A trust is a legal agreement between two parties: the trustee and the trustor (sometimes called the settlor or grantor). The trustor is the person who establishes the trust and transfers assets into it. The trustee is the person or entity responsible for managing those assets according to the wishes of the trustor. Often the trustor will also be the trustee, or one of several trustees — until their death or resignation.

A trust has benefits for creators and beneficiaries alike. You may consider a trust if you want to:

• Pass on assets without going through probate (which is required for wills). Statutory probate fees in Los Angeles County typically are higher than legal fees incurred to draft estate planning documents and the administration of the trust after death
• Create a plan for managing personal or business assets if you become incapacitated
• Set aside assets to care for a special needs’ dependent
• Establish rules or requirements beneficiaries must meet to receive their inheritance
• Preserve assets for the care of minor children in event that you pass away
• Potentially reduce estate and gift taxes