Gold Standard; Why Trusts beat Wills for Estate Planning in California

Planning your estate doesn't have to be a California nightmare.

While wills are common, and often talked about, Californians should turn to trusts for a smoother, faster, and ultimately more cost-effective estate planning. Here's five reasons a trust is often the wiser choice:

1. Just Say No to Probate:

Imagine your loved ones navigating a complex court system during their time of grief. Not ideal.

Although wills designate beneficiaries, they still require probate, a public and lengthy process (often 12-18 months) where the court oversees asset distribution. Probate fees start at 8% of your asset value, and doesn’t consider debt like like mortgage balances.

Trusts, however, can bypass this entirely, saving your family time, stress, and significant fees.

2. When Time is of the Essence, Skip the Courts:

As mentioned, probate can drag on for months or years.

Trusts, on the other hand, allow assets to be distributed much quicker, sometimes even immediately. This means faster access to crucial financial resources for your beneficiaries, especially when they need them most.

3. Estate Privacy Matters:

Wills become public records during probate, exposing details of your assets to anyone who cares to peek.

Trusts, however, remain private, shielding your financial information from prying eyes.

4. Control Your Estate From Beyond Your Lifetime:

Wills offer limited control over asset distribution.

Trusts, however, empower you to dictate how and when your beneficiaries receive their inheritance. You can even set conditions, like completing their education, before they access funds.

5. Probate Can Cost a Small Fortune:

Yes, creating a trust might have an initial cost. But its long-term benefits outweigh the drawbacks. Avoiding probate (which starts at 8%) saves everyone involved significant legal fees and court costs. Plus, faster access to assets can help beneficiaries avoid financial strain.

The Verdict: While wills have their place, trusts offer a clear advantage for Californians seeking a more efficient, private, and cost-effective estate plan.

Consult with an estate planning attorney to determine if a trust is right for you. Remember, proactive planning ensures your California dream becomes a reality for your loved ones, not a legal drama.