What is the difference between a will and a trust, and which one should I choose for my estate plan?

As a lawyer, I can provide legal advice on the differences between a will and a trust, and which one should be selected for an estate plan.

A will is a legal document that outlines a person's last wishes and instructions for distributing their assets after they pass away. A will can also appoint an executor to carry out these instructions. The will only goes into effect after the person has passed away, and any assets that are subject to a will must go through probate. Probate is a court-supervised process for identifying and gathering the person's assets, paying off their debts, and distributing the remaining assets to their heirs.

On the other hand, a trust is a legal entity that can hold and manage a person's assets during their lifetime and distribute them after their death. The creator of a trust, known as the grantor, transfers ownership of their assets into the trust and appoints a trustee to manage the assets on behalf of the beneficiaries. A trust can be either revocable or irrevocable, depending on whether the grantor retains the right to change or revoke the trust. When a person dies, any assets held in a trust are distributed according to the instructions outlined in the trust, without going through probate.

One important difference between a will and a trust is that assets subject to a will, such as bank accounts, retirement accounts, and real estate, must go through probate. This process can be time-consuming, expensive, and subject to court oversight, which can delay the distribution of assets to heirs. By contrast, assets held in a trust can be distributed to beneficiaries immediately after the grantor's death without going through probate.

Another important factor to consider when deciding between a will and a trust is privacy. A will is a public record, which means that anyone can review the document and the details of the person's estate. By contrast, a trust is a private document that is not subject to public disclosure.

When deciding whether to use a will or a trust for an estate plan, it is important to consider the complexity of the person's assets, their goals for distributing their assets, and their desire for privacy. A simple estate with few assets and straightforward distribution instructions may be best served with a will. However, if the estate is more complex, or if the person desires greater control over the distribution of their assets, a trust may be a better option.

It is important to note that estate planning is complex and involves a range of legal, tax, and financial considerations. It is advisable to consult with an experienced estate planning attorney to determine the best approach for each individual situation.