What is the difference between a will and a living trust?

A will and a living trust are two different tools that can be used to distribute property after death. A will is a legal document that outlines how a person's property will be distributed after they die. It becomes effective only after the person's death and goes through the process of probate in court. A living trust, on the other hand, is a legal arrangement in which a person transfers ownership of their property to a trust while they are still alive. This trust is managed by a trustee, who is appointed by the person creating the trust, and the trust can include provisions for managing the person's assets in the event of their incapacity or death.

One key difference between a will and a living trust is that a living trust avoids probate, which can be a lengthy and expensive court process. By transferring ownership of property to a living trust, a person can ensure that their assets are distributed according to their wishes without going through the probate process. Additionally, a living trust can provide more flexibility and privacy than a will.

Another difference is that a will only becomes effective at death, while a living trust can be effective immediately. This means that a living trust can be used to manage assets during a person's lifetime and can provide for their care if they become incapacitated.

It is important to note that creating a living trust can be more complex and expensive than creating a will. It requires transferring ownership of property to the trust, which can involve legal and tax considerations. Additionally, a living trust requires ongoing management and maintenance by a trustee, which can also involve expenses.

In summary, while both a will and a living trust can be used to distribute property after death, a living trust offers the additional benefits of avoiding probate and providing more flexibility and control over the management of assets during a person's lifetime. However, creating a living trust can be more complex and expensive than creating a will, and it is important to consult with a licensed attorney to determine which option is best for your specific situation.