A living trust and a will are two different ways to ensure that your assets are given to the people you choose. The difference between the two is that a living trust helps your family avoid probate, the process in which your will is distributed to your heirs. Because your assets are held in the name of a trust and not you as an individual, they can be transferred without probate.
The Importance of a Living Trust | Estate Lawyers in Cary NC
Both a will and a living trust are established so that you have a say in who gets your assets after you are gone. However, a living trust puts your assets into a trust that will benefit you until your death. When you are gone, your assets are transferred to the beneficiaries you have named.
When you have a will, your assets are not in a trust. Upon your death, they are distributed after the courts have gone through the probate process, which can be a lengthy ordeal. If you have a living will, it can be as little as a few weeks before your assets are distributed, but it can take years to complete the probate process for a will if issues arise.
A living trust may also save you money, depending on your financial situation. If your heirs do not have to go through the probate process, they will avoid the court costs associated with it. If you can ensure that your will will be uncontested those costs are minimal; however, a contested will can increase the costs.
If you are concerned about privacy, a living will might be a better choice for you. A will becomes public record after your death, including all of the transactions involved in distributing your assets. A living will is not made public. It remains private, even after the transfer is completed. To learn more about the importance of a living trust, be sure to visit back with our next blog post.
Eldreth and Eldreth | Estate Lawyers in Cary NC
Do you have a current estate plan in place that hasn't been updated in years? If so, it might be time to revisit it to ensure all information is valid and up-to-date. This task can be just as important as the initial creation of an estate plan. Don't let things become outdated. Call today to start updating your plan.
Also, feel free to contact our office to schedule a consultation with us if you are looking for estate lawyers in Cary NC. We are here to help you with all your legal matters, whether it be estate planning, trademarking, copyrighting, or DWI issues.