Yes. A single person can create a Revocable Living Trust. The more important question is “Should a Single Person create a Revocable Living Trust?” The answer to that is also a resounding, YES!
In fact, it is much more important for a single person to have a Revocable Living Trust, than it is for a married couple. This is because sigles need to name someone to handle their affairs in the event that something happens to them. Married people might have some more flexibility depending on how property is owned, or assets are held. But the bottom line is that EVERYONE need to have a trust.
A single person would name in his or her trust the person or people who will handle the estate not only in the event of incapacity, but also upon death of the single person. It’s extremely important to note that a trust also contains items such as health care directives, and other documents, which clearly state how you want medical decisions to be made and who is the person you want making them. This aspect of a trust often overlooked, because most people’s primary focus is on protecting assets so that they can be passed on, and not what would happen if they were suddenly unable to make medical decisions for themselves.
If a trust is not in place, then someone must apply to the court for Conservatorship. These are some of the typical issues associated with Conservatorships:
- A conservatorship is expensive and time consuming and requires at least biannual accountings.
- You may end up with a conservator you would not have chosen.
- You may require a team approach to handling your affairs and medical decisions, not just a single conservator.
- There may be a battle over conservatorship resulting in legal fees that will be paid from your estate.