As you might guess, an irrevocable trust cannot be changed or revoked. Some of the reasons irrevocable trusts are used are for asset protection purposes such as estate tax planning or long term care planning. While you will not retain control of your assets with an irrevocable trust, there are still tools that can be implemented to allow you to retain a level of control such as changing your ultimate beneficiaries, or removing and replacing a trustee if you are not happy with their trust administration. However, it is the general relinquishment of control that enables you to qualify for Medicaid benefits or minimize estate taxes. As with any legal document, always be sure you completely understand how your irrevocable trust works before signing it and transferring your assets into it.
By Esther Schwartz Zelmanovitz
