Wondering “why do you need a trust?” or “why do you need a will?” Having a will is important so that the judge knows your wishes after you pass. Having a living trust is important for all the reasons outlined below.
A will is a legal document that outlines your wishes for the distribution of your assets after you pass away. A will gives instruction to your executor but in many instances a Will will require a judge’s involvement through a judicial process called probate.
A living trust, on the other hand, is a legal document that allows you to transfer ownership of your assets to the trust while you are alive. It is the job of the trustee to manage the trust assets. During your lifetime, you are the trustee but after you die, a successor trustee is able to act in your place which will allow that person to distribute the assets according to your wishes after your passing.
Here are five reasons why you should have a living trust or a will:
Probate is the legal process of distributing a person’s assets after they pass away. This process can be time-consuming and costly, and it can tie up your assets for a long time. By having a living trust, you can avoid probate altogether, and your assets can be distributed more quickly and efficiently. This can save your loved ones a lot of time, money, and hassle.
Having a will or living trust gives you control over your assets even after you pass away. With a will, you can specify who will receive your assets and in what proportions. With a living trust, you can maintain control over your assets while you are alive, and you can specify how your assets will be distributed after you pass away. A living trust can provide more control and flexibility, as you can also specify when and how your assets will be distributed.
A will or living trust can provide protection for your family members after you pass away. With a will, you can specify who will care for your minor children and how your assets will be used for their benefit. With a living trust, you can provide for your disabled family members by specifying how your assets will be used to provide for their care and well-being.
A will or living trust can also help prevent family conflicts after you pass away. Without a will or living trust, your assets will be distributed according to state law, which may not align with your wishes. This can lead to misunderstandings and disagreements among family members. By having a will or living trust, you can specify your wishes clearly, which can help avoid family conflicts.
Finally, having a will or living trust can provide peace of mind. Knowing that your assets will be distributed according to your wishes can reduce stress and anxiety. By having a will or living trust in place, you can rest assured that your loved ones will be taken care of after you pass away.
In summary, having a will or living trust is an essential part of planning for your future. It can help you avoid probate, maintain control over your assets, protect your family, avoid family conflicts, and provide peace of mind.
If you need help creating a will or living trust, consider using Laguna Legal to prepare your legal documents and to guide you through the process. By planning ahead, you can ensure that your wishes are carried out and that your loved ones are taken care of after you pass away.