, when completed properly, should look similar to the sample Living Trust contained in the previous section, except that the signature and notary acknowledgement spaces should be blank.

4.   When you have a perfect original of your Living Trust and Schedules, with no corrections and no additions, staple all of the pages together in the top left-hand corner.

5.   Take the original of your Living Trust and Schedules before a Notary Public.  Many banks, real estate offices, and government offices have notary services and most will be glad to assist you.  In front of the Notary Public, you should sign your Living Trust and Schedules in the places indicated.

6.   The final step is for the Notary Public to complete the Notary Acknowledgments, sign in the space indicated, and stamp with his or her Notary Seal.  When this step is completed, your Living Trust is a valid legal document and you may be assured that your wishes will be carried out upon your death.

Once it has been properly executed following the steps above, you may make photocopies of your Living Trust.  It is a good idea to label any of these as “COPIES.

Safeguarding Your Living Trust

Having completed your Living Trust according to the foregoing instructions, it is now time to place your Living Trust in a safe place.  Many people keep their important papers in a safe deposit box at a local bank.  Although this is an acceptable place for storing a Living Trust, be advised that there are certain drawbacks.  Your Living Trust should be in a place which is readily accessible to your Successor Trustee at a moments notice.  Often there are certain unavoidable delays in gaining access to a safe deposit box in an emergency situation.  If you are married and your safe deposit box is jointly held, many of these delays can be avoided.  However, even in this situation, some states prevent immediate access to the safe deposit box of a deceased married person.  If you decide to keep the original in your safe deposit box, it is a good idea to keep a clearly marked copy of your Living Trust at home in a safe but easily-located place, with a note as to where the original may be found.

An acceptable alternative to a safe deposit box is a home file box or desk that is used for home storage of your important papers.  If possible, this storage place should be fireproof and under lock and key.  Wherever you decide to store your Living Trust, you will need to inform your chosen Successor Trustee of its location.  The Successor Trustee will need to obtain the original of your Living Trust shortly after your demise to determine if there are any necessary duties which must be looked after without delay, for example: funeral plans or organ donations.

It is also a good practice to store any life insurance policies and a copy of your birth certificate in the same location.  Additionally, it is also prudent to store a copy of your Property Questionnaire, Beneficiary Questionnaire, and the Successor Trustee Information List with your Living Trust in order to provide your Successor Trustee with an inventory and location list of your assets and a list of information regarding your beneficiaries.  Any title documents or deeds relating to property which is to be transferred under your Living Trust may also be stored with your Living Trust for the convenience of your Successor Trustee.  A final precaution, if you desire, is to allow the Successor Trustee whom you have named to keep a copy of your Living Trust.  Be careful, however, to be certain that you immediately inform him or her of any amendments to your Living Trust which you prepare or of any decision to revoke your Living Trust.


Transferring Property to Your Living Trust

After you have completed signing and having your Living Trust notarized, you will need to complete the transfers to the Trust of any property which has ownership documentation.  It is very important that you make these transfers as soon as possible after completing your Living Trust.  If you do not effectively transfer the property to your Trust, this property will not be considered part of your trust estate and your Successor Trustee will have no legal authority to distribute the property to your chosen beneficiaries.  Such untransferred property would pass to the beneficiaries of any will you might have or, if you do not have a will, would be distributed to your heirs as determined by the state, or, in a worst case scenario, would actually be forfeited to the state if you have no living heirs.

To be certain that these events do not come to pass, you must complete the proper documents of title to pass ownership of the property from yourself to the Trust.  The types of property and the necessary ownership documents that you will need to complete include the following:

   All real estate (transferred by deed, which must then be properly recorded in the county or parish clerks office)
   Motor vehicles (transferred by title generally, which must then be filed with the states motor vehicle department or Secretary of State)
   Boats (transferred by title generally, which must then be filed with the appropriate state department)
   Patents, copyrights, and trademarks (transferred generally, by an Assignment of Property to Living Trust form which must then be filed with the appropriate federal agency)
   Bank accounts and safe deposit boxes (generally transferred by completing paperwork supplied by the particular financial institution)
   Stocks, bonds, and mutual funds (stocks and bonds are generally transferred by having a new stock certificate or bond issued.  Mutual fund or brokerage accounts are transferred by completing paperwork supplied by the particular brokerage house or fund)
   Business interests (ownership of a sole proprietorship is transferred by listing it on your Schedule of Assets of Living Trust.  Corporate ownership transfers require reissuing stock certificates in the name of the trust.  Transfers of ownership for partnerships will generally require amending the partnership agreement to specify ownership by the trust)

When transferring property ownership to the Living Trust, you should specify ownership as follows:

“[your name], as Trustee of the [your name] Living Trust, dated [date of creation of the trust].

So, for example, the name on a new deed which is used to transfer property to the trust would be “Andrea Ann Doria, as Trustee of the Andrea Ann Doria Living Trust, dated June 4, 2003.

If you add or delete property from your Schedule of Assets of Living Trust or if you entirely revoke your Living Trust, you must be certain to officially transfer ownership of the property back to yourself using the appropriate ownership documentation.
Instructions for Registration of Living Trust

Residents of a number of states are required to register the main details regarding the existence of a Living Trust with their local courts.  Please check the State Law Digest to determine if such registration is required in your state.  Note also that even though such registration may technically be required for your state, there are no penalties or consequences for failing to do so.

1.   Full name of trustee,Name of Living Trust, andDate original Living Trust was created.
2.   No information needed.
3.   Your signature and printed name (do not sign unless in front of a notary public).
4.   The Notary Acknowledgment section (to be completed by notary public).
Registration of Living Trust

1.   I, ______________________________, am Trustee of the __________________________ ____________________ Living Trust, which was created on the date of ________________, by the grantor, _____________________________.

2.   I hereby acknowledge that I accept the office of Trustee of the Trust, and am now acting as Trustee of the Trust.

3.

______________________________
Signature of Trustee

______________________________
Printed Name of Trustee

4.    Notary Acknowledgment

State of ____________________
County of ____________________

On ____________________, ______________________________ came before me personally and, under oath, stated that he or she is the person described in the above document and he or she signed the above document in my presence.  I declare under penalty of perjury that the person whose name is subscribed to this instrument appears to be of sound mind and under no duress, fraud, or undue influence.

_____________________________