Are there any drawbacks to a living trust?
Like most legal transactions, a living trust has pros and cons. Among the drawbacks is its cost. They are generally more expensive and complex than a will. There's a multistep process of drafting the trust, transferring your assets into it, and administering it. And there's a good chance you'll want an attorney to help write the trust or sign off on the process.
Living trusts also require their own record-keeping and tax returns since the trust is a separate financial entity from your own assets. Finally, living trusts have a longer contesting period than wills, allowing beneficiaries to protest any distribution from the trust for one to five years after your death.
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