Comparison Between A Will, Trust and Foundation

WILL TRUST FOUNDATION
Purpose For estate planning For assets protection, estate and tax planning For assets protection, estate and tax planning and succession planning
Maintenance Cost Low fee (fixed) Varies depends on assets value Relative low (fixed)
Registration Optional Optional Registration is required
Legal Structure •        Effective after death
•        Need to go through probate process
•        Effective after Trust instrument created
•        Trustee to execute according to Letter of Wishes
•        Effective when the Foundation is registered
•        Foundation can be dissolved and assets distributed to beneficiaries and to continue with the legacy
Ownership of Property Assets that is under the name of the Testator Managed by Trustee and Settlor has minimal power Founder has reserved right and control over the management of the Foundation
Creditor / Forced Heirship Proof No creditor / forced heirship proof Yes, after 5 years Yes, after 2 years
Documentation Will or other legal instrument Trust Deed Charter and Articles
Duration From the time the Will is filed with the Court May have limited or perpetual existence May have limited or perpetual existence
Rights of Beneficiary to Assets Mere expectancy interest unless the property is distributed to Beneficiary Mere expectancy interest unless the property is distributed to Beneficiary No interest unless the property is distributed to Beneficiary