You may know that a living trust and a will are two of the most common estate planning documents to be established. But what you may not know is the key functions each serves, and therefore which one may work in your best interest. Follow along to find out how a living trust is different from a will and how a proficient Broward County trust lawyer at The Probate Lawyers can help you determine whether you should incorporate one or both documents into your estate plan.
What makes a living trust different from a will?
On the one hand, a living trust is a legal document that may allow you to transfer your assets to a named trustee. This individual is entrusted to then hold and manage these assets on your behalf. Next, upon your unfortunate passing, they must distribute these assets to your named beneficiaries at the time and in the manner you explicitly instructed in this document. All the while, your assets may be protected from government or other external interferences.
On the other hand, a will is a legal document that may allow you to express how you wish for your assets and affairs to be handled upon your unfortunate passing. Specifically, you may appoint an executor who is supposed to administer your assets and beneficiaries who are supposed to receive your assets according to your wishes. However, before any of this can be accomplished, a key component of a will is that it must first be validated by a Florida probate court.
Should I incorporate both documents into my estate plan?
Based on their brief descriptions, you may believe a living trust and a will are similar enough to only need one in your estate plan. However, it is almost always recommended that you incorporate both. This is because the existence of a living trust without a will may cause issues that could have otherwise been easily avoided.
For example, you may not have transferred every last asset over to your living trust. This may be especially true if you opt for an irrevocable living trust, which essentially has you relinquish your ownership rights over the transferred assets. Therefore, without a will, there may be confusion about what is supposed to become of the assets not part of your living trust. This may prompt the Florida probate court to intervene and apply intestacy laws. Meaning, your assets may land in the hands of descendants you did not particularly wish to be your beneficiaries.
This is to say that it is better to have all your bases covered. But if you have any further questions or concerns on the matter, please do not hesitate to reach out to a talented Broward County estate lawyer. Schedule your free initial consultation with The Probate Lawyers today.