Deciding between a will and a trust is often a big decision that will require the knowledgeable legal guidance that we offer at Herrig & Vogt, LLP. You will want to take every action necessary to protect your money that you have worked so hard to protect. You have several strategies to choose from to make sure that your assets are protected and distributed according to your wishes. Contact our lawyer serving Roseville and Granite Bay today for the representation you deserve!
Wills are written documents that help indicate how property is distributed when you pass away. Wills are revocable and can be amended at any time during your life. Another benefit of a will is that it allows you to appoint a guardian for any minor children.
Understanding Living Trusts
Living trusts provide property management during your lifetime and after your death. You can serve as the trustee of your trust and appoint a successor for once you pass away. If a person is disabled, the successor trustee has the freedom to manage the trust property without court intervention.
Considerations to Make When Deciding Which to Choose
You should consider both the pros and cons of each option before making a decision. Trusts have many positive outcomes, but they are more expensive than wills to set up and are useless without funding. Before you die, your assets must be transferred into the trust and the trust must be funded.
To determine whether you should take the extra steps necessary to establish a trust rather than a will, evaluate the following questions:
- Can you pursue informal probate? – If your estate can use the expedited form of probate, only a will is necessary
- Do you have minor children? – Trusts allow you to have specify provisions when a child is entitled to assets within a trust
- Do you have dependents with special needs? – The amount of control that heirs have over the property they inherit may be limited unless a trust is established
- Will your estate be subject to taxes? – You may want to set up a trust with tax provisions if your estate surpasses the estate tax threshold.
- Are you going to manage your estate plan? – If you choose a living trust, you will need to actively manage your estate plan, otherwise it will not be beneficial
If you need further assistance deciding whether to obtain a will or a trust, speak with a member of our firm today!