As you go through life collecting property, money and other tangible assets, it may become clear that you need to find a way to ensure that your loved ones receive them when you pass on. Unless you legally make your wishes clear, your beneficiaries may have a fight on their hands. Not only may they fight with each other, but with the government as well. A living trust is one way to protect your family to ensure that what you've worked so hard to obtain stays in the family, or goes to an organization of your choosing.

Determine Your Need

Since a living trust helps protect your family from facing probate after you pass away, it's important to determine what sort of living trust you need before taking the steps to create one. The first big decision to make is whether you need an individual trust or a joint trust. Depending on your situation, you may need one of these or both.

If you are married, and you or your spouse has a child from a previous marriage that will receive certain items or assets, separating your living trusts may be easier than keeping them together. You'll prevent any misunderstandings from happening, and the proper child receives the assets you wish. Also, if you have assets that you keep separate from one another, consider using separate trusts.

A joint trust should suit your needs well if you are married with no children, or have no other children outside the marriage. This is simple way to ensure that your assets are distributed evenly.

Gather Your Documents

To create a good trust, you need to list all your beneficiaries. The more detailed you can be, the better! List every family member, friend, charity, organization or ministry that you want to receive your assets. If you have contact information for them as well, it will help your attorney.

It's also important to list as many of your assets as you can. This task can seem daunting but the more information you bring to your attorney, the easier it will be to begin drafting the document. Be sure to record all money, real estate property, investments and stocks. Other items to consider including in your trust include:

• jewelry
• antiques
• furniture
• vehicles

Create the Document With Your Attorney

A living trust is a legally binding document and you need the professional guidance of an attorney to successfully draft one. Choosing a lawyer doesn't have to be difficult! Look for a lawyer who specializes in estate planning, like Price & Associates, and is reputable for expertise in trust and tax laws.

Once you've chosen the attorney you feel comfortable with, you'll begin the drafting process. At this point, ask the attorney for advice on other assets or people and organizations that you may have forgotten to list. Make sure the trust looks exactly the way that you want it to before you finalize it with your lawyer.

Now that you know how to set up your living trust and which one you'll use, don't delay in protecting your assets. Ask your estate attorney for more specifics, according to the laws in your state, so that your living trust is legally binding.