Wills
- Distribute assets upon death but are irrelevant upon incapacity
- Must be administered by the court through the probate process, a public proceeding lasting at least six months during which time your assets may be frozen
Revocable Living Trusts
- Control management and use of assets whether you are healthy, incapacitated, or upon death
- Transition of asset management to successor trustees upon incapacity or death is handled privately and without court intervention
- Distribution of assets to heirs is done privately and without any court-imposed waiting period
- Can also be used to minimize or eliminate estate taxes upon your death, and to safeguard your assets from your loved ones’ financial immaturity, their creditors and judgment debtors, and even their potential future divorces.
How They Stack Up: The Side-by-Side Comparison
PRIVACY
Wills
No privacy. All documents and proceedings after death are public.
PRIVACY
Revocable Living Trusts
Totally private unless court intervention is required, which could be due to improper drafting or failure to transfer assets into the trust.
DISABILITY PLANNING
Wills
Only come into effect upon your death. If you become incapacitated, a public court proceeding might be needed to name someone to manage your assets.
DISABILITY PLANNING
Revocable Living Trusts
Seamless, private transition of asset management upon incapacity. Incapacity is determined privately by family members and/or doctors.
DISPOSITION OF ASSETS
Wills
Can be used to distribute assets upon death either outright or to beneficiaries in trust. Must go through the public probate process, which can be time-consuming.
DISPOSITION OF ASSETS
Revocable Living Trusts
Can be used for disposition of assets upon death either outright or to beneficiaries in trust. Done privately and quickly because probate process is avoided. No public record of beneficiaries.
CREDITOR PROTECTION
Wills
None while alive. Creditors of the estate have up to six months to present claims or they are forever barred.
CREDITORS PROTECTION
Revocable Living Trusts
None while alive. No creditor “shut off” period. Most trusts provide that valid claims against the estate be paid.
EFFORT REQUIRED
Wills
Less up front, but more for your heirs upon your disability or death.
EFFORT REQUIRED
Revocable Living Trusts
More effort to properly design your trust and properly transfer your assets to it in order to accomplish all of your goals today, both upon your incapacity and death. Much less effort by heirs later.
COST NOW
Wills
Usually low to moderate expense.
COST NOW
Revocable Living Trusts
Somewhat higher than a will to set up trust.
COSTS TO AMEND
Wills
Usually small.
COSTS TO AMEND
Revocable Living Trusts
Usually small.
COST LATER
Wills
Court costs, attorney’s fees, appraisal costs, etc.
COST LATER
Revocable Living Trusts
Some attorney’s fees and/or CPA fees to administer the transition to the new trustee.
A Will or A Revocable Living Trust
Planning Issue
Will Trust
Real Estate
Young clients without kids
Older clients with grown kids
Limited assets (under $100,000), including life insurance proceeds payable on your death
Assets in excess of $100,000, including life insurance proceeds payable on your death
Large qualified retirement assets (IRAs, 40l(k), 403(b), etc.)
Privacy issues
Planning Issue
Will Trust
Possible or probable mental disability
Desire to make everything as easy as possible for heirs
Out-of-state real property or timeshare
Complicated disposition issues
Out-of-state executors, trustees or guardians
Desire to build in asset protection of inheritance for spouse, children or grandchildren
Planning for couples in second or subsequent marriages
Planning for beneficiaries with special needs
I was headed into major surgery with two little kids, a husband and a business that depended on me. I needed to know that my kids would be taken care of and that my husband wouldn’t have to be the one making all the difficult decisions when it came to a living will. Jodie worked with me and really listened to what I needed to set up to make sure my kids were taken care of in case something happened. She made the process easy and answered all my questions as we went through the process. She has given me a little peace of mind and did it with so much kindness and caring.
~ Margaret Adsit ~
Jodie Gilbert was so helpful in putting together my Special Needs Trust and Living Will. She was very patient in listening to all my questions and then very clearly explaining how to go about getting them resolved. This was all done in a very caring and timely manner. I am so thankful for all the time and expertise that she put into these legal documents. I would highly recommend Jodie for help in any legal matters.
~ Tova ~
Wendi really took the time to answer all of our questions with a mix of humor and seriousness, and diligently followed up. She is on it, and emotionally open to the emotional part of the process. Wendi makes you feel incredibly comfortable during all stages of what can seem like a daunting process. I really trust her, and feel so much more prepared for my future and my children’s futures after going through this work. She provides a great gift to her clients.
~ Mari Brown ~
We had been researching lawyers for years to do our estate plan. We feel we learned more from our first 20 minutes with Wendi than we did in an hour with any of the others. Wendi was really patient with all of our questions and explained everything so well. We have already recommended her to several of our friends.
~ David and Celine Alper ~
We loved working with Temkin Law. We not only gained a better understanding of estates and trusts, but of ourselves as well. We can rest easy knowing that our ‘stuff’ is in order for our child. Doing the Legacy Interview was absolutely priceless. We so enjoyed getting to know Wendi.
~ L.W. and J.W. ~
Wendi made a time-consuming process much easier to complete through her check-lists, templates, and clear instructions for every task. The binder she put together for us is so thorough and makes something overwhelmingly complicated possible to understand and follow. If I need to remember anything about what we did, I know it is in the binder!
~ Mary ~
This truly was the best experience with an attorney ever. Ms. Temkin shines brightly with her highly capable communication skill. She also brings a level of comfort that is authentic and unlike previous attorney contacts. Her personable communication style coupled with her strong knowledge base quickly streamlines the experience into a straight forward efficient session.
~ Judy Roberts ~
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