Discussing the differences between a Will-based plan and a Trust-based plan so you can make an informed choice for your family about what is best for you and, ultimately, for them.
A Will-based plan is an estate plan that does not consist of a Living Trust to hold title to your possessions. If you deal with us and choose our Family Plan, which is a will-based plan, your legal documents will include a Health Care Regulation, Power of Attorney, a Will and, if you have small children, a Legal Guardian Prepare For Children.
A Trust-based plan is an estate plan that does include a Living Trust to hold title to your assets during your lifetime and to supply for ease of transfer of those assets in case of your incapacity or death. If you work with us and select our Trust Plan or Wealth Plan, your legal documents will include all of the files included in the Family Plan PLUS one or more Living Trusts.
So, what’s the useful difference?
The distinction between a Will-based plan and a Trust-based plan is that without a Rely on location your family would have to go to Court to get access to your possessions in case of your inability or death.
Your Will suggests who you wish to have access to those assets and how you want them distributed, however it does not keep your family out of the Court procedure. Going through probate (or guardianship in case of incapacity) is expensive, time-consuming, completely public and unnecessary. Which’s what happens when you have just a Will in place and not a Trust.
When you have a Rely on place, there is a bit more work for you to do upfront due to the fact that you need to make certain that all of your properties are owned in the Trust throughout your lifetime (or insurance coverage assets are recipient designated to the Trust).