You care for your loved ones now and want the best for them after you have “gone to your reward.” In other words, you want to provide for them after you’re dead. Along with one’s death goes the planning for it. Estate preparations are on that list, with trusts and wills at the top. In general, the main difference between the two is that a living trust takes effect as soon as you create it, while a will takes effect after you die.
If you’re uncertain which of the two is best for you—and for planning all other aspects of your estate—turn to Aletia at Your Secured Life. Using her long-time, in-depth knowledge, Aletia helps people and their families navigate their ways through the process, which has myriad twists, turns and complexities.
It’s natural to feel some anxiety and stress when planning a living trust (also called an “inter vivos” or “revocable” trust) or a will. But knowledge is power, and knowing the main difference between the two is imperative.
Here are two essential aspects of which you should be aware.
A living trust avoids probate: With wills, your estate goes through the court proceedings through which your assets are distributed by the executor according to your wishes. But a living trust avoids probate, which often means a rapid-just weeks instead of months or years-distribution of assets.
A living trust offers privacy: It’s not made public upon your death. A will, however, is public record, which means that all transactions will be public. Furthermore is the handling of any out-of-state property you may own when you die. With a will, that property must go through probate in its own state, whereas a living trust can help you avoid probate.
At Capital Tax, we are dedicated to patiently explaining all of your options, with an emphasis on estate preservation. Together, we will design a trust or a will, as well as various healthcare documents tailored specifically to your family, your assets and your plans for the future. We are committed to helping you and your family make and execute the decisions that are right for you.