Iowa residents who want to ensure that their assets are passed on to loved ones after death have several options to consider in terms of wills and trusts. Someone older who is no longer acquiring assets may be fine with doing an irrevocable trust, which cannot be revoked or even changed after it is created. Other people who are still earning money and acquiring property may want to consider a revocable trust.
As the name suggests, a revocable trust can be revoked in its entirety by the trustor (the person who creates the trust). If two people hold a trust together, one person acting alone can revoke the trust. Revocable trusts can also be amended, though co-trustors would both need to sign off on any changes.
To change a trust without revoking it, an estate planning attorney can draft a trust amendment for a person’s trust. Though the amendment can change more than one provision at a time, making too many changes over the course of one’s lifetime can result in complications since it will leave the successor trustee with multiple documents through which they have to sort.
On the other hand, revoking a trust and creating a new one entirely may be cost-prohibitive. If there are several amendments to a trust, an estate planning attorney can help clients decide whether to do a trust restatement, which is a single document that spells out the amendments and clarifies that the original trust remains in effect with these amendments. Before even creating a trust or deciding what type of trust to utilize, it is good to consult with an estate planning attorney for suggestions on creating a trust and/or drafting a will, which can be used in conjunction with a trust.