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What state is a trust taxed in?

Situs is the state that the trust originated and whose laws will govern the trust. For tax purposes a trust may be taxed in any state for which it is determined to be a resident trust under the governing states definition of residency.

Is a living trust necessary in NJ?

Revocable Living Trusts Should be Considered for Your Estate Plan. Although having a Revocable Living Trust as part of your estate plan may not be as essential in New Jersey as it is in some other states, it has some benefits as compared to the extended probate process.

How much money should you have for a trust?

Heres a good rule of thumb: If you have a net worth of at least $100,000 and have a substantial amount of assets in real estate, or have very specific instructions on how and when you want your estate to be distributed among your heirs after you die, then a trust could be for you.

What are the two most common types of trusts?

There are two main types of trusts: revocable and irrevocable.

Is it better to have a will or a trust in NJ?

A will must become public record when it is probated. A trust is also more secure than a will because it is more difficult to contest. While a living trust does not technically shield your assets from creditors, in practice, it can help avoid them.

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