Frequently I am asked by clients should I have a will, trust or both. As an estate planner my answer is “it depends”.
The Will is a legal document that contains your instructions for disposing your assets upon your death. Generally the Will is presented in court via a process called probate to determine its validity, pay debts and distribute the net assets to the named beneficiaries. After ones death, and when the estate gets closed the Will then ceases to exist.
The Trust also is a legal document which continues to exist after your death and contains your instructions for disposing your assets. Assets titled and place in name of the trust can avoid going through the court probate process. Assets transferred outside probate to beneficiaries generally avoid delays which tends to minimize legal fees. Another advantage of having a trust document is your control of assets still exists after your death through the instructions in the trust.
Trusts are advantageous for the protection of underage and adult children, disable and incapacitated family, second marriages and for asset protection.
Remember, when you think about Estate planning, it is more about protection for yourself, family and siblings versus how much of equity you have.
If you currently have a Will, Trust or both, when was the last time you had the document reviewed and updated. Has itbeen more than 3 years? Where there any major changes in your life such as a marriage or children.
Let us help and guide you to plan and simplify the estate implementation process.
