Trusts are an extremely powerful estate planning tool, but they can also protect your assets from your own creditors and from creditors for many years after you pass. The Ohio Legacy Trust Act is designed to protect wealth from future creditors so that you can leave as much as possible to your loved ones. Here's a closer look at this unique planning trust tool, and how it can benefit your family.
What Is an Ohio Legacy Trust?
Legacy trusts in Ohio are irrevocable, which means they can't be dissolved later or the assets transferred back. They also have to be administered by a neutral third party, such as a financial institution or estate planning attorney or trustee of your choosing.
However, trust creators in Ohio have a considerable amount of control over how their assets will be used and distributed. When setting up the trust, the creator can decide how often they should receive distributions, who should receive their assets after they're gone, and how the funds held in trust should be invested.
How Will an Ohio Legacy Trust Protect Your Family?
Being unable to dissolve the trust means you no longer have control over its contents, which puts it out of the reach of creditors. If you’re currently in default on a debt or have been named in a lawsuit, a trust may not protect your assets from creditor claims. However, once it is properly set up and funded, the assets in the trust are protected from creditors in the future.
This results in a popular estate planning vehicle for high-net-worth individuals who are especially prone to lawsuits. This includes professionals like doctors, lawyers, business owners, and consultants. Even if you lose a substantial lawsuit in the future, the assets held in trust will still be reserved for you and your family and can never be lost to a creditor claim.
Since 1965, the experienced estate planning lawyers at Zellar & Zellar Attorneys at Law Inc. have provided detailed legal guidance to families throughout central and southeastern Ohio to assist them in preserving their asset for the future. Drawing on their in-depth understanding of the law, they’ll help establish a trust that complies with the law and protects your assets for decades to come. Visit their website for more on their estate planning services and call (615) 257-1643 to speak with an attorney at any of our 4 offices including Zanesville , Newark, Lancaster and Columbus, Ohio. Or email us at firstname.lastname@example.org for more information.
This article is intended to provide general information and should not be construed as legal advice or in creating an attorney-client relationship.