The Differences Between a Revocable Trust and a Will

The Differences Between a Revocable Trust and a Will

 In Wills & Trusts

When planning your estate, it is essential to understand the tools available to ensure your assets are acutely protected and your wishes are accurately fulfilled. Two key tools for planning the management and protection of your assets are wills and revocable trusts.

Wills can be a vital part of any estate plan, particularly for naming guardians and ensuring your wishes are carried out after death. However, on its own, it may fall short in addressing more complex estates or assets. A revocable trust can help fill those gaps and provide greater control, flexibility, and protection.

Learn about the major differences between the two and decide which one is right for your estate planning needs. If you are unsure which tool best fits your needs, contact our team to design a plan built for you.

Revocable Trust Last Will & Testament
  • Takes effect during lifetime
  • Assets owned by or payable to the trust avoid probate
  • Private document
  • Identifies the preferences for use of assets in child-rearing and young adulthood. Can cover the projected expenses guardians would incur
  • Specifies when the responsibility over assets should be transferred to their beneficiaries
  • Covers in more detail what should happen to your assets and who has power to distribute
  • May provide lifetime inheritance protection against the “Killer Ds” of debt, divorce, destructive habits, disability, and death of a child
  • Maximizes federal and state estate tax exemptions to save from estate taxes
  • Provides guidance for your care during incapacity
  • Takes effect at death
  • Does not prevent probate
  • Publicly accessible, once filed with probate court
  • Names the Guardian of your minor children
  • Usually limits management of beneficiary’s inheritance to lump sums at specific milestones (e.g., age 21, age 25, etc.)
  • Covers what should happen to your assets and who has power to distribute
  • Offers no lifetime protection of beneficiary’s inheritance
  • Offers no protection from estate taxes
  • Doesn’t address incapacity since it does not take effect until after death
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