Discuss the differences between a will and a trust.

A will is an instrument which helps a person direct her assets to the desired beneficiaries after death. It generally can be revoked or altered at any time prior to death. Without a will, the decedent's property will be distributed according to the intestacy statute of the state where the decedent resided at the time of death. The reasons to have a will include: to distribute assets according to your wishes; to select a personal representative to oversee the estate; to avoid legal issues and expenses that are more likely to arise if there is no will; and to name a guardian for minor children.

A trust is an entity that separates legal and beneficial ownership. The trustee becomes the legal owner of the trust assets, but must use them for the benefit of the beneficiary, who has equitable title. There are three entities involved in a trust: the settlor, the trustee, and the beneficiary. Trusts may be created while the settlor is alive or through a will. The advantages of a trust include: the settlor can leave instructions for the control of the trust assets after death; a trust can be set up to manage property that will ultimately go to individuals who are currently minors; a trust can save taxes; and the assets of a trust are not probated.