When planning for the future, one of the most important steps you can take is creating a clear and comprehensive estate plan. Among the most essential tools in that process are a trust and will. Though often mentioned together, these two legal instruments serve different purposes and work in very distinct ways.
Understanding how a trust and will function—both individually and together—can make all the difference in protecting your loved ones, avoiding unnecessary legal complications, and ensuring your wishes are honored after you’re gone.
In this article, we’ll explain what each document does, highlight the key differences between them, explore their individual benefits, and show you why many people choose to include both in their estate plans.
What Is a Will?
A will, or more formally, a last will and testament, is a legal document that outlines your wishes regarding the distribution of your property, care of any minor children, and instructions for settling your estate after your death.
Some of the primary purposes of a will include:
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Designating beneficiaries to receive your property
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Appointing an executor to carry out your final instructions
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Naming guardians for any minor children or dependents
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Providing direction for funeral or memorial preferences
One key characteristic of a will is that it only takes effect after you pass away. Additionally, all wills must go through probate, a legal process during which a court validates the document, ensures debts and taxes are paid, and authorizes the distribution of your assets. Probate can take several months (or even longer in complex cases), and the process is public.
What Is a Trust?
A trust is a legal arrangement that allows a third party—known as a trustee—to hold and manage assets on behalf of a designated beneficiary. The person who creates the trust is called the grantor or settlor.
Unlike a will, a trust becomes active as soon as it’s created and funded. It can manage your assets during your lifetime and after your death.
There are two main types of trusts:
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Revocable Living Trust: This type of trust can be changed or canceled by the grantor at any time. It’s useful for managing assets while alive and simplifying the transfer process after death.
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Irrevocable Trust: Once established, this trust typically cannot be changed. It offers added protection from creditors and may help reduce estate taxes.
Trusts are often used to avoid probate, provide long-term management of assets, and maintain privacy—since they do not become part of the public record.
Trust and Will: Key Differences
Although both a trust and will are used to pass on your assets and communicate your final wishes, they operate in different ways. Here’s a quick comparison to highlight the major distinctions:
| Feature | Will | Trust |
|---|---|---|
| Effective Date | After death | Immediately upon creation |
| Probate Required | Yes | No |
| Public or Private | Public through probate | Private |
| Guardianship Appointments | Yes | No |
| Manages Assets During Lifetime | No | Yes |
| Tax Advantages | Minimal | Potential with irrevocable trusts |
| Control Over Distribution | Limited | Highly customizable |
| Cost to Establish | Generally lower | Typically higher due to legal complexity |
Advantages of a Will
Even though it requires probate, a will offers several important benefits and should be considered an essential component of any estate plan.
1. Straightforward and Cost-Effective
Creating a will is often quicker and more affordable than setting up a trust. It’s a practical choice for individuals with smaller or less complicated estates.
2. Designate Guardians for Children
If you have minor children, a will is the only legal way to name guardians who will care for them if something happens to you.
3. Clear Final Instructions
A will can include specific details such as how you want sentimental items distributed or preferences for your funeral arrangements.
Benefits of Creating a Trust
A trust provides more control and flexibility over how your assets are managed and distributed—both while you’re alive and after your passing.
1. Bypass Probate
One of the most compelling reasons people choose to set up a trust is that assets held in a trust are not subject to probate. This means faster access for beneficiaries and less stress for your loved ones.
2. Maintain Privacy
Unlike wills, which become public during probate, trusts remain private. This is especially important for families who value confidentiality around their finances and estate.
3. Manage Assets During Incapacity
If you become unable to handle your finances due to illness or injury, your trustee can step in and manage your affairs without needing a court’s involvement.
4. Customized Distribution
Trusts give you the ability to control when and how your assets are distributed. For example, you can specify that a beneficiary receives funds only after reaching a certain age or completing specific milestones.
5. Potential Tax Benefits
Certain irrevocable trusts can help reduce estate taxes and protect assets from creditors or lawsuits.
Why You Should Consider Having Both a Trust and Will
It’s not an either/or situation when it comes to a trust and will. In fact, combining both can give you the most comprehensive protection and flexibility.
Here’s how they work together:
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The will ensures you can name guardians for minor children and outline your final wishes not covered in the trust.
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The trust takes care of managing and distributing your financial assets, avoids probate, and can help protect your wealth during your lifetime.
Another important reason to have both: not all assets may be transferred into your trust. A “pour-over will” can act as a safety net, directing any remaining property into your trust after your death. This ensures nothing is left unmanaged or distributed contrary to your wishes.
Mistakes to Avoid in Estate Planning
Even with a good understanding of a trust and will, it’s easy to make errors that can undermine your estate plan. Here are a few common pitfalls to steer clear of:
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Not funding the trust: A trust only works if you transfer assets into it. If you don’t title property in the name of the trust, those assets may still go through probate.
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Using conflicting documents: If your will and trust contain conflicting instructions, it can cause delays or legal challenges. In most cases, the trust will take precedence.
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Going the DIY route: Online templates might seem convenient, but poorly drafted documents can lead to costly mistakes. An attorney ensures your documents are valid, aligned, and compliant with state law.
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Failing to update your plan: Major life events—such as marriage, divorce, having children, or acquiring new assets—should prompt a review and update of your estate plan.
A Smart Estate Plan Includes More Than Just One Document
A solid estate plan often includes more than just a trust and will. You might also need:
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A durable power of attorney to manage finances if you’re incapacitated
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A healthcare directive or living will for medical decisions
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A HIPAA release so loved ones can access your health information
When used together, these documents provide full coverage, protecting you and your family both during your lifetime and after your passing.
Let Doane & Doane Help You Plan with Confidence
Creating a comprehensive estate plan doesn’t have to be complicated—but it does require the right guidance. At Doane & Doane, we specialize in helping individuals and families design estate plans that include both a trust and will, customized to meet their goals and protect their legacies.
Whether you’re planning for the first time or updating an existing plan, we can help you:
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Decide between a trust, a will, or both
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Avoid unnecessary taxes and probate delays
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Ensure the right guardianship and asset management
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Secure your estate for future generations
📞 Contact us today at 561-656-0200 or fill out our contact form to schedule your consultation. Let us help you create a clear, legally sound estate plan that gives you peace of mind and protects those you love.
