Loune-Djenia Askew, Esq.
Sep 18, 2024
As we age, planning for the future becomes more important, especially when it comes to managing finances and making healthcare decisions. In Florida, one concern that many people have is the possibility of adult guardianship.
As we age, planning for the future becomes more important, especially when it comes to managing finances and making healthcare decisions. In Florida, one concern that many people have is the possibility of adult guardianship. While necessary in some cases, guardianship can be a lengthy and costly process. The good news is that there are ways to avoid it, and one effective tool is establishing a trust.
What Is Adult Guardianship?
Adult guardianship occurs when a person is deemed by the court to be incapable of making decisions for themselves due to incapacity, such as severe illness or cognitive decline. The court appoints a guardian to make decisions on behalf of the individual, including managing their finances, medical care, and living arrangements. While guardianship provides protection, it also means losing control over personal and financial matters.
How Can a Trust Help?
A trust is a legal arrangement where one person, called the trustee, holds and manages assets for the benefit of another, known as the beneficiary. By establishing a trust, you can designate a trustee to manage your assets if you become incapacitated. This avoids the need for court-appointed guardianship because your financial matters are already being managed by someone you trust.
Types of Trusts to Consider
A Revocable Living Trust is a popular option for those looking to avoid guardianship. This type of trust maintains control over your assets while you are capable and provides a seamless transition of management to a successor trustee if you become incapacitated. Since the trust is revocable, you can make changes or revoke it entirely as long as you are mentally competent.
Another option is a Durable Power of Attorney in conjunction with a trust. This document appoints someone to manage your financial and legal affairs if you cannot do so yourself. Together with a trust, both your day-to-day financial matters and long-term asset management are handled according to your wishes.
Benefits of Using a Trust
Establishing a trust offers several benefits beyond avoiding guardianship. It allows for privacy, as trusts are not subject to public court proceedings, unlike guardianships. It also provides more control over how your assets are managed and distributed, ensuring your intentions are carried out without court intervention. A trust can be more cost-effective in the long run, reducing legal fees and court costs associated with guardianship.
If you're concerned about the possibility of guardianship, consulting with an experienced estate planning attorney can help you create a plan that protects your autonomy and your assets.
For more information, contact our office at Askew & Associates, P.A. by calling 954-546-2699.
Disclaimer: this blog post is not intended to be legal advice. We highly recommend speaking to an attorney if you have any legal concerns.