Create a Living Trust in Connecticut

A living trust can help you avoid the cost and time of probate, and offers more control over your estate than a last will. Find out how a living trust works in Connecticut.

Find out more about Living Trusts

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create a living trust in connecticut

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Updated on: February 6, 2024
Read time: 4 min

Creating a living trust in Connecticut allows you to protect your assets during and after your lifetime by transferring some assets into a trust where they continue to be available for your own use during your life. After your death, they pass to your beneficiaries. A revocable living trust is an important part of estate planning.

Living trusts in Connecticut

A Connecticut living trust is created by a grantor, a person who wishes to have a trust. The grantor first chooses a trustee who will manage all of the trust assets. You can name yourself as trustee, but you need a successor trustee who can take over after you die. The trustee manages the assets for the benefit of the grantor during his lifetime. When you create a trust you continue to use your assets just as before, living in your home, using your car, and spending your savings. After your death, the trust distributes your remaining assets to the beneficiaries you have selected.

Most Connecticut living trusts are revocable, which means you can alter or undo them while you are alive. Once you die, the terms become permanent. An irrevocable living trust is one that cannot be changed from the moment it is signed.

One of the primary benefits of a living trust in Connecticut is that the assets in the trust pass to your beneficiaries without going through probate, the court process through which a will is proven. Connecticut does not use the Uniform Probate Code, so its procedure is not simplified. Avoiding probate can save much time and money since the process takes many months and incurs fees for the executor and attorney. Additionally, living trusts are much more difficult to contest than wills, providing extra insurance that your wishes will be carried out.

If you have neither a will nor a living trust, your assets are distributed according to Connecticut’s intestacy statutes, parceling out your assets among relatives according to a formula with no input from you.

Do I need a living trust in Connecticut?

A living trust in Connecticut is an attractive choice for many because it gives total control over assets both during your life and after your death. While you are alive, you handle your assets as you normally would, making all decisions if you have chosen to be the trustee. Unlike when you pass your assets through a will though, a trust also allows you control over them after your death. In the trust you can control exactly when and how much each person receives. Some people choose to distribute assets gradually, giving children or grandchildren amounts as they reach certain birthdays. If you use a will everything is distributed at once.

When you create a living trust in Connecticut, you not only plan for your death, but for your life as well. Assets placed in a living trust provide protection for you should you become mentally incapacitated. Your assets are already in place, being managed by the trust, so no guardianship proceedings are necessary.

One of the most important reasons some people choose to create a living trust is for the privacy protections it offers. When you write a will it must be probated in court, becoming part of the public record. Trusts are managed without any court intervention and are never made public. The terms of your trust, the amounts and types of your assets, and the name of your beneficiaries are never released.

Living trusts and estate taxes in Connecticut

A living trust won’t protect you from estate taxes, unless you create a specific trust called a QTIP, marital, or AB trust. Connecticut is phasing out its state estate tax but currently provides exemptions for only $2 million while federal estate tax exempts $5.4 million. A specialized living trust will transfer assets from spouse to a surviving spouse, avoiding estate tax on the transfer. Living trusts do not protect your assets from Medicaid costs.

How to create a living trust in Connecticut

To create your trust, you need to first prepare the trust document with the names of your trustee and beneficiaries and details about how the assets are to be distributed. You then sign the document in front of a notary. The trust is not complete until you fund it by transferring ownership of assets. It’s up to you to select the assets you want to place in the trust, but IRAs, 401(k)s, or Keogh plans cannot be transferred to a trust.  Once that step is complete, the trust is functional.

A living trust is an important option to consider as part of your estate planning in Connecticut. A living trust offers benefits not available through a will and is a popular asset management tool.

Create a Connecticut living trust online with LegalZoom. LegalZoom living trusts include a pour-over will, transfer deeds, a document organizer, and more.

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This article is for informational purposes. This content is not legal advice, it is the expression of the author and has not been evaluated by LegalZoom for accuracy or changes in the law.

48 days ago
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Grateful to Patti Green

Patti Green helped me so much to finish my order. She was very patient and pleasant with me and guided me so well with my living trust. She made it clear and explained things that I could understand to finish this. She is an asset to your company and I would recommend her with excellence

CU
50 days ago
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I had no Idea what to do to update my…

I had no Idea what to do to update my Living Trust. They answered all my questions and they also helped me get info I did not know I needed.

Bryan Q
56 days ago
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Living Trust Premium

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sremeikis
64 days ago
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I spoke to the representative today about a Trust...

I spoke to the representative today regarding a question about an existing Living Trust. She was very helpful - told me exactly what I needed to know and how to accomplish it. As a representative in the Financial field I guide clients all the time on where to get documents done right - and its always LegalZoom - easy and effecient!

Gareth
66 days ago
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LegalZoom

I was impressed by the user-friendly interface and the outstanding support I received while creating a Revocable Living Trust. The ability to connect with support representatives in real time to address my questions was incredibly valuable. For those looking to establish a straightforward trust, I can highly recommend LegalZoom.

TDM
72 days ago
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Rida has been very helpful with respect…

Rida has been very helpful with respect o guiding me through the process of properly revising the Living trust for my elderly parents. His patience has been exemplary.

Frantz Michel
80 days ago
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Elizabeth Tisdale

Elizabeth Tisdale, knowledgeable,been having problems with the forms in my living trust,for the past two weeks and had to pay every time, Elizabeth was patient with me and explained every detail until it was corrected,she get my 5 stars

MARIA CORONA
80 days ago
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Taking the Initiative

Taking the initiative to do the info. research on our living Trust...set up back in 2016..Made the call an efficient, as well as a pleasant experience. Very thorough and friendly. Set up our atty consultation Thanks for great service!

Vicki Switzer
87 days ago
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Carmen was so patient with me

Carmen was so patient with me! Thank you for all your direction and guidance with my living Trust! Great job!

Tina Garcia
90 days ago
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Tammy was wonderful and very…

Tammy was wonderful and very knowledgeable. It's because of her that I am going to open a living trust with legal zoom. She was great. Thank You

Erin
98 days ago
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Pleasant Experience

Patience and weel given explanation about the process of how a "Living Trust" & "Deed" works after transitioning and guidance on how to contact an attorney whenever I need legal advice.

Sharron Martin
98 days ago
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Excellent LegalZoom Attorney

The LegalZoom attorney was extremely helpful in the "walk thru" assistance as I prepared the Living Trust document. The service was excellent.

customer
107 days ago
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Happy with my initial contact with Legal Zoom

Rebecca fully answered my questions about creating a living trust. She is friendly and professional, and with my mind at ease, I am looking forward to starting this process with Legal Zoom. I am confident that this will be the best route for me to take to make things a lot easier for my family when I'm gone. (And, easy for me!) I plan to be in touch in the next several weeks. Thanks, Rebecca!

Carol
125 days ago
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Michelle very professionally guided me…

Michelle very professionally guided me with her knowledge and amazing patience through the entire process of setting up my Living Trust. I am so relieved and grateful for her help. I have used LegalZoom before and you are my go to for legal advice. Thank you again Michelle.

Paula Bateman
133 days ago
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Quality Staff

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Ady Filipescu
142 days ago
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Really great job in guiding me to…

Really great job in guiding me to finish my living trust .

Ronnie Ball
148 days ago
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5 Stars

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Cn
148 days ago
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Ease and help of making changes to my…

Ease and help of making changes to my living trust. LegalZoom rep walked me through the process without any difficulties. Really like working with LegalZoom.

Gregory Bechtol
155 days ago
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Enjoyed working with Kevin to finalize…

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JOHN in CALIFORNIA
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