A revocable living trust is the most common type of trust

Revocable trusts are more flexible than irrevocable trusts

Irrevocable trusts are almost impossible for the grantor to change or dissolve. With a revocable trust, the grantor can alter or dissolve the trust at any time. However, there are upsides to irrevocable trusts, too—such as the fact that they’re typically not subject to estate taxes, unlike revocable trusts.

Revocable trusts are typically subject to estate taxes

Irrevocable trusts, however, are not. Both types help beneficiaries avoid probate, the lengthy court process that administers a person’s estate upon death.

Explore a visual of 16 different types of trusts

While all trusts fit into one of two categories (revocable or irrevocable), many other types of trusts exist for more specific circumstances. Think: pet trusts and special needs trusts.

Trusts are estate planning tools

They’re used as a way to designate assets to beneficiaries while skirting certain taxes and maintaining one’s privacy. They can hold a wide range of assets, including cash, real estate, stocks, businesses, and more.

Trusts offer ways to reduce the taxes beneficiaries pay on assets in one’s estate

People of different socioeconomic classes often decide to establish a trust to avoid certain taxes. When someone dies and leaves assets to beneficiaries in a will, those beneficiaries must pay specific taxes a trust's beneficiaries avoid. It all depends on the type of trust.

In a trust, the trustee is often the same person as the beneficiary

While a trustee is supposed to be a neutral third party whom the grantor appoints to manage their trust, they can be (and often are) the same person as the beneficiary. While that seems counterintuitive, trustees have a legal obligation to manage assets impartially and in the trust’s best interest.

Both individuals and businesses can establish trusts

Business trusts can allow trustees to manage a beneficiary’s stake in a business, and more. There are many different specific types of business trusts.

Living donations most commonly involve a kidney or part of a liver

In 2023, more than 6,900 transplants were made possible thanks to living donors. Living donation is when a living person donates an organ or part of an organ—usually one of their two kidneys or part of the liver, since that organ can regenerate in a healthy person. Much more rarely, living donors donate other organs. Living donations often occur when someone wants to ensure a loved one has certainty that they will quickly receive a needed organ.

A growing number of Americans are leaving trust funds behind for their pets

A pet trust ensures that an animal receives financial support and care if its owner can no longer care for the pet. Some lucky dogs have inherited millions of dollars from their owners.

A living will is a legal document spelling out your medical wishes for emergency care

This legal document makes it explicit if you want medical interventions in the event of an emergency, including CPR, feeding tubes, ventilator assistance to push air into your lungs to help you breathe, and more. Talking with your doctor about this is covered by Medicare.

A deed is a legal document that shows change of homeownership during a sale

A deed differs from a title, which is the actual right of ownership to a property, and a concept rather than a physical document. These days, many deeds are online rather than physical pieces of paper kept in a home.

The two main types of life insurance are term and permanent

The biggest difference between the two is how long they cover the life of the insured person and how much they cost. This guide can help you learn more about term and permanent life insurance, plus their different variations, to choose the right policy for you.

You can draft a will designed to block AI resurrection—but the request may be ignored

Ars Technica spoke with legal experts about how—and if—people could design their wills to prevent AI resurrection. Though this is not yet a common request, one lawyer suggested that people worried about living on in an AI format can draft a power of attorney and a will that prevents those in charge of one's estate from submitting any texts, voice, image, writings, or other personal information to any AI tools.

Constitutional originalism and living constitutionalism are the 2 main theories of interpretation

Hear from experts about originalism—the view that the Constitution should be interpreted according to its original public meaning—alongside its main counter-ideology, living constitutionalism, which argues that the document's meaning should evolve with changing social and legal norms.

What's a rollover IRA?

A rollover IRA is a type of investment account that lets you move the money from an old retirement account into an IRA after you stop working for your employer. This move lets you keep your funds in a tax-deferred account without being hit with taxes, fees, or penalties. This article explains how you can roll over your money and highlights any restrictions to keep in mind. Learn more here.

Direct lending is the most common form of private credit

Other types include opportunistic credit, special-situations credit, mezzanine finance, venture debt, infrastructure debt, real estate debt, and more. All of these sources of capital technically create private transactions, so they can all call themselves private credit.

Investments into an annuity are typically locked up during the accumulation period

For one year, most annuitants won’t be able to withdraw any funds. After that, most contracts allow them to take out up to 10% of their accumulated total annually before fees—called surrender charges—are applied to their withdrawals.

The oral, live virus vaccine is the most robust but carries more risks

The live virus vaccine, delivered via oral drops, induces the best protection in the body. Because it includes a live, weakened form of the virus there's an extremely small risk it can sicken recipients and potentially cause paralysis. Recipients also shed the virus in their stool, which can rarely lead to vaccine-derived cases of the virus if the virus mutates. (Some users may experience a paywall.)

