What Happens to Your Trust During Missouri Probate

When a loved one passes away in Missouri, their estate may go through the probate process, which can significantly impact any trusts established in their will. Understanding what happens to your trust during Missouri probate is essential for beneficiaries and trustees alike.

In Missouri, trusts can either be revocable or irrevocable. Revocable trusts can be amended or revoked by the grantor during their lifetime, while irrevocable trusts cannot be changed once established. When a trust is involved, the probate process may play out differently than it would with a traditional will.

During probate, the primary objective is to validate the deceased person's will (if one exists) and ensure that the estate is settled according to their wishes. If a trust is in place, it typically bypasses the probate process. This is one of the significant advantages of having a trust; assets held within a properly funded trust can be distributed to beneficiaries without the delays and costs associated with probate.

However, issues may arise if the trust is not adequately funded before the grantor’s death. If assets were intended to be placed in the trust but were not transferred properly, those assets may need to go through probate. This can complicate the distribution process, as beneficiaries may have to wait longer to receive their inheritance.

In Missouri, trusts are administered by a trustee, who is responsible for managing and distributing the trust assets according to the terms laid out in the trust document. If the trust is valid and funded, the trustee can exercise their authority to distribute the assets without needing to get approval to bypass probate.

Moreover, the trust document itself includes instructions for how and when assets should be distributed, which can help reduce potential disputes among beneficiaries. However, it's crucial for trustees to act in good faith and follow the stipulations provided in the trust document to avoid legal complications.

In some cases, if a dispute arises regarding the trust or its assets, the matter may still require intervention from the probate court. This is particularly true if there are challenges to the validity of the trust or claims from creditors seeking assets from the estate.

Additionally, estate taxes and debts must also be addressed during this time. Although assets in the trust generally do not go through probate, they may still be subject to state and federal taxation, which the trustee must manage accordingly.

In conclusion, understanding the influence of Missouri probate on your trust and its assets is a crucial part of estate planning. Each situation is unique, so it's advisable to consult with an experienced estate planning attorney to navigate these complexities effectively. Proper planning ensures that your trust serves its intended purpose, providing peace of mind for both you and your beneficiaries.