Probate is the legal process of settling a deceased person’s estate, and in North Carolina, it can be time-consuming and costly. Fortunately, setting up a trust is one of the most effective ways to bypass probate and ensure a smooth transfer of assets to beneficiaries.

Benefits of Using a Trust to Avoid Probate

A revocable living trust allows you to transfer ownership of assets into the trust while retaining control during your lifetime. Upon your passing, the designated successor trustee manages and distributes assets according to your wishes—without court involvement.

Key advantages include:

  • Avoiding probate – Assets in the trust pass directly to beneficiaries without court delays.
  • Privacy – Unlike wills, trusts are not part of the public record.
  • Quicker distribution – Beneficiaries can access assets faster compared to probate proceedings.
  • Reduced legal costs – Avoiding probate can save money on court and attorney fees.

Setting Up a Trust in North Carolina

To establish a trust, follow these steps:

  1. Choose the right type of trust – A revocable living trust is most commonly used to avoid probate, while an irrevocable trust can offer additional asset protection.
  2. Select a trustee – This person or entity will manage the trust after your passing.
  3. Transfer assets – Retitle assets such as real estate, bank accounts, and investments into the trust’s name.
  4. Create a trust document – Work with an estate planning attorney to draft a legally sound trust agreement.
  5. Maintain and update your trust – Review and modify your trust as your financial situation or family needs change.

What Assets Should Be Placed in a Trust?

To maximize probate avoidance, consider placing these assets in your trust:

  • Real estate (homes, rental properties, land)
  • Bank accounts and investment portfolios
  • Business interests
  • Personal property (valuable collections, vehicles, jewelry)

Additional Probate Avoidance Strategies

While trusts are highly effective, you can also complement your estate plan with:

  • Joint ownership with right of survivorship – Property automatically transfers to the surviving owner.
  • Payable-on-death (POD) and transfer-on-death (TOD) accounts – Bank and investment accounts pass directly to named beneficiaries.
  • Gifting assets before death – Reduces the value of your probate estate.

Get Professional Estate Planning Assistance

Avoiding probate in North Carolina requires careful planning. At Salines-Mondello Law Firm, PC, we help families create customized estate plans, including trusts, to protect their assets and simplify inheritance.

Call us today at (910) 777-5734 to schedule a consultation and secure your family’s future.