Estate Planning 105: Can I Prepare My Own Trust?

Editor's Note: This is the final installment of a 5-Part Q & A addressing commonly asked questions regarding end-of-life planning. These blogs are intended to educate you about the differences between Trusts, Wills, & Living Wills, and help you determine which is right for you.

Can you prepare your own trust? Well that's a loaded question. Of course you CAN prepare your own Trust.  After all, there are plenty of on-line web sites and computer programs designed to help you do just that. However, the real question is, "SHOULD you prepare your own Trust?"

You Don't Know, What You Don't Know

The main problem is that you don't know what you don't know.  Many people think that their situation is "very simple" and that all they need is a "basic Trust." If I had a dollar for every time I heard that statement, I would be sitting on a beach in a tropical island paradise and not writing this blog. 

The simple truth is, if you aren’t an estate planning attorney, you don’t know what makes your situation simple versus complicated. Typical things that get overlooked and often add complexity to any Trust are the following:

1. If you have children under the age of 18,
2. If you have children from a prior relationship,
3. If you have a child with special needs,
4. If you have no children at all,
5. If you want to designate grandchildren as your beneficiaries,
6. If you don’t know who to name as your Successor Trustee,
7. If you want to disinherit a close family member, or
8. If you want to designate a church or charity as your beneficiary.

If any of the foregoing apply to your situation, a Do-It-Yourself Trust will not protect your family and you should consult with an experienced estate planning attorney to properly prepare your Trust and ensure your property is transferred into your Trust.

Who Will Be There To Help Your Family?

Also, keep in mind that preparing a Trust document simply provides instructions about what to do following your death.  However, who will be there to help your surviving family members implement the plan and counsel them following the tragedy of your death?  This will be an emotional and traumatic time for your family and LegalZoom and it's ilk will not be there to guide them through this.

What Message Do You Want To Send To Your Family?

Consider the legacy you want to leave behind and the message you want to send to your family.  Yes, this is a guilt trip, but it's worth it if it gets the point across.  I have seen many Do-It-Yourself estate plans go wrong and assets distributed to unintended beneficiaries all because of sloppily written documents. 

So, yes, you can prepare your own Trust.  However, in this attorney's experienced, and admittedly biased opinion, NO, you should not prepare your own Trust!

Disclaimer: This information is provided by estate planning attorney Stephanie D. Winstead, with offices in Laguna Niguel, California and Carlsbad, California. Winstead practices exclusively in the areas of tax, asset protection, and estate planning. She is licensed to practice law in the State of California ONLY.  This information does not create an attorney-client relationship, and is only intended to provide general advice.  If you wish to create an attorney-client relationship for specific legal advice, it will be necessary to enter into an engagement for legal services.