Key Takeaways
- A will takes effect at death and usually goes through probate, a public court process.
- A revocable living trust holds assets during your life and passes them to beneficiaries at death, generally without probate.
- A trust only controls assets that have been transferred into it; a “pour-over” will catches anything left out.
- Only a will can nominate a guardian for minor children, so even people with trusts need a will.
- A will is simpler and cheaper to set up; a trust can save time, cost and publicity later.
The basic difference
Both a will and a trust say who receives your property when you die. The difference is how the property gets there.
- With a will, your property stays in your name until death. Then your executor typically goes through probate: a court process to validate the will, pay debts and distribute what’s left.
- With a revocable living trust, you transfer property into the trust while you’re alive, usually serving as your own trustee. When you die, a successor trustee you’ve chosen distributes the trust’s assets, generally without going to court.
Will vs. trust at a glance
| Will | Revocable living trust | |
|---|---|---|
| Takes effect | At death | When signed and funded |
| Probate | Usually required | Avoided for assets in the trust |
| Privacy | Becomes public in probate | Generally stays private |
| Names a guardian for children | Yes | No |
| Manages assets if you’re incapacitated | No | Yes, the successor trustee can step in |
| Upfront cost and effort | Lower | Higher; assets must be retitled into the trust |
| Can be changed | Yes, anytime while competent | Yes, anytime while competent |
| Protects assets from creditors | No | No, not a revocable trust |
When a will is usually enough
- Your estate is modest, and most assets already pass by beneficiary designation or joint ownership
- Your state has a simplified probate process for smaller estates
- You want to name a guardian for your children
- You want the simplest, lowest-cost plan
When a trust makes sense
- You own real estate in more than one state, which could mean probate in each
- You want to keep your affairs private
- You want to avoid probate delays and costs; see how to avoid probate
- You want someone to manage your assets seamlessly if you become incapacitated
- You want to control how and when heirs receive money, for example in stages
- You have a beneficiary with special needs or who isn’t good with money
Most people with a trust still need a will
A trust only controls what’s in it. A pour-over will directs anything you forgot to transfer into the trust at your death. And a will is where you nominate a guardian for minor children. Health care and financial powers of attorney are still needed too, since neither a will nor a trust covers medical decisions.
Frequently asked questions
Not for everyone. A trust avoids probate and keeps things private, but costs more to set up and requires transferring assets into it. A will is simpler and is the only way to nominate a guardian for your children.
No. Because you control a revocable trust, its assets are generally treated as yours. Asset protection requires different planning, usually with an irrevocable trust.
It isn’t controlled by the trust. A pour-over will can move it into the trust at death, but that asset may have to go through probate first.
Yes. Most people serve as their own trustee and name a successor trustee to take over if they become incapacitated or die.
Yes. A pour-over will catches assets outside the trust and is where you nominate guardians for minor children.
Keep reading
- Estate Planning Checklist: The Documents Everyone NeedsA plain-English estate planning checklist: the will, living will, powers of attorney and other documents everyone needs, plus what to organize and when to update.
- What Is a Living Will? How It Works and What to IncludeA living will records your wishes about life-sustaining treatment if you can't speak for yourself. Learn what it covers, when it applies and how it differs from a will.
- Living Will vs. Advance Directive: What’s the Difference?An advance directive is the umbrella term; a living will is one type. Learn how living wills, health care powers of attorney and advance directives fit together.
- What Happens If You Die Without a Will?If you die without a will, state intestacy law decides who inherits, who manages your estate and who raises your kids. Here's what typically happens.
- Funeral Planning Checklist: How to Plan AheadA step-by-step funeral planning checklist: burial or cremation, the service, costs, paperwork and how to make sure your family can find your wishes in time.
- How to Avoid Probate: 6 Common StrategiesProbate can be slow, public and costly. Learn six common ways to pass assets directly to your heirs, from beneficiary designations to a living trust.
- How to Choose an Executor for Your Will (and What They Do)Your executor carries out your will. Learn what an executor does, who makes a good choice, and the mistakes to avoid when naming one.
- Pet Trust: How to Provide for Your Pets After You’re GonePets can't inherit money, but a pet trust can fund their care. Learn how pet trusts work, how they compare with a will, and how to choose a caregiver.
Don’t leave your family guessing
Put your health care wishes in writing with a living will, HIPAA release and medical authorization. The No Brainer Box adds a last will, a revocable trust and health care and financial powers of attorney.
- Answer a few simple questions online
- Download your completed, ready-to-sign forms
- Sign them and keep copies in your account
This guide is general educational information written by the No Brainer Forms Team. It is not legal advice, and No Brainer Forms is not a law firm. Laws and signing requirements vary by state; for advice about your situation, talk to a licensed attorney in your state.