Revocable Trusts
Flexibility
- Can be revoked/terminated at any time
- Can be amended while grantor is alive and has capacity
- Assets can be added or removed freely
Tax Simplicity
Income flows to your individual 1040 tax return—no separate tax filing required.
Disability Protection
You name a successor trustee who can take over in case of death or disability.
Irrevocable Trusts
Limited Flexibility
Very difficult to change (though not impossible). Changes are time-consuming and typically more expensive.
Loss of Control
The grantor typically should not be the trustee. You're giving up control immediately when assets go into the trust.
Asset Removal Challenges
Taking assets out requires trustee authority and decision-making power.
Why Choose an Irrevocable Trust Despite the Downsides?
Asset Protection
Significant protection can be afforded to beneficiaries (spouse, children, grandchildren) when structured properly. Learn about protecting your inheritance.
Tax Benefits
Most commonly used when estate tax could be owed. Can defer or minimize estate taxes your estate ultimately pays. Stay informed about tax law changes.
Special Needs Beneficiaries
Can be structured so assets and income don't count against government program qualification requirements.
Similarity Between Both Types
Both revocable and irrevocable trusts can be used to avoid probate—the formal settlement process that typically takes 6-12 months in Florida and isn't inexpensive.
The right choice depends on your circumstances. We invite you to contact our experienced team to evaluate your situation and make the best decision for you and those you care about.
