Creating a living trust is a way to set aside assets in a fund that benefits a specific person or persons (called the beneficiaries). The person administering the assets in the trust is called the trustee. In a living trust, the person who puts the money in the account (the grantor) can also be the trustee and the beneficiary. This allows the individual to maintain complete control over the trust during his/her lifetime. Upon the grantor's death, the assets in a living trust can pass directly to the beneficiaries without going through probate court. This approach can save a significant sum in probate costs and legal fees.

Spouses sometimes put their joint property in a trust. The spouses sign the property over to the ownership of the trust and name themselves "co-trustees". This way, when one spouse dies the other has rapid access to the funds and other property. Having a trust does not negate the need to have a will also. Any assets not specifically included in the trust need to be addressed in the terms of the will.