Writing a will is the most popular estate planning vehicle, and for most people, it's the best way to ensure your final wishes are respected. However, establishing a trust offers a variety of additional benefits. Understanding the difference between these options will help protect your assets and loved ones left behind.

Probate

If you write a will, your estate will usually have to go through probate before your beneficiaries can receive their inheritances. Depending on the circumstances, this can take six months to several years and may consume a considerable part of your estate.

Alternatively, trusts are entirely separate legal entities that take ownership of your assets. Since they survive after you're gone, any assets held in trust aren't subject to probate, which makes this an especially attractive option if you have properties in multiple states.

Control Over Your Assets

Once your estate has passed through probate, your assets will be distributed according to the instructions in your will. On the other hand, trusts allow you to set conditions on inheritances, giving you more control over the wealth you've built. For instance, you may decide that individual beneficiaries will only receive their shares at a certain age, or upon completing their college degrees.

Privacy

After wills are filed with the court, they become public documents accessible to anyone who asks to see them. Trusts are almost entirely private, which makes them an ideal estate planning tool for families that value discretion. However, the assets held in trust must still be disclosed to the IRS and may be subject to inheritance taxes.

With over 36 years’ experience, the attorneys at Cecil, Cecil & Barker, P.A. have been guiding High Point, NC, families through the estate planning process, offering detailed insight tailored to your unique situation. Visit their website for more information on their estate planning and elder law services, or call (336) 883-8383 to schedule your initial consultation.