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[quote=Anonymous]I see recommendations for setting up TTs vs. Revocable Trusts on this forum and others pushing back. Can someone in the field please answer my questions and confirm my understanding?

I know how a RT works - You set it up now with you as the Grantor as well as Trustee and name a successor Trustee, Beneficiaries and spell out what happens when you die. You title assets in its name (or name the Trust as a beneficiary/survivor). On your death all assets get titled to the name of the Trust, the Trust becomes an irrevocable trust, the new trustee takes to administer the Trust.

How does a Testamentary Trust work? Is this it? You write a will specifying the creation of an irrevocable trust and that named assets be moved into that trust with specifics on distribution. The TT will also name a trustee to administer the trust.

Questions: Does this happen at the end of probate or is probate avoided because the will creates a TT? How long is typical probate in the state of virginia in this scenario - $10m in financial assets (brokerage, cash, retirement, insurance) plus a primary residence? How much would it cost? Do beneficiaries have access to any assets during the probate process?
During my lifetime, who do I name as beneficiaries on my investment and bank accounts? No one or the future Trust that will be created on my death?
Why is the creation of a TT cheaper that a RT? Don't the lawyers have to go through the same thought process/effort to create the language necessary? Even if an RT costs more to setup now, don't probate costs (government fees as well lawyer) outweigh the cost of RT now, not to mention the hassle involved with the probate process. [/quote]

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