Trusts Versus Wills: What Should You Choose?

When planning your estate, questions often arise as to whether you need a will or a trust.  This depends on a variety of factors, primarily, the value of your assets and income. 

A revocable living trust is typically more complex than a will.  They are designed to avoid probate, but only do this when assets are funded into the trust.  Trusts also provide privacy since they are not publicly filed documents. 

Unlike trusts, wills do not avoid probate and are public documents.  They merely provide a list of wishes for the executor to follow in probate and set limitations on the executor’s powers and duties.  Wills can be very important for couples with young children, as they enable them to name a guardian if both spouses were to pass away.

There are many factors to consider when choosing to create a trust or will.  Trusts allow for much more flexibility, however, their complexity is not for everyone.  People with simpler assets and goals might find that wills are a better fit for their needs. 

See Charles Moore, Estate Planning: Do You Need A Living Trust or a Will? The Boone Country Connection, Dec. 26, 2014.