When it comes to estate planning, most people often want to understand the difference between wills and trusts. Understanding the difference between the two will help you know which one is best for your estate planning.
Katje Law Group, wills and trust attorneys, are some of the best attorneys that can help you get a clear difference between a will and a trust.
A will is a written document declaring a person’s desires or wishes on what should happen to his or her estate upon death. The will also contains the name of a person charged with the responsibility of executing the wishes (executor).
A will can only be executed when the owner has died. A will gives you an opportunity to decide how your assets such as bank accounts and personal property to be disbursed after you are gone.
Upon death, your executor is the one to lodge the original will with the court for the purposes of distributing property to the rightful heirs.
In case a person dies without writing a will, it is called dying intestate. In such a situation, one of the family members will be named as a representative of your estate with the help of an Anaheim trust attorney.
* Testamentary will
* Holographic will
* Pour-Over will
A trust is a legally-binding agreement that allows your assets to be managed by a trust on behalf of your loved ones. You can hire an experienced Anaheim trust lawyer to help you draft the agreement before signing.
The main difference between a will and a trust is that a living trust can be used while you are still living, unlike a will that is only executable after you die.
There are four major types of trusts:
* Revocable living trust
* Irrevocable trust
* Life insurance trust
* Special needs trust
If you have a problem deciding between a will and a living trust, an Anaheim living trust attorney from Katje Law Group is always available to help.