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There are many assets you can put in your trust, but there are also several that you shouldn't include: Retirement assets. ... Health savings accounts (HSAs) ... Assets held in other countries. ... Vehicles. ... Cash.
And while beneficiaries can be family, they do not necessarily have to be related to them. Beneficiaries in a California estate plan can be friends, charity organizations or other entities that can be specified in a will. The central document in most estate plans is the trust.
The key disadvantages of placing a house in a trust include the following: Extra paperwork: Moving property in a trust requires the house owner to transfer the asset's legal title. This involves preparing and signing an additional deed, and some people may consider this cumbersome.
It's generally in your best interest to go with a shorter name for your trust since the longer a name the higher the chance of misspellings or issues with abbreviations due to a lack of space on forms. In other words, ?Doe Family Trust dated 10/11/12? is preferable to ?John R. Doe and Jane U.
The assets you cannot put into a trust include the following: Medical savings accounts (MSAs) Health savings accounts (HSAs) Retirement assets: 403(b)s, 401(k)s, IRAs.