Wills and living trusts are among the options available to make sure your property distribution and other wishes are fulfilled after you die. But each is a different legal instrument and your personal circumstances will determine the arrangement best for you.
A will contains your written instructions detailing how you want your property distributed when you die. The will can name an executor or personal representative to oversee property distribution, and those with minor children may name a guardian. The will can also establish a trust that goes into effect after your death to manage property for those you identify. Property you own jointly with another – even a spouse – cannot be included in the will if that joint ownership includes survivorship rights.
A living trust is an arrangement in which you transfer legal title of your major assets to the trust you establish while you’re living. Once the trust is established, assets acquired after its establishment must be transferred to the trust. The trust must be managed for the benefit of those named as beneficiaries in the trust document. Usually, the person creating the trust is the trustee and serves until incapacity or death, when a successor trustee takes over to manage the trust.
If you have a living trust, you may still need a will to distribute assets you didn’t include in the trust and – if you have minor children – to name a guardian. A trust also won’t necessarily result in your heirs having an easier time of having the trust’s assets transferred to them. In fact, the time involved, complications and need for an attorney are generally the same with or without a trust. Sometimes the advantages of a living trust can be achieved by a durable power of attorney, bank trust account, or joint ownership.
To connect with a Legal Services Plan attorney to explore what’s best for you, call our Intake Center at (800) 482-7700. We are here to serve you.