What is the difference between a will and a trust, and which is right for me?

A will and trust are both legal documents that allow individuals to control the distribution of their assets after their death. However, they differ in how they operate and the purposes they serve.

A will is a legal document that outlines an individual's wishes for the distribution of their assets upon their death. It is oftentimes used to name an executor or personal representative to manage the distribution of assets, establish a guardian for minor children, and identify beneficiaries to receive specific assets. A will is submitted to the court after an individual's death and is subject to probate. Probate is a legal process in which a court reviews the will and oversees the distribution of assets.

A trust, on the other hand, is a legal agreement between three parties: the Grantor, the Trustee, and the Beneficiary. The Grantor establishes the trust and transfers assets to be held in the trust. The Trustee is responsible for managing the assets in the trust, and the Beneficiary receives the benefits of the assets in the trust. A trust can be either revocable or irrevocable. A revocable trust allows the Grantor to revoke or modify the trust terms during their lifetime, whereas an irrevocable trust does not allow for such changes.

The choice between a will and trust largely depends on an individual's goals and priorities for asset distribution. A will is a simpler and more affordable option for most people, particularly if there are few assets or beneficiaries involved. A trust, however, can be useful for providing specific instructions for asset management or protecting assets from creditors or lawsuits.

It is important to note that wills and trusts are not mutually exclusive and can be used together. Many individuals choose to create a trust to hold certain assets, such as real estate or investments, while leaving other assets through a traditional will. It is also important to regularly review and update both documents as necessary to ensure they accurately reflect an individual's wishes and changing life circumstances.

As with any legal matter, it is recommended to consult with a licensed attorney to determine which option is best for your specific situation.