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

As a lawyer, I can provide legal advice regarding the difference between a will and a living trust.

A will is a legal document that outlines the wishes of a person regarding the distribution of their assets after their death. It is revocable at any time and only takes effect upon the death of the testator(the person who created the will). In a will, the testator will appoint an executor who will be in charge of carrying out their wishes regarding the distribution of their assets.

A living trust, on the other hand, is a legal entity that a person creates during their lifetime, which can also be used to distribute assets. In a living trust, the person transferring their assets, known as the grantor, will appoint a trustee to manage the trust on their behalf, and the trustee will hold the assets for the benefit of the beneficiaries. The trustee is required to manage these assets in accordance with the grantor’s instructions. A living trust can be revocable or irrevocable.

One key difference between a will and a living trust is that a will must go through the probate process, which is the legal process through which a will is validated and the assets are distributed to the beneficiaries. In contrast, assets held in a living trust typically do not go through probate, which can be a faster and more private way of transferring assets. This is because the assets that are held in the trust are not technically owned by the grantor but are managed by the trustee for the benefit of the beneficiaries in accordance with the grantor’s instructions.

Another difference is that a will is a public record, whereas a living trust is not. The will becomes public during the probate process, which means that anyone can access the information about the testator’s assets and how they were distributed. In contrast, a living trust is confidential and only those involved with the administration of the trust, and the beneficiaries named in the trust document, have access to the information.

It is important to note that both a will and a living trust can be valuable estate planning tools, and which one is the best option for a particular person will depend on their individual circumstances, including the type and value of their assets, their family situation, and their overall estate planning goals.

In conclusion, a will and a living trust are two different estate planning tools that can be used to plan for the distribution of assets after death. While a will is a legal document that only becomes effective upon the testator’s death, a living trust is a legal entity that can hold assets during the grantor's lifetime and help avoid the probate process. It is important to consult with an experienced estate planning attorney to determine which option is best suited for your particular situation.