A trust agreement determines how assets placed in the trust will be managed and distributed.
Trusts can be revocable or irrevocable.
Irrevocable trusts cannot be changed or canceled and have special tax treatment. Revocable trusts are subject to amendment or termination according to the terms of the trust agreement. Benefits of a Trust A trust provides for management of your assets during your lifetime and usually names someone to assume responsibility for them if you become disabled. This often eliminates the need to go to court to arrange for appointment of a guardian or conservator. You determine how your assets will be managed by giving written instructions in the trust.