We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.
The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ...
Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.
Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Washington residents who wish to begin planning their estate can choose an irrevocable trust or a will. These tools have notable differences.
An irrevocable trust allows you to hold assets beneficiaries inherit in the future. Anything held in an irrevocable trust is no longer yours once you place it within. You cannot change the trustโs terms and must go through the court if changes are needed.
Irrevocable trusts arenโt flexible and you donโt maintain control over the assets placed in them. An irrevocable trust is more beneficial to individuals who are wealthy. Assets placed in the trust can bypass estate taxes and are protected from creditors in the event the creator owes a debt.
A will is a legal document that allows you to state your wishes for things in the future. You can choose beneficiaries who will inherit your assets and property, name guardians for your minor children and name a person to handle your estate once youโre gone. You can also describe how you want your final arrangements to be handled. A will can be changed if circumstances require it. For example, if a beneficiary decides they donโt want to inherit from you, you can name an alternate in their place.
The biggest difference between an irrevocable trust and a will is that the trust cannot be changed while a will can be changed. A will can also be contested, but a trust is less likely to be contested.
A will doesnโt offer the same protections as a trust. For example, everything is made public with a will. A trust maintains your privacy. Trusts can protect you from estate tax while a will doesnโt do that.