Clarifying Your Will
Understanding the Difference Between a Will and a Trust
If you've ever thought, "I have a will, so that should keep me out of probate court, right?" — you’re not alone. Many people believe that having a will means they can avoid probate court. However, that’s actually a misconception. In fact, a will is designed specifically for the probate process.
Think of a will as an instruction manual for the judge and your executor. It outlines what you want to happen with your assets after you pass away. While this can ensure your wishes are followed, it still requires the probate court’s involvement.
So, if avoiding probate court is your goal, a will isn't the solution. What you need instead is a trust.
Why Would You Still Need a Will if You Have a Trust?
Once you have a trust, you might wonder why you would still need a will. For most people, they typically don’t need a traditional will anymore. However, estate planning attorneys often draft what’s called a pour-over will alongside the trust.
A pour-over will serves as a safety net. Its purpose is to catch any assets that weren’t placed in the trust before you passed away. For example, if you forgot to transfer a particular asset or didn’t have it routed to the trust, the pour-over will directs those assets back into the trust. This helps ensure that your estate plan is complete and consistent, even if you miss a step along the way.
Key Takeaways
A will is designed for the probate process and serves as instructions for the court.
If you want to avoid probate, you need a trust.
A pour-over will acts as a backup to ensure all assets eventually make it into your trust, offering additional protection.
Understanding the differences between these estate planning tools can help you make informed decisions about protecting your assets and ensuring your wishes are honored.
If you’re interested in learning more about how a pour-over will fits into your overall estate plan, or would like me to review or create a trust for you, then click the link below to schedule a call with me today - I’m always happy to help!
To learn 80% of what you need to know about estate planning in less than 30 minutes, check out my full-length video. It’s a quick and comprehensive guide to help you understand the basics and start taking steps to secure your future.
