Helping You Choose Between A Will And A Trust
Many individuals are perplexed by the purpose and function of a will and a trust. It is common to wonder which is best for you or if both are necessary when navigating the many elements of estate planning.
The choices you have made throughout your life are unique, so the will or trust you build will be the same. The attorneys at Olsen & Mahoney, LLP, can efficiently and affordably help you make decisions that will result in the best outcome possible in the estate plan you leave for your family. Contact us to learn more about your trust options in Colorado.
What Is The Difference Between A Trust And A Will?
A will is a document that you execute now, but that does not become effective until your death. A will sets forth how your property should be distributed, including whether all or some of such property should be held in trust, and who should be in charge of that distribution and administration process. So long as you continue to have capacity, you can continue to revise and update your will over time to ensure that your wishes are accurately reflected.
A trust, on the other hand, generally serves the same purpose as a will in terms of instructions but becomes effective once you execute the same. This means that you will likely need to take steps to title your property in the name of your trust once you have signed the trust agreement; additionally, you will need to ensure that your property remains titled in the name of the trust as you sell and exchange property going forward. Whether or not you may change your trust agreement will depend on whether you set up a revocable or irrevocable trust. While a revocable trust will fit the needs of most clients, an irrevocable trust may be considered for a variety of reasons, including estate and gift tax planning for the benefit of your loved ones.
To the extent you make a trust a component of your estate plan, you will generally need a companion will to go along with the trust to ensure that any property remaining in your name, individually, upon your death is ultimately transferred to your trust for distribution purposes.
Select An Experienced Parker Estate Planning Lawyer
Many clients believe they need a trust to avoid the probate process upon death. However, Colorado is fortunate enough to have a relatively simple and straightforward probate administration process. Additionally, the opening of a probate estate may also make the administration of your property more efficient upon your death as there are more specific and shorter deadlines under which creditors must assert claims in order to be paid.
Accordingly, it is extremely important to discuss your situation with an experienced estate planning attorney to determine what type of documents best fits your needs. Our experienced, compassionate attorneys can help you determine which plan of action will support a successful future for you and your loved ones.
Contact Olsen & Mahoney, LLP, Attorneys And Counselors At Law
Our main office is conveniently located in an accessible part of Denver, with satellite offices in Arvada and Parker. To speak with one of our knowledgeable Denver estate and trust lawyers, call 303-329-4670 or email us to schedule an initial consultation.