Ultimately, taking the time to prepare with a thought-out estate plan that consists of a will or a living trust is one of the best things you can do for your family. Professional Texas attorneys such as John Hixson have been helping families do that for years in Arlington and the surrounding community. This helps your loved ones to grieve without having to make important decisions or deal with lengthy paperwork at a difficult time.
Understanding The Differences Between Wills & Trusts
One main difference between wills and trusts in Texas is that one goes into effect after someone dies and the other takes effects as soon as it is created (a trust). A will is a legal document that directs who will receive property at someone's death. It also appoints a legal representative to carry out the wishes of the will. While a trust is used to begin distributing property before death, at death or even after. A trust is a legal arrangement through which one person or institution such as a bank or law firm, known as a trustee, holds the legal title to property for someone else known as a beneficiary. A trust typically has two beneficiary types: one that receives income from the trust throughout their life or another that receives whatever is left after the first set of beneficiaries pass on.
A will covers any property that is only in the beneficiary's name when they die. It doesn't cover anything in a trust or in joint tenancy. A trust, however, covers only property that has been transferred directly to the trust itself. Also, a will passes through probate. That means that a court oversees that the will is valid and the property is distributed accordingly. A trust passes outside of probate, so a court isn't required. This saves both time and money for living family members.
If you or a loved one need help with wills & trusts in Arlington or the surrounding communities, call 817-261-5000 today to speak to a professional estate planning attorney.