Quora Answer: Should My Assets be in a Revocable Living Trust?

The following is my answer to a Quora question: “Should my assets and investments be in a revocable living trust?” 

A revocable living trust is not a distinct legal entity.  The advantage is that assets in the trust are readily available to you, for you to dispose or manage as you see fit.  The disadvantage is that it does not provide any protection against claims against your person, nor does it mitigate your tax exposure. 

The primary use of a revocable living trust is that it provides a structure to ensure the management of your assets in the event of disability, or loss of faculties.  The trust becomes irrevocable at that point.  Another benefit is that any revocable trust becomes testamentary and irrevocable upon your death.  This allows your estate to disburse to assets to beneficiaries across an extended period, upon the fulfillment of specific conditions that you set out in your letter of wishes.  If these are your considerations, then should look into it.