There are many opinions on the use of wills and trusts but each has strengths and weaknesses.
When you are getting advice on wills and trusts it is best to decide which option is best for you but in order to do that you need to know the differences, according to the Motley Fool in “Wills vs. Trusts: Which Are Better?“.
A will determines who gets your possessions after you pass away. It has no legal effect until then. It is a roadmap for what you want to happen later. The rules for wills vary from state to state, but they need to go through probate court and the details are made public. For people with small estates they can be cost-effective.
Trusts, on the other hand, have legal effect as soon as they are executed. Property is placed in the trust while you are still alive. While trusts can be more costly to obtain and maintain, they do not ordinarily have to go through probate after you pass away and the details are not made available to the public. Trusts are normally preferred to wills for larger estates.
An estate planning attorney can clarify any confusion between the two and guide you to an estate plan that suits your unique circumstances.
Reference: Motley Fool (Nov. 8, 2016) “Wills vs. Trusts: Which Are Better?“
