If you received a settlement from a lawsuit for wrongful death, personal injury, or another form of settlement, you might be wondering how best to protect yourself. As you explore different options, consider the advantages of employing a professional trustee.
Protection of Assets
Money management can be an issue with settlements. Establishing a settlement protection trust can protect your money from being wasted, targeted during a divorce, or subjected to creditor claims.
A pivotal way that a trust can help protect your assets is in establishing a budget and appropriate funds distribution schedule. This can help you maintain robust financial health and be protected from family members or friends who may try to take advantage of your settlement.
Another area that many beneficiaries appreciate is having guidance and management from a trustee in a structured settlement. The trustee can help you avoid emergencies that would have caused you to lose money by selling your structured settlement to address the situation.
Tax Services
Many times, a professional trustee can prepare your taxes for you. If tax preparation services are not offered, the trustee can typically supervise its preparation.
This service can be a way to save money, which can help make your settlement money last longer. It is also helpful in ensuring that you receive the maximum tax deductions for your situation.
Home and Car Buying Assistance
Professional trustees may also be able to help you buy a home or car. Additionally, if your home needs to be remodeled or modified, your trustee can also help you in this area.
Care Plan Management
A trustee can also obtain a care manager to develop and supervise a care plan for your ongoing medical and caregiver needs. This can alleviate stress in your life and help ensure that your care needs are continuously met.
Protection for Minors
If the person being awarded the settlement is a minor, a settlement protection trust can protect the interests of the youth while underage. The trust may be extended beyond the age of 18 depending on the state and whether or not a parent included age-related stipulations with the trust.
The trust may be used toward the minor’s health care, education, quality of life-related needs, and even extracurricular activities. The laws vary by state how a minor’s money should be managed. Additionally, the costs associated with parenting and guardianship are typically not covered within the uses for trust money. The money is meant to be used for the sole benefit of the minor.
Government Services Acquisition
It can be challenging to navigate the system and get the government assistance you need. Your trustee can help you use your government benefits and will likely save you time and money in the process.
A trust can be more than simply a way to manage your money. It can also be a comprehensive suite of protection, care management, tax preparation, and home buying assistance, among other services. The advantages are far-reaching in the trust’s ability not only to ensure your short and long-term needs are met but also save you money.