You are already most likely familiar with the terms “Will” and “Trust” from an Estate Planning point of view, but do you have a full comprehension of the difference between a Will and Trust? Are you aware of which Plan will offer the greatest protection for your family and assets?
Will vs Trust – What’s The Difference & Which is the Most Beneficial Option for You?
Estate planning can be performed by composing a will or setting up a trust. A will is a document that conveys the owners desires in regards to the distribution of their property and assets, while a trust is an presentation that allows a third party to detain and distribute the owner’s assets in the trust fund.
When Does a Will and a Trust Go Into Effect?
The principal difference between a will and a trust is when they go into effect. A will is implemented after the owner has passed on, alternatively a living trust goes into effect as soon as the document is created. When the owner is still alive, they have control their trust. If the owner becomes incapacitated and are not capable of making their financial or healthcare determinations, the person put forward by them intervenes to handle their affairs.
Another key difference involves the major function of both wills and trusts is to name beneficiaries for assets and property. In a will, you purely describe the property and list who will be the beneficiary. When you are utilizing a trust, you must do that and additionally the property into the trust.
After death, a will converts to a document that is available to the public. While, a living trust does not, so many people choose to use a living trust in order to keep their financial affairs out of the public eye.
Elite Preparation Services are a licensed and bonded document preparer with the Nevada Secretary of State, mobile notary and offer business start up services, estate planning documents, deed transfers, guided trust funding, minor legal documents and more. You can contact us today at (702) 970-9686 to schedule a no-cost consultation and estimate!