Trust vs Will: What's the Difference?
Both a will and a trust transfer assets to heirs. But they work very differently — and choosing wrong can cost thousands.
| Feature | Will | Revocable Trust |
|---|---|---|
| Takes effect | After death only | Immediately |
| Probate? | Yes — 6-24 months | No |
| Cost to create | $200-$1,000 | $1,500-$3,000 |
| Probate cost | 3-7% of estate | $0 |
| Names child guardian? | Yes ✓ | No |
| Handles incapacity? | No | Yes ✓ |
| Privacy | Public record | Private |
| Multi-state property? | Separate probate each state | Covered ✓ |
When a Will Is Enough
- Straightforward estate (bank accounts, one home, car)
- Property in only one state
- Minor children who need a named guardian
- You want the simplest, lowest-cost option
When You Need a Trust
- Property in multiple states
- Privacy — probate is public, trusts are not
- Immediate asset transfer with no 6-24 month delay
- Incapacity planning, not just death
- Blended family with complex distribution
Best Approach: Both
Many planners recommend a revocable trust for major assets plus a "pour-over will" that catches anything not in the trust. The will also names a guardian for minor children — which a trust can't do.
💡 Regardless of which you choose: Your family needs to know where these documents are. A will/trust says WHO gets what. MyLifeLedger tells them WHERE to find it.
FAQ
What is the difference between a trust and a will?
A will takes effect after death and goes through probate. A trust takes effect immediately, avoids probate, and handles incapacity.
Do I need both?
Many planners recommend both. Trust for assets, will for child guardianship and anything not in the trust.
Cost comparison?
Will: $200-$1,000. Trust: $1,500-$3,000. But trusts save thousands in probate (3-7% of estate).
Does a trust avoid probate?
Yes. Assets in a funded trust transfer directly — no court, no delay.
Related
Your will/trust says WHO. Your ledger says WHERE.
Document where all your accounts, policies, and legal docs are located. Your family needs both.
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