"A trust is a useful estate-planning tool for passing on assets that allows assets to be held by trustees for the beneficiaries."
Irrevocable Trusts cannot be changed once they have been implemented. If estate taxes are a concern, it’s likely you’ll consider this type of trust. The assets are given to the trust, thus removing them from your taxable estate.
An asset protection trust (also known as spendthrift trusts), such as a Nevada Asset Protection Trust, will protect the Settlor's assets from creditors, if the assets are placed in the Nevada Asset Protection Trust.
A supplemental needs trust (SNT) is an irrevocable trust funded for the benefit of an incapacitated beneficiary's supplemental care in order to preserve the trust assets and possibly preserve the beneficiary's other benefits which are dependent upon his or her assets and/or income.
Deciding whether to use an irrevocable trust is not always easy. You’ll need to be comfortable with giving up complete control of assets.
Revocable and Irrevocable Trusts are just two of many different types of trusts. There are trusts set up for distributions to pay college expenses, Special Needs Trusts for disabled individuals, charitable trusts for philanthropic purposes and more.
Your estate planning attorney will be able to identify what trusts are most appropriate for your situation.
Reference: The Street (July 22, 2019) “How to Set Up a Trust Fund: What You Need to Know”