Wills and trusts are both legal instruments that you can use to pass assets from your estate on to your heirs, according to your wishes. But the mechanisms by which they do so are quite different.

Each has different functions, options, and features which might appeal to different people depending on what they want to achieve and the size of their estate.

• A Will:
  Your last will and testament is a simple legal document that outlines your estate and how you would want it distributed after your death. It should include your physical properties (cars, house and even pets) and financial assets with general or specific designations for how they should be dealt with.
• A Trust:
  Each trust is an arrangement that involves selecting a trustee who manages certain assets placed in the ownership of the trust, to be used or distributed according to your instructions and the rules of the trust. There are different types of trusts, such as a discretionary trust, a life interest trust and a bare trust. But the most common one is the living trust, in which you are the trust owner and trustee until you die, when a different trustee takes over to follow out your instructions.

Will Vs Trust: Advantages And Opportunities

While a will is always a good idea to have, some families may also want one or more trusts depending on their situation, and objectives. Only a discussion with the lawyer helping you with your estate planning documents can help you identify whether a trust is required to serve your needs and interests.

• Timing:
  One of the key differences between a will and a trust is when they kick in. A will only kicks in after you pass away. But a trust takes effect as soon as you create and fund it, giving you an opportunity to benefit from it for asset protection or management long before you pass away.
• Probate:
  Most of the assets listed in a will have to go through probate when you pass away in New York. However, if you have a living trust, your assets can skip probate, which allows your heirs to avoid the costs, delays, conflicts and publicity associated with the probate process.
• Privacy:
  Wills become public record because of the probate process. But a trust remains private. This makes trusts an appealing option if you want to stay discreet and protect the identity of your heirs or the details of your inheritance.
• Maintenance:
  You only need to update your will once every few years or when there is a significant change in your estate, which makes it more affordable. But living trusts require updates to include new assets when you acquire them, and if you are not your own trustee, you may need to pay for one’s services.

There are several reasons why you might consider going for a trust over a will. Some of them include:

• To ensure family members don’t squander their inheritance,
• Reducing tax liabilities for care home fees,
• To prevent assets from being dispersed over future decades,

Considering these factors, you should be able to start thinking about whether a trust is needed to protect your legacy, though you should always consult with an experienced local estate planning lawyer before coming to a decision.

Don’t let probate conflicts, inheritance disputes, or a lack of estate planning unravel the legacy you wish to leave for your family. What you have worked so hard for could be the thing that tears your family apart if you do not have a proper estate plan in place.

Here at the Hobaica Law Office in Central New York, we deliver estate planning the way you want it. We can help you ensure that your loved ones are taken care of long-term, protect them from a big tax bite, and set things up to minimize conflict and friction. Don’t let the courts intervene on matters you are fully capable of addressing today.

Whether you need a will, a trust, or both, we can help you plan for the unexpected. Call us today at (315) 201-5653 to speak to estate lawyers near you and get started on your estate planning.