What is the difference between a living trust and a living will?

A living trust and a living will are two very different estate planning legal documents. A living trust is a financial instrument specifically designed for asset management and distribution upon the death of the trustmaker. A living will, on the other hand, is a document created to outline an individual’s end-of-life medical care wishes in case they become incapacitated and unable to make those decisions for themselves. A living trust is set up while the trustmaker (the person creating the trust) is alive and is often used to avoid probate. It is a written, legal agreement that outlines who should manage the trustmaker’s assets and how those assets should be distributed to the trustmaker’s beneficiaries after death. While living trusts are typically created to prevent probate, they can also be used to provide financial protection for the trustmaker’s heirs, as they can determine the terms of the trust. A living will, on the other hand, is a document that outlines a person’s wishes for their end-of-life care if they become incapacitated and unable to make decisions for themselves. These wishes can include decisions about medical treatments, such as whether the person would like to be kept on life support, pain management options, or do-not-resuscitate orders. Living wills allow individuals to have a say in the decisions that will be made about their healthcare, even if they are unable to communicate them during the time of need. In summary, a living trust is a financial instrument used to manage and distribute assets after the trustmaker’s death, while a living will outlines the individual’s end-of-life medical care wishes in case they become incapacitated.

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What is the difference between a living trust and a living will?

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