Key Takeaways | Wills vs. Trusts in Estate Planning
A will is a legal document that outlines how your probate assets should be distributed after your death, while a trust is a legal agreement that holds assets for the benefit of individuals or purposes.
Wills are simpler and less expensive upfront, but they require court intervention and can be time-consuming.
Trusts avoid probate, provide continuity of asset management, and offer more flexibility and privacy.
Trusts are better for larger or more complex estates and can be effective during your lifetime as well.
A pour-over will can be used in conjunction with a trust to ensure that all assets are distributed according to the trust’s terms.
Trusts can be used for asset protection, planning for incapacity, and seamless management of assets.
Trust administration is typically less expensive and easier than probating a will.
It is important to consider your specific circumstances and goals when deciding between a will and a trust.
Episode Notes:
In this episode, attorney Bill Miller discusses the differences between wills and trusts. He explains that a will is a legal document that outlines how your probate assets should be distributed after your death, while a trust is a legal agreement that holds assets for the benefit of individuals or purposes.
Wills are simpler and less expensive upfront, but they require court intervention and can be time-consuming. Trusts, on the other hand, avoid probate, provide continuity of asset management, and offer more flexibility and privacy. They are better for larger or more complex estates and can be effective during your lifetime as well.
Notable Moments:
(00:00) Introduction and Overview
(07:11) Introduction to Trusts
(09:29) Types of Trusts: Revocable and Irrevocable
(12:08) Parties Involved in a Trust
(14:03) Advantages of Trusts