Wills vs. Revocable Trusts

11/22/2010

Some lawyers say a will-based estate plan is sufficient for almost everyone.  Others think most people need a revocable living trust.  Still others apply a financial means test, meaning if you are worth more than X dollars, a revocable living trust is right for you.  If you are worth less than X dollars, you don't need a trust-based plan. 

Notice that none of these approaches uses the client's goals as a factor.  Nor do they consider what kind of assets are in the estate. 

In my view, it doesn't really matter how much you have.  What matters is what you have and what you want to accomplish with it.  Estate planning is not a one size fits all proposition.  You have to look at your goals.  You have to look at your family and financial situation.  Then you need to mold this into a plan that works best for you and your situation.