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An irrevocable trust offers your assets the most protection from creditors and lawsuits. Assets in an irrevocable trust arent considered personal property. This means theyre not included when the IRS values your estate to determine if taxes are owed.
Massachusetts law does not differentiate between separate property and marital property. In the event of a divorce, the court has the authority to divide all the assets owned by the couple including inherited property in a fair and equitable manner.
An inheritance may or may not be treated as marital property, so to be safe, the best way to keep that inheritance from being lumped in with marital property is to execute a pre or postnuptial agreement specifying that the other spouse will have no interest in the inherited assets.
A future inheritance is not included in the marital estate as an asset, and therefore cannot be divided between the divorcing spouses.
A recent court case found that a husbands interest in an irrevocable trust was subject to division in divorce.
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People also ask

Prenuptial and Postnuptial Agreements are the strongest way to protect your separate property from your spouse. Your separate estate and any potential inheritance, or gift, can be clearly defined in an agreement along with rights and responsibilities of both spouses in the event of a divorce.
Living Trusts vs. We recommend living trusts to our clients because of the tremendous benefits they offer over wills, the more traditional estate planning tool. The biggest benefit of using a living trust instead of a will is that living trusts avoid probate.
Not necessarily. It is a common misconception that assets owned by a discretionary trust will not form part of the property pool available for division between spouses.
Living Trusts in Massachusetts A living trust in Massachusetts is created by the grantor, the person putting things into trust. As the grantor you must choose a trustee who is charged with managing the trust for your benefit while you are alive and distributing your assets to your beneficiaries after your death.
One way to protect assets from being awarded to your spouse is to change your will, revocable trust, life insurance policy, power of attorney and health care proxy before filing for divorce, not after! Irrevocable trusts cannot be changed and according to the new Supreme Court decision should not be affected anyway.

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