Why Is It Important to Have a Revocable Living Trust?
June 6, 2025
Planning for the future isn’t just about saving for retirement or managing finances—it's also about making sure your wishes are carried out when you're no longer around or are unable to make decisions. One of the most effective legal tools for doing this is the revocable living trust.
Whether you have a modest estate or substantial wealth, this tool can offer clarity and peace of mind. The Green Bay estate planning lawyer at Lewis & Van Sickle, LLC offers guidance to Wisconsin families so they can structure their trust to reflect their values, protect loved ones, and safeguard their legacy.
Understanding its benefits is the first step toward building a responsible estate plan. A revocable living trust is more than just a legal document—it’s a strategic strategy for the future. It empowers you to stay in control, avoid unnecessary delays and costs, and assist your loved ones during legal processes during a difficult time.
What Is a Revocable Living Trust?
A revocable living trust is a legal arrangement where your assets are placed in a trust during your life, and you retain full control over them. You can manage the trust property at any time, or you can revoke the trust entirely. At your death or if you become incapacitated, a designated successor trustee takes over, managing or distributing the assets according to your instructions.
This structure provides continuity and control. Unlike a will, a revocable living trust doesn’t require court supervision for asset distribution, allowing your estate to avoid the often lengthy and expensive probate process. An estate lawyer can guide you through setting up and managing this powerful tool to make sure that it functions smoothly in your estate plan.
Three Key Benefits of a Revocable Living Trust
A revocable living trust offers a variety of benefits that make it an essential component of a strong estate plan:
1. Avoidance of Probate
One of the most cited advantages of a revocable living trust is that it helps your heirs avoid probate. Probate is the legal process through which a will is validated and assets are distributed. It can be time-consuming, costly, and public. By placing your assets into a revocable living trust, they can be distributed quickly and privately without court involvement.
2. Flexibility and Control
As the grantor, you retain complete control over the assets in the trust. You can change beneficiaries, update terms, and even revoke the trust entirely. This flexibility assures your estate plan evolves with your life circumstances.
3. Privacy
Wills become public records when they go through probate, but a revocable living trust remains private. Asset distribution details, financial information, and beneficiary identities are kept confidential—something many families find invaluable.
Planning for Incapacity
Estate planning isn't just about what happens after you pass—it's also about preparing for unexpected incapacity. A revocable living trust allows you to appoint a successor trustee who will manage your assets if you become mentally or physically unable to do so.
This avoids the need for a court to appoint a guardian or conservator, which can be both invasive and expensive. It also makes sure that your finances and property are handled according to your instructions, without disruption or delay.
An estate planning lawyer can help structure your trust properly to allow seamless management of your affairs during periods of incapacity, offering peace of mind for you and your family.
Assets Commonly Held in a Revocable Living Trust
You can place a variety of assets into a revocable living trust to make sure they’re managed according to your wishes. These often include:
Real estate
Bank accounts
Stocks, bonds, and other investment accounts
Business interests
Personal property, such as valuable collections
Life insurance policies
Your estate planning lawyer can assist you in transferring ownership of these assets into your trust to make sure it’s properly funded and legally effective.
Who Needs a Revocable Living Trust?
While often associated with high-net-worth individuals, revocable living trusts are useful for people of all wealth levels. If you have dependents, own real estate, or simply want to make asset distribution easier for your loved ones, this type of trust can help.
A revocable living trust is particularly beneficial for:
Blended families with children from previous relationships: A revocable living trust allows each beneficiary to be fairly provided for, avoiding conflicts and confusion over inheritance.
Single individuals with no immediate heirs: A revocable living trust allows assets to be distributed according to specific wishes, rather than default state intestacy laws.
Business owners: Revocable living trusts provide continuity for business operations and transfer ownership smoothly in the event of incapacity or death.
Elderly individuals planning for potential incapacity: Revocable living trusts allow for a trusted successor trustee to manage assets without the need for court-appointed guardianship.
Your estate planning lawyer can evaluate your specific needs to determine whether a revocable living trust is right for your situation.
Revocable Living Trusts vs. Wills
Many people wonder whether they need both a will and a revocable living trust. The truth is, they often work best together. Here's how they differ:
Revocable Living Trust: Manages and distributes assets while avoiding probate.
Will: Serves as a backup for any assets not transferred into the trust and allows you to name guardians for minor children.
An estate planning lawyer can help you coordinate both documents so that they work together seamlessly.
How to Set Up a Revocable Living Trust
Creating a revocable living trust involves a few key steps:
Work with an experienced Estate Planning Lawyer to draft the trust document
Transfer ownership of your assets into the trust
Name a successor trustee
Define clear terms for asset distribution
This process can seem confusing, but an estate planning lawyer checks that your trust is valid, properly funded, and tailored to your goals.
Common Mistakes to Avoid
While revocable living trusts are powerful tools, mistakes during setup can undermine their effectiveness. Common pitfalls include:
Failing to fund the trust (not transferring assets into it)
Not updating the trust after major life events
Choosing an unreliable trustee
Not consulting an estate planning lawyer
By avoiding these missteps, you can feel secure that your trust accomplishes what it’s meant to do—protect your legacy and ease the burden on your loved ones.
Benefits Summary: Why Choose a Revocable Living Trust?
Here’s a quick summary of the top reasons why revocable living trusts are a smart choice in estate planning:
Bypass probate and reduce costs
Maintain privacy regarding your assets and beneficiaries
Plan for incapacity without court intervention
Retain control and flexibility during your lifetime
Speed up the distribution of your estate
Provide clear direction for asset management and succession
In addition to these advantages, revocable living trusts can help minimize family disputes, help protect minor children or dependents, and accommodate future changes in your finances with ease. Your estate planning lawyer will explain how each of these benefits applies to your specific estate, tailoring your trust to fit your long-term goals.
Choose a Trustworthy Estate Planning Attorney
Creating a revocable living trust is a responsible and forward-thinking decision. It protects your assets, maintains your privacy, and makes sure that your wishes are honored.
If you’re looking to set up a revocable living trust in Green Bay, Oconto, Shawano, Kewaunee, or Sturgeon Bay, Wisconsin, let our experienced attorney at Lewis & Van Sickle, LLC, guide you through every step. Contact our office today to consult with a knowledgeable estate planning lawyer.