A living trust is a legal document that allows you to place your assets into a trust while you are still alive.
The trust is managed by a trustee, who has the legal authority to manage the trust assets according to the terms of the trust. A living trust can be revocable, meaning you can make changes to it or terminate it at any time, or it can be irrevocable, which means it cannot be changed or terminated once it has been created.
A will, on the other hand, is a legal document that outlines your wishes for the distribution of your assets after you die. A will becomes effective only after your death, and it must go through the probate process, which is the legal process of administering your estate and carrying out the instructions in your will.
One key difference between a living trust and a will is that a living trust can be used to avoid probate, which is the legal process of transferring ownership of your assets to your beneficiaries after your death. Because a living trust is a separate legal entity, your assets can be transferred to your beneficiaries outside of probate. This can save time and money, as the probate process can be lengthy and costly.
Another difference is that a living trust can be used to manage your assets in the event that you become incapacitated and unable to make decisions for yourself. A will does not take effect until after your death, so it cannot be used to manage your assets or make decisions on your behalf if you become incapacitated.
In summary, a living trust is a legal document that allows you to manage your assets while you are alive and can be used to avoid probate, while a will is a legal document that outlines your wishes for the distribution of your assets after your death and must go through the probate process.
The Burns Firm can discuss your situation over a Free 15 minute phone call or if you fill out a questionnaire come in to the office for an in depth meeting as you have nothing to lose but Probate fees and creditors having an opportunity at your estate.