Legal tools that safeguard the assets of elders

On Behalf of | Feb 4, 2025 | Estate Planning |

Protecting assets is very important for elderly individuals. They have worked hard for decades to collect those assets.

Unfortunately, elders in New Jersey are vulnerable to financial exploitation. There are also significant costs associated with long-term care and Medicaid. Elders must understand how to get the most out of their assets while protecting them from potential risks.

Several legal tools can address this. Here are some important points to consider.

Revocable Living Trusts

Revocable living trusts allow elders to transfer assets while still retaining control. They can better ensure that assets go to the intended parties without the need for probate. One of the key advantages of revocable living trusts is that their terms can be changed at any time while the creator is still alive, offering flexibility and peace of mind.

Irrevocable Trusts

Irrevocable trusts offer a more permanent option. They cannot be changed once assets have been transferred. However, these trusts can protect your wealth and ensure that assets don’t have to go toward long-term care expenses, preserving more of your estate for beneficiaries.

Life Estate Deeds

Life estate deeds can be very useful for elders. They allow a property to be transferred to a loved one, with the elderly individual retaining the right to live there. Upon death, the property is transferred seamlessly to the beneficiary without going through probate. Utilizing a life estate deed also prevents the property from being counted toward Medicaid costs.

These are just three legal tools that can protect the assets of elderly individuals. If you or a loved one needs support with long-term care planning, one of the most important steps is to seek legal guidance.

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