Re: 10 mistakes people make when doing a living tr
The day-to-day administration of a revocable living trust doesn't change what you would do if it didn't exist. You use your SSN, you pay taxes on earnings, and it doesn't change the tax treatment of the sale of your home. Its major advantage is administration when you can't (a trustee can step in without a court order), and disposing of assets after you die. If you own a lot of valuable stuff it can split into parts for estate tax reasons.
You can re-state your trust if you want to make changes, you don't have to create a new trust and fund it.
There are older threads on this board were we have shared our experiences with trusts. DON'T VIEW TALK RADIO OR JUNK MAIL AS RELIABLE SOURCES OF INFORMATION! Go to the library.
Lastly, this isn't a do-it yourself document or one that you should copy from a friend (there is a story behind that comment). If you think Medicaid is ever a possibility you may want to meet with an attorney who specializes in elder issues. There are also special needs trusts, which are completely different creatures. Hire a lawyer who prepares revocable living trusts routinely but shop around. Fee and quality are not necessarily correlated.