In California, a trust generally overrides a will when it comes to the distribution of assets. A revocable living trust, once funded with property, dictates how those assets will be handled after the grantor’s death. The probate court does not have authority over trust assets, meaning the instructions outlined in the trust take priority. By contrast, a will governs only the property that is subject to probate, which excludes assets already transferred into a valid trust.
The primary difference lies in ownership. Assets placed into a trust are legally owned by the trust itself, managed by the trustee for the benefit of the beneficiaries. Because the property no longer belongs to the individual in their personal name, it cannot be controlled by the will at the time of death. This separation is the reason trust instructions override conflicting provisions in a will regarding those assets.
Another important factor is efficiency. In California, wills must go through probate if the estate value exceeds $184,500, which can be time-consuming and costly. Trusts, however, operate outside of probate, allowing assets to pass directly to beneficiaries according to the trust’s terms. If both a will and a trust exist, the trust serves as the controlling document for trust-funded assets, while the will only applies to property not included in the trust.
A common estate planning strategy in California is to use a “pour-over will” alongside a living trust. The pour-over will directs any assets not already titled in the trust to be transferred into it at death. While this may still require probate for those assets, the overall intent is to consolidate all property under the trust’s control. This ensures consistency in distribution and demonstrates how a trust’s authority extends beyond the will’s reach.
| Document | Controls | California Impact |
|---|---|---|
| Will | Probate assets in decedent’s name | Must go through probate if over $184,500 |
| Living Trust | Assets titled in the trust | Bypasses probate, instructions override will |
| Pour-Over Will | Transfers leftover assets into trust | May still require probate |
| Beneficiary Designations | Accounts with named beneficiaries | Override both wills and trusts |
It is also important to note that certain assets bypass both wills and trusts altogether. Retirement accounts, life insurance policies, and payable-on-death bank accounts transfer directly to the named beneficiaries. In California, these designations take precedence over both trust and will instructions, highlighting the need for regular updates to beneficiary forms as part of estate planning.
In conclusion, a trust does override a will with respect to assets properly transferred into it. A will only controls property outside the trust, making the trust the more powerful instrument in California estate planning. To maximize efficiency and minimize probate costs, individuals should fully fund their trust, maintain updated beneficiary designations, and use a pour-over will for any remaining assets. This comprehensive approach ensures clarity, reduces disputes, and honors the decedent’s wishes with minimal court involvement.
