What Is the Difference Between a Will and a Trust?
February 25, 2016
If you are thinking about an estate plan, an initial question may be whether you should use a will or a trust. There are differences that can have an impact on your estate, and how your assets are distributed to heirs. A will is a simple document that details how you want your property distributed, but it does require a court to probate the will, and determine its validity. The fees associated with the court process average 6 to 7 percent of the asset value.
A trust is a bit more complex, but has the advantage of making an immediate transfer of assets to the trust and usually avoiding the need to go through probate. A trustee will manage the trust, and this can be an effective means to handle ongoing business interests, real estate investments or care of minor children. This is also helpful in the case of incapacitation. Please contact us if you have questions about whether a will or trust might be best for you and your family.