The same tax planning strategies can be utilized in a Will as well as a living trust. The use of a living trust does not in of itself save taxes, but a living trust may be one vehicle for doing tax planning. Putting your own assets into a revocable living trust does not shield or protect those assets for Medi-Cal purposes. A trustee can be an individual, such as a family member or friend, or it can be a bank or other financial institution. If you choose an individual to serve as trustee, you want to make sure that he or she is obviously trustworthy, and is able to manage your assets.
Some people prefer a neutral third party, such as a bank or trust company.
These institutions do charge fees, usually based on a percentage of the trust estate, and you may want to interview several trust companies before you choose one. For many people, a living trust is an ideal arrangement both for management of assets and as a Will substitute. However, it is not right for everyone. Under a living trust, the trustee who manages the assets has an obligation to use trust assets only for the beneficiary's benefit, but there is no ongoing court supervision of the trustee. Thus, there is less protection in case of mismanagement of assets than there is in a conservatorship.