**Laws change frequently, and each individual's situation is unique. Therefore, the following article is not intended as legal advice. To obtain particularized, up-to-date legal advice, please contact us.**

WILL	TRUST
All assets remain in the name of the owner.	All assets transfer to ownership of trust.
Cost: $250 to $750 (estimated, depending on complexity)	Cost: $1,500 to $5,000 (estimated, depending on complexity)

Income tax is the same whether the assets pass through a Probate or a Living Trust - unless a third person is the Trustee, in which event the taxes will probably remain the same but an extra income tax return will need to be prepared and filed.


Estate and Inheritance Taxes will be the same in a Living Trust or through a Will if both documents are planned to eliminate or minimize these taxes.

WILL	TRUST
A Will must be probated.  This consists of filing the Will with the Court and having a personal representative appointed.	A Trust does not need to be filed with the court nor does a representative need to be appointed.
Cost:    Filing Fee $100    Attorney's Fee $1,000	Cost: $0

WILL	TRUST
Inventory and Value Assets	Inventory and Value Assets
Pay Debts	Pay Debts
Prepare and file Estate and Inheritance Tax Returns and pay taxes	Prepare and file Estate and Inheritance Tax Returns and pay taxes
Prepare and file closing income tax returns	Prepare and file closing income tax returns
Distribute assets to heirs	Distribute assets to heirs

WILL	TRUST
Will must be filed with the court.  No Inventory of Assets required to be filed for death after 12-31-97.	Trust may or may not need to be filed with County Auditor to clear title to land. No Inventory of Assets required to be filed. Trust may need to be presented to banks or title insurance companies (and others) during lifetime to allow borrowing or transfers of title.

WILL	TRUST
Distribution is possible before closure of Estate but not recommended until after debts and taxes are determined. Premature distribution subjects Personal Representative to personal liability.	Distribution is possible shortly after death but not recommended until after debts and taxes are determined. Premature distribution subjects Trustee to potential personal liability.

Challenges can be made to the validity of either document for the same type of reasons such as incompetence, undue influence or mental illness. Litigation can also challenge interpretations, valuations and distributions for the same reasons for either type of document.