Does a Living Trust protect my life savings from long-term care costs?

A Living Trust is an important estate planning document that offers many advantages, including keeping your estate out of probate after you die. However, does a Living Trust protect your assets from long-term care costs? This question gets asked quite frequently and the answer is simply, no it does not.

In this Elder Law Minute, Wes Coulson, Illinois Elder Law attorney, discusses Living Trusts, their advantages and why having an asset preservation plan as well, is your best option for protecting your life savings from long-term care costs.

Does a Living Trust protect my life savings from long-term care costs?

Transcript:

Hi, I’m Wes Coulson and this is your Elder Law and Estate Planning Minute. I want to discuss today a question that comes up quite frequently and that is: Does a Living Trust protect your assets from long-term care costs? The answer is: No, not at all.

If you apply for any forms of government assistance, assets that are included in a Living Trust, that’s your Living Trust, are counted as yours the same as they would if you owned them directly, not in a trust. Now, two important things there. First, there is another king of trust called an Asset Preservation Trust that we can help you with that does very much help your assets. Second, I’m not at all telling you that Living Trusts are not important or useful. A Living Trust keeps your estate out of probate and I could go on and on telling you about the other advantages of a Living Trust.

The thing is, a Living Trust is an estate planning document, that’s for protecting things after you die. You need one, you also need an asset preservation plan. Thanks.

For more information on Living Trusts and Long-Term Care, visit these articles:


“Your Trusted Advisor on the Elder Care Journey”

Coulson Elder Law is dedicated to providing families in the St. Louis area with their Elder Law needs. Our practice areas include Asset Preservation Planning, Veterans Benefits, Medicaid Eligibility, Alzheimer’s Planning, Special Needs Planning, Estate Planning and more. We understand the financial challenges you may face as you and your loved ones grow older. At Coulson Elder Law, our clients’ well-being is our number one priority. For immediate help, call (877)995-6876 or Contact Us and we will get in touch as soon as possible.