When it comes to estate planning, two of the most commonly used tools are wills and trusts. While both serve the purpose of passing on your assets after death, these two different documents do so in different ways — and each has its own pros, cons, and uses. Understanding the difference between a will and a trust can be key to making informed decisions about how to protect your loved ones and your legacy.
What Is a Will?
A Last Will and Testament (usually referred to more simply as a will) is a legal document that states your wishes regarding:
- Who inherits your assets after you die
- Who will care for your minor children (if applicable)
- Who will be in charge of carrying out your instructions (called the Personal Representative or Executor), while also stating your wishes about whether that person (or entity) has the authority to carry out those instructions with/without court supervision (Independent Administration vs. Supervised Administration) and with/without the necessity of obtaining a bond
A will can be relatively simple, is usually inexpensive/easy to set up, and is an essential part of almost every comprehensive estate plan, even those that involve trust(s).
Pros of a Will:
- Simple and cost-effective to create
- Lets you name guardians for minor children – in fact, a will is the only place that you are able to do so
- Ability to update as your life changes
Cons of a Will:
- Must go through probate (a public court process that can be extremely time-consuming and expensive) – and only controls assets that are individually owned with no beneficiary designation in place
- Becomes public record
- Only takes effect after death – i.e., a will is not an instrument for “end-of-life” planning, but is solely for “after death” planning
- Does not allow for much control of the assets after death – at least without creating a trust (often called a “testamentary trust”)
What Is a Trust?
A trust is a legal arrangement created by a grantor/settlor where one or more persons (the trustee(s)) hold and manage property for the benefit of another person or persons (the beneficiaries). Trusts can take effect during your lifetime or after death, depending on the type.
The most common kind is a revocable living trust, which allows you to retain control over your assets while you’re alive, and seamlessly transfer them after your death without going through probate.
Pros of a Trust:
- Avoids probate, allowing your beneficiaries to receive the benefit of your estate more quickly after your passing
- Maintains privacy (not a public document like a will, except in very rare circumstances which usually involve a court challenge of the trust itself)
- Can take effect during your lifetime (e.g., in case of incapacity) – so trusts, unlike wills, can be an important tool for both “end-of-life” planning and “after-death” planning
- Can provide greater control over how and when assets are distributed
Cons of a Trust:
- More complex and costly to set up than a will – more of the process happens upfront (when the trust is initially created)
- Requires you to retitle assets into the trust
- Still may need a simple will (a “pour-over” will) as a backup in case some assets do not get retitled properly
Do You Need a Will, a Trust, or Both?
- A vast majority of people should at least have a will. It is the foundation of any estate plan. Whether or not you have significant assets that need to go through probate at your death, just simply allowing for independent administration and a waiver of bond can make the cost of writing a will worth it.
- If you have significant/complicated assets, you have a large family (or a lot of people/entities you want to distribute your estate to), you own property in multiple states, you want to avoid probate, or you have estate tax concerns, a trust can be a smart move. These are just a few of the many reasons that a trust might make sense for you and your family.
- If you have minor children, you absolutely need a will to name guardians. As stated above, this is the only document that allows you to express your wishes about who should take care of your children in the event of your death.
Often, people use both: a trust to manage the transfer of most assets, and a will as a backup for anything not included in the trust.
Bottom Line
Wills and trusts are not just for the wealthy—they’re tools that can help anyone plan ahead, protect loved ones, and avoid unnecessary legal complications. The right combination depends on your specific needs, goals, and circumstances. Estate planning is an important consideration for every single adult – regardless of age, income, or asset level
Before making a decision, it’s always wise to consult with an estate planning attorney who can help tailor a strategy that’s right for you. An experience estate planning attorney will help you navigate all of these issues and more.
Need help getting started with your estate plan?
If you are in the state of Missouri, please feel free to reach out to my office to schedule a free initial consultation. We have offices in Columbia & Jefferson City, and we are available for Zoom appointments for anyone outside of those two areas. I look forward to speaking with you soon!
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