Choosing an attorney is a very personal decision; as with a doctor or other professional, the advice and assistance you get depends on how well you communicate with the professional. Success often depends on how comfortable you are when working with the professional. Use this list as a guideline when considering your attorney.

Every attorney should be willing to answer these questions regarding living trust planning with no hesitation.

Tax Issues

1. Is there any concern about giving monetary gifts out of a living trust? If so, how do you handle this concern?
What if I am considered mentally disabled?

2. When should pecuniary or fractional shares be used for tax planning?

3. What steps are necessary to preserve the $125,000 dollars once in a lifetime exclusion? How about for the surviving spouse?

4. How is the family trust taxed at first death? How about for North Carolina Inheritance taxes?

5. What are the tax issues at the second death?
How do you assist in transferring dollars/assets to later beneficiaries?

6.What changes are necessary on out of state real estate? Any taxation issues? How do you protect your client base from adverse tax result?

7. Do you handle tax returns at death?

Medical Returns

1.Will my North Carolina living will work if I am disabled while out of state?

2. Who handles my medical decisions when I am not able?
What options for personalizing health care decisions are available?

3. If I am mentally disabled, how do I manage my investment funds within my retirement plan?

4. How is a mental disability handled within a living trust?

5.What experience do you have if I need Medicaid planning?
What plans or options are available?

Trust Protection Provisions

1. If my beneficiary later divorces, what protective provisions do you include in the trust?

2. If my beneficiary has a catastrophic illness, what protective provisions are included to avoid spendown of the inheritance?

3. If my beneficiary has credit/brankruptcy problems, is there creditor protection provided by the plans you recommend?

4.What provisions do you include within the living trust for dealing with disputed debts after my death?

5.How is personal property handled? What provisions do you recommend to minimize disputes after my death?

6.Explain trust creditor protection.

Funding

1.Do you recommend funding a living trust? All assets? Explain reasons for any exceptions.

2.Describe your system for funding a living trust and keeping it funded.

3.How do you handle funding of Qualified Retirement Plans, IRA's, etc. ...?

4.Does your firm review asset name changes regarding living trust funding?

5.Do you put life insurance in trust? What do you recommend with the funding of life insurance with high cash value? Does the type of life insurance policy make a difference?

General

1.How many living trusts have you settled?

2.How do my successor trustees know about what they are to do upon my death?

3.Describe your system of communicating and implementing changes made necessary by tax changes, legislation or court rulings. How do you bill for these changes?