When planning for the future management and distribution of one’s estate, many individuals create a will—officially known as a last will and testament—while they are still alive. This legal document ensures that their assets are allocated to designated individuals or organizations upon their passing. While wills serve as fundamental tools in estate planning, they are not devoid of limitations.
In contrast, revocable trusts offer a distinct set of benefits, addressing many of the shortcomings associated with wills. Our South Shore revocable trust attorney can provide detailed insights into why you might consider this option. Specifically, if you’re wondering what is the advantage of a trust over a will, it’s important to note that trusts often allow for a smoother, more private transfer of assets and can help avoid the often lengthy and public process of probate associated with wills.
Understanding the nuances between these two estate planning instruments can be crucial for effectively securing your legacy and ensuring your wishes are honored without unnecessary delay or public scrutiny.
A Revocable Trust: What Is It?
A revocable trust, also known as a revocable living trust or just a living trust, is a legal entity created by a person (called a grantor or settlor) while that person is still alive.
The grantor also designates beneficiaries, or the people (or chartity), who will receive what portion of the trust’s assets, and is often the trustee to manage the trust. The same person can play multiple roles at once.
In an illustration, the trustee may also be the trustor. Because the trust is revocable, the trustor still has the power to alter its terms or dissolve it entirely.
3 Ways a Revocable Trusts Are Superior to Wills
In many circumstances, revocable trusts are preferable to wills due to unique characteristics.
This comprises:
Preventing Probate
The process the estate of the deceased individual must go through is called probate. Debts and assets of the estate are identified during probate, and the debts are paid.
The beneficiaries of the decedent are then given a distribution of the remaining assets. If the deceased had a will, it would be utilized to decide how to divide the inheritance. If the decedent passed away without leaving a will, their inheritance would be divided in accordance with Massachusetts’ intestacy laws.
In either case, the probate procedure is time-consuming and, under the best conditions, takes months. Also, the decedent’s assets might be restricted while the estate is being probated.
The assets can be given to the beneficiaries without going through probate, though, if the dead put their assets in a revocable trust before passing away.
This reduces waste and costs.
Privacy
When a person passes away with a will, the Will becomes public information. Yet, revocable trusts are private and are not disclosed.
This is advantageous for those who want to keep their assets and the recipients of their assets a private matter.
Control
Many parents and grandparents want to support their kids and grandchildren, but they don’t want to give them access to big amounts of money at a young age.
They can specify conditions for who will receive what and at what age by using a revocable trust.
What Is the Advantage of a Trust Over a Will?
One significant advantage of a trust over a will is its ability to bypass the probate process. Unlike wills, which must go through a public, often lengthy legal process to authenticate and execute, trusts facilitate a private and swifter transfer of assets.
This not only preserves the privacy of the estate’s details but also ensures beneficiaries receive their inheritance without the delay and costs associated with probate. Trusts also offer the flexibility to set specific conditions on asset distribution, providing a strategic advantage for those wishing to tailor their legacy in a more controlled and personalized manner.
Consult an attorney about revocable trusts in South Shore
Without the assistance of a South Shore revocable trust attorney, it can be difficult to determine whether you require a Will, a revocable trust, or both.
At a meeting with you at the McGinn Law, PC, our team of legal experts will get to know you and your long-term objectives before assisting you in creating an estate plan that satisfies your requirements. We can be reached by phone at 617-229-9974 or online at our contact page.
