5 Types of Trusts That You Might Need in Your Texas Estate Plan

 Posted on April 25, 2026 in Estate Planning and Probate

Trusts are increasingly common vehicles for distributing estate assets. Contrary to popular belief, you do not need to be wealthy for a trust to work well in your estate plan. In fact, trusts can be great for smaller estates as they allow your surviving loved ones to skip probate, which can become costly.

It is important to work with an experienced San Antonio, TX estate planning lawyer who can assess your situation and guide you through the process to meet your goals. Geoff Mayfield, Attorney at Law, has over two decades of legal experience, so you can trust him to provide you with careful guidance.

What Can a Trust Do That a Will Cannot in Texas?

A will explains who should receive your property after you pass. A trust can do more. A trust can hold property during your lifetime, after your death, or both. This can make it useful for families who want more control over how money, real estate, or other assets are managed.

A trust can also protect young or vulnerable beneficiaries. For example, you may not want a child to receive a large sum of money at age 18. A trust can allow payments over time. It can also set rules for education, housing, medical needs, or other support.

What Types of Trusts Could I Use in My 2026 Texas Estate Plan?

You may be familiar with the two main types of trusts – revocable and irrevocable. A revocable trust can be changed after it is established, while an irrevocable trust generally cannot. Although there are exceptions. Consider some types of trusts available in Texas that you may not be familiar with 

Testamentary Trust

If you are going to use a will, you can establish a testamentary trust through it. This trust has no effect until after you have passed away. These trusts are often used to distribute estate property to minor children. Having a will is important for those with minor children, as you can also use a will to name the person you would prefer to have raise your children should you pass away before they reach adulthood.

Special Needs Trust

These trusts are used to provide for a disabled person without risking his or her eligibility for government benefits. The disabled person can use trust funds to pay for non-medical needs, like clothing and entertainment. You can also make one for yourself to provide for your own supplemental needs in case you become incapacitated later in life and need Medicaid.

Charitable Trust 

If you would like to donate any portion of your estate property, you can use a charitable trust to name non-profits as beneficiaries. You will be able to specify how any money or other property is to be used by the charity.

Pet Trust 

If you have pets who are dear to you, you can set up a special trust to make sure that they are provided for. A pet trust can set aside money for food, grooming, veterinary care, boarding, and other basic needs. It can also name a person to care for your pet and another person to manage the funds, helping make sure your wishes are followed after your death.

Asset Protection Trust 

These trusts are used to keep assets safe from creditors. They can help protect beneficiaries who have debt, are likely to incur debt, or work in a field where they have a higher-than-average chance of being sued, such as medicine. Your attorney will ask you about your goals and beneficiaries to help determine which types of trusts might benefit you and your loved ones the most.

What Kind of Trust Is Safest From Creditors in Texas?

An irrevocable trust is often considered safer from creditors than a revocable trust. The reason is control. With a revocable trust, you can usually change the trust, cancel it, or move property in and out. Since you still have control, creditors may be able to argue that the assets should still be available to pay your debts.

With an irrevocable trust, you give up much more control. After property is moved into the trust, you generally cannot take it back or change the trust whenever you want. That separation can create stronger protection.

Irrevocable trusts must be planned with care. They can affect taxes, Medicaid planning, inheritance rights, and family control. Before creating one, you should understand what you are giving up and what protections you may gain.

Are There Special Steps To Setting Up a Trust in Texas?

In Texas, a trust generally needs a clear trust document, a trustee, beneficiaries, and trust property. Texas law states that a trust cannot be created unless it has trust property (Texas Property Code Sec. 112.005).

Funding the trust is one of the most important steps. This means moving assets into the trust. For bank accounts, this may involve changing account ownership. For real estate, this may require a deed. For personal property, it may require written assignments or schedules.

The trustee should also formally accept the role. Texas law provides that a trustee’s signature on the trust document or on a separate written acceptance can show that the trustee accepted the trust.

Who Should I Name as a Trustee in TX?

Your trustee should be someone responsible, organized, and honest. This person may have to manage money, keep records, pay bills, communicate with beneficiaries, and follow the terms of the trust.

You may name a family member, close friend, attorney, accountant, bank, or trust company. A family member may know your wishes well. A professional trustee may have more experience with money management and legal duties. The right choice depends on the size of the trust, the needs of your beneficiaries, and the level of conflict in your family. If your children do not get along, naming one child as trustee could create more tension. In that situation, a neutral trustee may be better.

You should also name a backup trustee. If your first choice dies, becomes ill, or refuses to serve, the backup can step in. This can prevent delay and confusion later.

Call a Wilson County, TX Trust Attorney Today

If you are interested in using a trust or trusts in your estate plan, Geoff Mayfield, Attorney at Law, can guide you through the process. Our skilled San Antonio, TX estate planning lawyer is here to help you design the trust that works best for your plan. Call 210-535-0870 to start with a free consultation.