Trusts are more complex than wills, because they have more moving parts. First, some advantages.
Probate. Trusts don’t have to go through probate, saving your heirs time and money.
Privacy. Trusts are not public record.
Tax Benefits. Not all trusts provide tax benefits, but some do.
Trusts have more specific rules and restrictions than wills.
Transfer of Assets. Instead of owning your assets outright, you transfer them to a trust and become the trustee of your assets. You control them, receive the benefits and responsibilities, but when you die, they go to your beneficiaries.
Costs. Trusts are more expensive upfront, but offset that by reducing probate costs.
There are three main types of trusts:
Testamentary Trusts: The simplest, created through a will.
Revocable (or living) Trusts: Created by a separate trust document, usually instead of a will. Flexible and changeable.
Irrevocable Trusts: Also created by separate trust documents. Neither flexible nor easily changeable. Can have tax advantages.