10. Using trusts to transfer assets Trusts are used to transfer assets from an estate. The contractual nature of a trust and mar federal estate tax. An attorney who practices probating its assets upon the death of the draft the trust in order to ensure that all of the benefits of establishing a trust are realized. law should be hired to Amy and Elleen both created trusts but used different approaches: Amy Amy created a trust in which she has the right to change its terms or even cancel it. The trust goes into effect while she is still alive. When Amy dies the assets will be considered part of her estate. What kind of trust did Amy most likely create? A revocable living trust An irrevocable living trust An irrevocable charitable remainder trust A testamentary trust Elleen has a very nice nest egg and intends to provide for her grandchildren's higher educations. Elleen is getting older and wants to make sure that if her mental capacities start to slip that she can't be persuaded to change the trust and redirect the money alsewhere. Elleen created a trust to ensure that her intentions are carried out. What kind of trust did Elleen most likely create? An irrevocable charitable remainder trust A revocable living trust An irrevocable living trust A testamentary trust Madeline and Alison both created trusts but used different approaches: Madeline created a trust with assets that will go to charity upon her death. Madeline cannot change the terms of the trust but enjoys additional after-tax income from the assets in the trust. What kind of trust did Madeline most likely create? An irrevocable charitable remainder trust An irrevocable living trust A testamentary trust A revocable living trust Alison Alson wants full use of her assets while she is allve. Allson has no children. She created a trust to give eventually her assets to her nieces and nephews and provide income from those assets to her surviving husband. What kind of trust did Alison most likely create? An irrevocable living trust An irrevocable charitable remainder trust A testamentary trust A revocable living trust