Comprehensive Trust Services in Alabama: Protecting Your Assets and Planning for the Future

Trusts are powerful legal tools that allow you to control the distribution and management of your assets both during your lifetime and after your death. At SHARON DAVIS LAW LLC, we specialize in a variety of trusts tailored to meet individual and family needs, from asset protection to providing for loved ones with special requirements. With our extensive experience, we help clients create trusts that align with their financial goals, family dynamics, and long-term plans.

Understanding Different Types of Trusts

Trusts can serve numerous purposes, and the type of trust you choose depends on your unique objectives. Here’s an overview of some of the most common trusts we establish for clients:

1. Revocable Living Trusts

A revocable living trust allows you to retain control over your assets during your lifetime and specify how they should be distributed upon your death. Unlike wills, revocable trusts avoid probate, offering privacy and faster asset distribution to beneficiaries. These trusts can be modified or revoked as circumstances change, making them a flexible option for estate planning.

2. Marital and Family Trusts

Marital trusts, often established by spouses, provide financial support to a surviving spouse while preserving assets for other family members. Family trusts allow individuals to transfer assets to family members over generations. Both trusts are effective in managing wealth within families, ensuring that assets are preserved and distributed according to specific family wishes.

3. Irrevocable Trusts

Once established, irrevocable trusts cannot be modified or revoked, which provides significant tax and asset protection benefits. Assets in irrevocable trusts are generally not subject to estate taxes and are protected from creditors, making this type of trust ideal for those seeking to shield wealth or provide for specific beneficiaries.

4. Special Needs Trusts

For families with loved ones who have disabilities, special needs trusts provide financial support without jeopardizing eligibility for government assistance programs like Medicaid or Supplemental Security Income (SSI). Funds in the trust can be used for healthcare, education, housing, and other needs not covered by these programs, ensuring a higher quality of life.

5. Pet Trusts

A pet trust is designed to ensure that beloved pets receive care after their owner’s death. This trust allows you to set aside funds for the pet’s expenses, appoint a caregiver, and provide instructions for the pet’s care, ensuring they are well looked after.

6. Trusts for Special Entities and Asset Protection Trusts

Trusts for special entities, such as charitable trusts, allow you to set up funds for charitable organizations or causes. Asset protection trusts, meanwhile, protect assets from creditors and lawsuits, making them a valuable tool for professionals in high-liability fields or individuals with substantial assets.

7. Contingent and Education Trusts

Contingent trusts become effective only under specific conditions, such as the death of the primary beneficiary. Education trusts are established to fund educational expenses for children or grandchildren, ensuring they have financial support for school, college, or other training programs.

Benefits of Setting Up a Trust

Trusts offer a range of benefits beyond what a simple will can provide, including:



• Avoiding Probate: Trusts allow assets to transfer directly to beneficiaries without going through probate, reducing delays, costs, and potential disputes.
• Privacy: Unlike wills, which become public record during probate, trusts remain private, offering an extra layer of confidentiality for your financial and personal affairs.
• Control Over Asset Distribution: Trusts give you control over when and how beneficiaries receive their inheritance, which can be particularly beneficial for managing finances for young children or vulnerable family members.
• Tax and Asset Protection: Certain types of trusts, such as irrevocable and asset protection trusts, provide legal mechanisms for reducing tax liabilities and protecting assets from creditors.

At SHARON DAVIS LAW LLC, we take a customized approach to trust planning, ensuring that each client’s trust aligns with their specific needs, whether for family, business, or philanthropic purposes.

Trust Administration: Ensuring Compliance and Proper Management

In addition to creating trusts, we offer trust administration services to ensure that trusts are managed in compliance with Alabama law and the terms of the trust document. If you are named as a trustee or are considering establishing a trust for a loved one, we provide guidance to help you fulfill your duties effectively and responsibly. Trust administration may involve distributing assets, maintaining financial records, filing taxes, and communicating with beneficiaries, and our team is here to assist with every aspect.