Lucid dreaming: the ability to control or influence your dream environment

Every night, most of us dream, but about 20% of people experience lucid dreaming at least once a month. In these rare moments, dreamers are aware they're dreaming, and can even control their actions. Though linked to increased frontal lobe activity, why this state occurs remains a mystery.

The MLB's reserve clause gave owners rights to players after their contracts expired

The clause was added to contracts in 1879, allowing owners to hang on to players after the expiration of their contracts, sometimes in perpetuity.

Brush up on your bankruptcy vocab

The technical term for what happens when a court removes a debtor’s obligation to repay money owed is “discharge.” An “automatic stay” is what goes into place once a filing occurs to prevent a debtor from facing lawsuits, evictions, and other negative consequences until the process wraps up.

Renting versus owning a home, charted by age

One-third of American households are rented. The other two-thirds are owned or in the process of becoming owned, according to 2022 data from the American Community Survey. While most people rent in their younger years, homeownership rates tend to fluctuate based on age. To see home ownership and renter rates charted by age, check out these charts.

Ghost weddings used to be more common

Ghost weddings are marriages between two deceased parties, or one living and one dead partner. They satisfy departed family members’ needs for companionship and peace in the afterlife, according to Chinese spiritual beliefs. Unfortunately, since ghost marriages are pricey and can include the mingling of mortal remains, murderers and grave robbers have, at times, sought to supply spouses through nefarious means.

Ledgers—what are they good for?

It might seem strange that a ledger—a dull and practical document associated mainly with accounting—would be described as a revolutionary technology. But the blockchain matters because ledgers matter. Read (or listen to) this 14 minute breakdown on why ledgers matter.

There are three types of stem cells, each with different properties

Embryonic stem cells are "blank slates" that can change into any other type of cell. Adult stem cells can become specialized cells to replenish the supply or repair injury, while induced pluripotent cells are "reset" by scientists and used in clinical and medical applications.

The US Constitution is widely regarded as the longest-standing written national constitution still in force—see how it has influenced rights worldwide.

Venture capital is a form of funding provided to early-stage companies with high growth potential, typically in exchange for an equity (or ownership) stake

Researchers believe the brain consolidates memories, processes emotions, and plans for the future during dream states

The first line of 'immortal' human cells, which can divide indefinitely and are used in scientific research, was nonconsensually taken from a Black woman.

Planarian flatworms are small, aquatic worms with exceptional regenerative capabilities. When cut, the worms can regenerate multiple bodies in a matter of weeks.

Animal phobias are likely the most common type of phobias, followed by an extreme fear of heights.

Volcanoes 'die' when their supply of magma runs out, if they are shifted away from their underlying magma reservoir, or if they get clogged by collapsing or their magma cooling back into rock.

Frank Lloyd Wright's houses are historically hard to sell because they're old, subject to local landmark commissions, and often unfashionable

Objects can be 3D printed with light by projecting 2D computerized tomography (CT) scans onto rotating cylinders of resin, which solidify upon exposure.

44% of Americans say they pray at least once a day—discover how your state's religiosity stacks up against the rest of the country.

Art theft is the third-largest source of criminal revenues worldwide, thanks in part to the subjective nature of valuing a work of art.

Children are now three times more likely to say they want to be a YouTuber when they grow up than an astronaut, with some even attending 'YouTube camps' that teach kids how to create content for the platform.

Gerrymandering works through two techniques: cracking opposing voters across districts to dilute their power, and packing them into a few to waste their votes in lopsided majorities.

While atoms are normally made of protons, neutrons, and electrons, exotic ones have been built with antimatter—alternate versions of normal matter that live for fractions of a second and are about a billion times as rare.

Long before Major League Baseball began allowing instant replay for balls and strikes, an umpire reluctantly used the technology to determine whether a hit was a home run, a move that inadvertently ushered in a new era for the sport.

Iran's Revolutionary Guard Corps is independent of Iran's regular army and is one of the most powerful and influential military-political organizations in the Middle East.

About 2,000 US babies are born annually without some portion of their limbs, potentially leading to a lifetime of pricey prosthetics.

Dozens of S&P 500 stocks, including Coca-Cola and Walmart—known as the dividend aristocrats—have increased dividends every year for 25 years

After her fellow cult members tried to kill her with an LSD-infused hamburger, one member of the Manson Family, the murderous cult led by Charles Manson, decided to testify against the group's leader.

Some coin denominations have ridges etched on their sides, partly to prevent counterfeiting, in a practice called 'reeding.'

'Silent' fireworks have gained more interest in recent years as a quieter celebratory option.

The first steps to rebuilding your credit score include getting to know exactly what's on your credit report and figuring out how far you are from the '700 club,' or 'good score' range.

Existentialist writer Jean-Paul Sartre coined the famous phrase 'Hell is—other people' in his play 'No Exit'

The price of gas is a composite made up of several different factors, with the federal gas tax making up less than 20% of what drivers pay at the pump.

After the Boston Tea Party, colonists switched to coffee, which became the main morning drink for revolutionaries.