What is the difference between a trust and a will?

The primary difference between a trust and a will is the way in which they help protect your assets. A trust is an arrangement set up by a person (the grantor) to hold assets for the benefit of another person (the beneficiary). The trust is managed and overseen by a third party, such as an attorney, called a trustee. Trusts are designed to protect your assets while you are alive and after your death. Trusts can be used for a variety of purposes, such as minimizing estate taxes, protecting your assets from creditors, providing for your family’s needs, and more. A will is a legal document that allows you to direct where your property will go when you die. It also allows you to appoint someone to carry out your wishes. Wills are primarily used to distribute property or funds to specific people or organizations upon your death. Wills may also be used to specify your funeral arrangements, appoint guardians for your minor children, and more. In sum, a trust is a legal arrangement created during your life to provide asset protection and management. A will is a legal document used to dictate your wishes after your death. Both are important for properly protecting and managing your assets in Massachusetts.

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What is the difference between a trust and a will?

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