Revocable Trust for Married Individual: Credit Shelter and QTIP Trusts (New York)

This legal template refers to a revocable trust specifically designed for married individuals residing in the state of New York. The trust is categorized as a credit shelter and Qualified Terminable Interest Property (QTIP) trust.

A credit shelter trust, also known as a bypass or family trust, allows married individuals to maximize their federal estate tax exemptions by placing funds or property in a trust after their demise. This helps reduce the potential tax burden on their assets while ensuring that their surviving spouse benefits from the trust's income and principal.

In addition to the credit shelter component, this legal template also includes a QTIP trust. A QTIP trust, short for Qualified Terminable Interest Property trust, enables the grantor (the individual establishing the trust) to provide income to their surviving spouse while designating other beneficiaries to inherit the trust's principal or remainder after the spouse's passing. This type of trust is often utilized when the grantor wishes to control how their estate is eventually distributed among their chosen beneficiaries, including children or other family members.

Overall, the Revocable Trust for Married Individual: Credit Shelter and QTIP Trusts (New York) legal template assists married individuals in structuring their estate plan efficiently, minimizing estate taxes, and ensuring the financial well-being of their surviving spouse and designated beneficiaries.