More Information

One of the most common planning decisions includes choosing whether to pass your estate along via a living trust, a will, or a combination of both. Choosing the right approach is always impacted by each individual’s unique circumstances. If you are interested in getting the process started contact me via email, text or phone (see Contact Me Page). I will help put your mind at ease and assist you in simplifying the entire estate planning process. After one session we should be able to create a customized strategy to help you move forward to create an estate plan that meets your needs. I will be more than happy to meet with you at your home, apartment, office, a local library or coffee shop. The experience will be informational and productive and you will leave our session with a renewed sense of peace.

Living Trust vs. Will: A High Level Comparison

A will is a simple legal document that provides instructions on how to distribute property to beneficiaries after death, while a trust is a complex legal contract that allows you to transfer your property to an account to be managed by another person (trustee).
Creating a living trust is a good option for those with a complex estate (multiple properties, investment accounts, and/or sizable assets).
If you want to ensure there are no gaps in your estate plan, you can have both a living trust and a will, and add other key protections such as a healthcare directive and/or power of attorney for certain future decisions.

What is a Will

A Last Will and Testament (“Will”) is a legal document outlining your wishes for the distribution of your property and assets after you die. With a will, you typically assign an executor, who is responsible for carrying out your wishes and instructions outlined in the will.

Your will can be as detailed or as generalized as you want. For example, you can leave everything you own to a single beneficiary, or assign specific items or sums of money (called a bequest) to numerous beneficiaries. You can make plans for the distribution of anything you own, from your smallest items, like sentimental keepsakes or jewelry, to large assets, like your home or car. You may also leave money or items (like artwork, clothing, or furniture) to your favorite charity. In addition to details about distributing assets, you can include instructions for the care of any surviving dependents or pets you may leave behind.

Creating a Will is an important step in estate planning because it ensures your assets are distributed according to your wishes and can help prevent disputes among family members or other beneficiaries. After creation, your will can be modified using an amendment, called a codicil, or you can write an entirely new will to replace it.

Your estate goes into the probate process after you die, and after you record your will is recorded with the local probate court. Assets or items identified in the will can’t be distributed until probate is complete. For some estates, it can take months, or even years, to clear probate.

What is a Trust

A living trust is a legal document which expresses how you wish to transfer ownership of certain assets to your beneficiaries. The assets within the trust account will be distributed after your death, or at any other time you choose. You will need to assign a trustee to administer the instructions contained in the trust. You may also serve as trustee while you are alive, and appoint an alternate trustee in this role if you become incapacitated, or upon your death.

The living trust is created when a person, called a grantor, signs the trust agreement. When used as an estate planning tool, the trust typically includes details about it’s purpose, the types of assets that can be held in the trust, the duties and responsibilities of the trustee, and the designated beneficiaries who will receive the assets in the account.

Once established the grantor transfers ownership of their assets and property to the living trust account. The main advantage of using a living trust is to avoid the probate process, which means your beneficiaries can access the assets as noted in the trust or shortly after you die.

Will v Trust

The major difference between a will and a trust is that for a will to take effect, a probate court proceeding must be initiated. A trust does not require probate.

The three other main differences between a living trust and a will are:

A will won’t be effective until after the testator dies, while a trust (other than a Testamentary Trust) goes into effect immediately after it’s signed.
A will typically goes into probate after the testator dies, while a trust does not.
A will is a set of instructions for after death, and a living trust is an account that is funded by a person’s assets while they’re alive.
In a Will you can name the guardians of your kids or pets.
In a Will you can specify your final funeral arrangements and how costs will be handled.

A Trust offers greater control over when and how your assets will be distributed, and this includes distributions before you die.

Combination
of Both

A testamentary trust is a combination of a will and a living trust. Unlike a living trust, which becomes effective during a person’s lifetime, a testamentary trust is created by a person’s will and only takes effect after the person’s death.