Wills vs Trusts - 10 points of interest

1. Wills are normally less expensive, but must be probated.
2. Wills can have trusts in them that take effect on death.(testamentary trusts)
3. Wills are more likely to be challenged, as the maker is not available for testimony.
4. Probate of a will is public record.
5. Trusts are normally a better planning tool, as they take effect now and provide flexibility for different situations.
6. Estate Tax exemption is up to $1,000,000 per person.
7. Simple estates under $500,000 probably don=t require a trust for tax purposes, but a trust might be desirable for non-tax purposes.
8. Land in different states requires probate in each state, making a trust more desirable to save probate costs.
9. Trusts are more work, as they must be kept up to date and funded to avoid probate.
10. Trusts are helpful for disability, as there is no need for a conservatorship. The trustee acts as conservator.