Will vs. Revocable Trust
Directs assets through probate versus holding them outside probate.
What is Will vs. Revocable Trust?
A will directs distribution at death but must pass through probate - public, slow, and sometimes costly. A revocable living trust holds titled assets so they transfer privately and immediately, and it provides for incapacity during life. A trust only works for assets actually retitled into it.
Will vs. Revocable Trust: a worked example
A funded trust lets heirs access a house without a months-long probate proceeding.
More terms in Planning, Insurance & Estate
Emergency Fund
Liquid reserves covering several months of essential expenses.
Net Worth
Total assets minus total liabilities.
Term Life Insurance
Pure death benefit for a fixed period, no cash value.
Whole Life Insurance
Permanent coverage with a guaranteed cash value component.
Disability Insurance
Income replacement if illness or injury prevents you from working.
Long-Term Care Insurance
Covers extended custodial care that health insurance and Medicare do not.
Beneficiary Designation
Account-level instructions that override the will.
Probate
The court process validating a will and distributing an estate.