Is a trust suitable for me?
Trusts offer many benefits but whether or not it is ultimately practical for you depends on your particular situation and needs. Meet with your bank and check with them if a trust is an ideal option based on your circumstances.

Do I need other legal or financial documents besides a living trust to make sure my estate is handled properly after I die?
Besides a living trust you also need to have a will prepared in order to transfer to the trust fund itself any assets that were not transferred before you died. This is required before any such assets may be distributed as part of your trust.

In the case of a testamentary trust, the options for the trust have to be created in the will.

Will a living trust save taxes?
Living trusts offer no tax benefits. A trust has to be set up as irrevocable if it is to save on taxes. A trust set up for tax purposes will save on the taxes applied to the settlor’s estate after the settlor’s death, before the assets are distributed to the beneficiaries stated in the trust.

Are living trusts complicated to set up?
If you are already familiar with the details that go into creating a will, it may seem that setting up a trust is a bit more involved, but actually it isn’t that much more complicated. The key difference between a living trust and a will is that your assets are transferred to the trust upon its creation, while with a will no transfer will take place until after your death. Assets have to be transferred to the trust when you die, otherwise they cannot be distributed. With a will this isn’t relevant at all.

In any case, your trust company or bank is there from the creation of your trust to its management, so you will not be on your own when it comes to sorting out the little—but crucial—details of setting up your trust according to what you need and expect.

Who is best to appoint as my trustee?
Generally you should appoint yourself as your own trustee. Many people also choose to appoint a financial institution. Either way you get to keep full control over your assets as long as you need to.

For your successor trustee, you may choose to appoint your spouse or a financial institution so that they can take over for you when you cannot continue to function as trustee. Upon your death, your trust becomes irrevocable and the trustee then handles the distribution of your assets, or retains them for your beneficiaries, as stipulated in your trust.

Who can help me set up my trust?
Your trust is best drafted by a lawyer, not by the company advising you to get the trust, especially if you feel that they are biased in offering the trust to you while not considering other possible options. This way you can better ensure that the trust is customised according to your particular preferences and requirements because you are being assisted by an independent party. You may also consider having the agents of the trust company help you sort out the details as well.

Should you opt to draft the trust yourself, it need not be difficult, as there are available software programs on the market to assist you.

What is the cost of setting up a trust?
This depends on the current rates in your area, and the extent of your needs. The average cost is about £500 for a trust plan customised for a married couple. This includes asset management services and a will.

Which Government websites can I go to for more information regarding inheritance tax?

http://www.inlandrevenue.gov.uk/leaflets/iht.htm
http://www.inlandrevenue.gov.uk/cto/pa.htm
http://www.courtservice.gov.uk/cms/wills.htm

Are there any advisory bodies that offer specialised services in probate law?
Law Society's Probate Section is an advisory group that specialises in probate law. They can be contacted through probatesection@lawsociety.org.uk, or you may look for a specialist solicitor in your are through http://www.solicitors-online.com/

Can I be assured that my trustees will carry out the conditions I specify in the terms of the trust?
This is up to you, as you are the settlor. In other words, the guidelines that your trustee or trustees must follow are ultimately determined by you.

You may allow your trustees as much flexibility as you feel is appropriate. You can stipulate all the factors that your trustees have to follow, or you can grant them a certain amount of room to interpret your instructions.

The bottom line is this: consider what you state in your trust because these are the conditions that your trustees will be legally obligated to follow.