Is the living trust just a tax loophole that the government will close down?
No. I have read that the living trust has been authorized by the law for centuries. The government has no interest in making you go through probate or a conservatorship. Those proceedings only clog up the court system and cost money. • Is it difficult to transfer assets to my trust? No. Generally speaking, all your assets except IRA and pension benefits (e.g., 401k accounts), which have beneficiary designations, should actually be owned by your living trust. Your attorney generally transfers your California real estate for you. You typically would transfer your non-IRA type stocks, bonds, bank accounts and the like. In most cases, there is no bank or other fee for changing title to these assets. A simple beneficiary change is used for “Tax-Qualified” plans such as IRAs, 401Ks and pension benefits. You may want your CPA to advise you in this area. • Can I transfer my separate property as well as my community property into the living trust-and keep my separate property as such? Yes. All
