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

A will and a living trust are two types of estate planning documents that are used to distribute assets after someone's death. While they may serve a similar purpose, there are some fundamental differences between these two documents.

A will is a legal document that outlines how a person's assets will be distributed after their death. It typically includes specific bequests of property, such as real estate or personal possessions, as well as instructions for dividing up the remaining assets among beneficiaries. A will also usually appoints an executor, who is responsible for carrying out the instructions in the will.

On the other hand, a living trust is a legal arrangement that allows a person to transfer ownership of their assets to a trust during their lifetime. The trust is managed by a trustee, who can be the person themselves, or someone else they appoint. The trust document outlines how the assets are to be distributed after the person's death. During the person's lifetime, they can change or revoke the trust as they see fit.

One key difference between a will and a living trust is that a will must go through probate, which is a court process that ensures the instructions in the will are carried out correctly. This can be a time-consuming and expensive process, and it is a matter of public record. In contrast, assets held in a living trust do not need to go through probate, so the distribution of those assets can occur more quickly and privately.

Another difference is in the level of control the person has over their assets during their lifetime. With a will, the person retains full control of their assets until their death. With a living trust, the assets are transferred to the trust, which is then managed by the trustee. Depending on the terms of the trust, the person may still have some control over the assets, but they are legally owned by the trust.

In summary, a will and a living trust are two different estate planning tools with different advantages and disadvantages. If you want to distribute your assets after your death and are comfortable with the idea of giving up some control over them during your lifetime, a living trust may be a good option. If you prefer to retain full control over your assets until your death, a will may be a better choice. It is important to speak with an experienced estate planning attorney to determine the best option for your individual situation.