What are the differences between a Will and a Living Trust?

29 January 2010 Categories: All Blogs, Estate Planning

I am often asked by my clients, “What is the difference between a Will and a Living Trust?” These documents both have the intention of leaving your Estate to your intended beneficiaries once you pass away but they accomplish this in two entirely different ways. Deciding whether a Will or Trust best fits your needs depends on your circumstances. Here are some simple advantages and disadvantages to a Will and Living Trust:

    Last Will and Testament

– Costs are less to have a Will drafted
– You can setup some tax saving provisions so that you will not pay extremely high death taxes
– You can designate who you decided to be the guardians of your minor children
– A Will is subject to probate and the costs associated with probate (attorney fees and court costs)
– Probate will ensure court supervision to ensure your intentions are carried out

    Living Trust

– Costs are higher to draft and fund a Living Trust
– You can avoid probate and the costs of probate if the Living Trust is drafted and funded correctly
– Document can incorporate all your Powers of Attorney and Living Will into one document
– A court will not oversee the distribution of your assets since it is not subject to probate

These examples are just the tip of the iceberg when considering the differences between a Will and a Living Trust. For futher information, feel free to contact McNulty & Associates for a free consultation to discuss your Estate Planning.

The information and materials on this site are not to be considered legal advice. They are intended for informational purposes and are not specific to any certain case or legal matter. The information is used for promotional and advertising purposes and seeks to provide, but not guarantee, general information regarding a wide range of legal matters. If your matter requires legal representation, you should act quickly and contact a Tennessee attorney to ensure your rights are protected.

Comments are closed.