One of the biggest missteps people make when it comes to estate planning is assuming it is something only the wealthy need to worry about. As if you need a mansion or a stock portfolio to plan your home, your kids, or even your checking account.
“Estate planning is really about clarity, deciding who handles things if you cannot, and making sure what you have worked for ends up where you want it to,” says Ana Veliz of Veliz & Associates, P.A.
Out of all the ways to plan your estate, wills and living trusts come up the most. In this article, we’ll explain what each option does, how they differ, and how to choose the one that fits your situation.
What is a Will?
You do not need to own a business, a yacht, or ten properties to need a will. If you live in Florida and you own a home, a car, a bank account, or a child, you already have an estate. And like it or not, the State of Florida has a legal blueprint for what happens if you do not make one yourself. That blueprint might not match your values, relationships, or life.
- The court will decide who inherits your property, and it may not be who you trust the most.
- If you have minor children, a judge decides who raises them.
- Someone will be chosen to manage your estate, and you cannot make a decision.
- The entire process moves through the Florida probate court, which is public, slow, and often expensive.
A will won’t let you bypass probate in Florida, but it does something just as important: it tells the court what you want, not what the law assumes.
What Is a Trust?
A trust is a legal tool that holds and manages your assets, either while you are alive, after you die, or both.
You create it. You manage it while you are healthy, and you name someone you trust to take over if needed. If you pass away, they follow your instructions, without needing a judge to sign off. And because trusts do not go through probate, everything stays private.
That said, a trust only works if it holds your property. Creating it is not enough. You have to “fund” it, meaning you move titles, deeds, and accounts under its name. The good news is that once it’s funded, your successor trustee can manage or transfer everything smoothly, without your loved ones getting stuck in Florida’s probate process.
What Floridians typically put in a living trust:
- Primary homes, rental properties, or vacation homes
- Checking and savings accounts
- Stocks, bonds, and retirement brokerage portfolios
- Interests in small businesses or partnerships
- Valuable personal items you want to keep in the family
- Digital holdings like online income streams or NFTs
Key Differences
Once you understand what wills and trusts do on their own, the next question is always the same: how do they really compare? And more importantly, which one makes sense for your lifes?
So let’s walk through the real, practical differences you should know if you live in Florida and want to choose wisely:
- When will it take effect?
A will only takes effect after you die.
A trust is active from the moment you sign and fund it. - Whether it goes through probate
A will must go through Florida probate court.
A trust avoids probate if it’s properly funded. - Privacy
A will becomes a public court document.
A trust keeps your estate details off the public record. - Asset control
A will does not let you step in or make changes while you are still here.
A trust allows you to manage everything, even during incapacity. - What does it cover?
A will covers anything you still own when you die.
A trust only covers what you transfer into it.
- When will it take effect?
When to Choose One Over the Other
If your estate is relatively simple, a will can absolutely do the job. It’s cheaper to set up, easier to understand, and it still gives you the chance to name a guardian for your kids and spell out who gets what. But when your estate grows, so do the moving parts. If you own property in more than one state, run a business, or want to avoid a long probate timeline, a living trust may serve you better. It lets your plan start working while you are alive, and keeps things moving privately if you cannot manage them later.
Trusts are a tool to keep your financial affairs confidential. Once submitted to probate, your will is publicly accessible under Florida law. Trusts don’t. And if you are raising young children, you do not have to choose between tools; you can use both. Name guardians in your will. Use your trust to manage how and when your kids receive their inheritance.
Why You Should Hire an Estate Planning Firm
Hiring a professional estate and legacy planning firm offers invaluable expertise and peace of mind. These firms guide you through complex legal and financial decisions, ensuring your will or trust aligns with your goals and complies with state laws. A skilled firm can help you navigate the intricacies of probate avoidance, asset protection, and tax planning, tailoring strategies to your unique circumstances. They also provide clarity in situations involving blended families, minor children, or significant assets, ensuring your legacy is preserved as you intended.
By working with a trusted planning firm, you gain access to comprehensive solutions that address not only the legalities but also the personal and emotional aspects of planning for the future. Their expertise ensures that your loved ones are cared for and that your hard-earned assets are managed and distributed according to your wishes, avoiding unnecessary complications or disputes.