When it comes to estate planning, everyone should do it, plain and simple. Our attorneys at the Lake of the Ozarks want you to have your say on what happens to your assets when you are no longer able to express your feelings and proper estate planning is the best way to do that. That being said, there are different solutions for different situations when it comes down to it. Keep reading this week's blog to learn what a Will and a Revocable Living Trust are and the difference between the two. We understand that this may sound a bit complex, so if you have any questions, please do not hesitate to give us a call. You can even schedule a consultation with us, your first one is free. Gibbons Law Firm can be reached at 573-348-2211.
Wills VS. Revocable Living Trusts
What Is A Revocable Living Trust?
A revocable living trust is an alternative estate planning tool.
How Is It Similiar To A Will?
- With the exception of appointing a guardian for your children, it serves many of the same purposes that a will does - that is, it can be used to identify who should inherit your assets.
- Revocable living trusts allow for much greater detail and control in the planning process, however. For example, you can choose at what age your wish your children to inherit your assets (such as 25 instead of the "default" age of 18).
- A revocable living trust can also be used to appoint a trustee and/or power of attorney to manage your assets, healthcare decisions, and other important responsibilities in the event that you become incapacitated.
- A revocable living trust is often more expensive and more time-consuming to prepare than a simple will, but it helps make up for the additional cost by allowing your estate to avoid probate.
- Instead of being tied up in probate procedures for months or even years, your assets should be able to be distributed directly to your heirs.
- Another advantage of a revocable living trust is that it remains private after your passing - it does not become public record like a will does.
What Is A Will?
A will is an estate planning tool that allows you to identify who should inherit your property after you pass away.
How Does It Differ From A Revocable Living Trust?
- It is relatively inexpensive to prepare, but it does not prevent your estate from being passed through probate after your death, which can be an expensive as well as time-consuming process. At the time of your death, your will becomes public record.
- One of the most important uses of a will is to appoint a guardian for your children under the age of 18 in the event that something unexpected should happen to you. A will is the only estate planning tool that can be used for this purpose. Minors cannot legally own property, so if you wish to leave property to children under the age of 18, you will have to appoint someone else to manage the property until your children's 18th birthdays.
What Are Your Estate Planning Needs?
After hearing the differences between Wills and Revocable Living Trusts, which, if not both, do you think is more appropriate for your specific situation? Not sure? That's where we come in. Call our estate planning attorneys in Lake Ozark today. We can be reached at the phone number listed below. We are also constantly trying to stay in touch with our clients via social media. Be sure to follow us on our platforms listed below.