Though it may be morbid to think about, taking the time to think about what you would like to happen with your assets after you pass is essential. Leaving your belongings and finances unprotected means your belongings may not go where you intended. However, ensuring you take estate planning seriously can help ensure that your final wishes are fulfilled. Keep reading to learn more about a will vs. a trust and how a Woodland Hills, California estate planning attorney can help guide you through the process.
A Will vs. A Trust: The Basics
While both trust and will announce who will receive your assets, they vary in terms of when they take place and the complexity behind the documents.
Despite being one of the most important legal documents, a will is a bit simpler to understand. This record names who will receive your assets after you pass. You decide how your assets will be split, guardianship of children or pets, who receives what, and how you would like your final arrangements to occur. This document goes into effect posthumously and will then be divided and distributed according to your wishes in the will.
A trust, on the other hand, goes into effect after signing. This document allows a third party to hold and manage assets and money for another party. A trust allows you control of the wealth, as the grantor can set the terms of wealth management, which ensures the trustee will handle the assets according to the guidelines for the beneficiary.
Can You Have Both of These Documents?
Though it may seem like a one or the other situation, you can create both a will and a trust, ensuring that your money and assets are protected in your lifetime and after.
Creating a will as soon as possible is crucial to ensuring your wishes are granted upon death. If you wait too long, you may not be able to guarantee that your money is distributed according to your wishes.
A trust is also an ideal choice for those looking to ensure their children or other loved ones have funds they can access, should they need to. Though there is the assumption that only the wealthy can set up trust funds, this is incorrect. Before setting up a trust, it is essential to note that you will need to research the various types of trusts to determine which one is best for you and your beneficiaries.
How Do I Set Up A Will or A Trust?
As both a will and a trust are legal documents, you will need to enlist the help of an experienced lawyer. Failure to complete the process without the guidance of a legal attorney can void the documents. Instead, contact the Law Offices of Yacoba Ann Feldman to help you begin the process of estate planning.