Episode 55: Revocable vs. Irrevocable Trusts — Which One Best Protects Your Legacy?

Host: Sidney Wheelan, Attorney at Wheelan Law Firm in Moberly, Missouri

☕ Episode Summary

In this episode, Sidney dives into one of the most common questions she gets from clients: What's the difference between a revocable and an irrevocable trust? Whether you're legacy planning, protecting assets, or trying to avoid probate, understanding these trusts is essential.

🔍 What You’ll Learn

• What a trust actually is (hint: it’s like a legal container for your assets)
• Key differences between revocable and irrevocable trusts
• The pros and cons of each type
• How trusts affect things like probate, taxes, creditors, and Medicaid eligibility
• Why some estate plans use both types for maximum protection

✅ Revocable Trusts

• You stay in control
• Flexible and private
• Avoids probate
• But: Doesn’t protect against creditors, doesn’t reduce taxes, and is still counted for Medicaid planning.

🔒 Irrevocable Trusts

• Great for asset protection, tax savings, and Medicaid planning
• Ideal for disabled individuals under age 65 receiving inheritances or settlements
• But: You give up control, it’s hard to change, and the 5-year Medicaid look-back period can be a risk.

⚖️ How to Choose?

Choose a Revocable Trust if you:

• Want control and flexibility
• Need to avoid probate

Choose an Irrevocable Trust if you:

• Need strong asset protection
• Are planning for long-term care
• Have a high-net-worth estate

💡 Pro Tip: You don’t have to choose just one. Many estate plans use a combination for comprehensive coverage.

📥 Free Resource

Download our free guide: 👉 The Financially Fearless Family Checklist

🧭 Ready to go from overwhelmed to empowered with your legal strategy? Visit WheelanLaw.com or reach out when you're ready.

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Until next time, grab your favorite latte, hold your loved ones tight, and have a great week! ☕

WheelanLaw.com



This podcast episode contains general information for discussion purposes only. Each case is different and must be judged on its own merits. Missouri rules generally prohibit lawyers from advertising that they specialize in particular areas of the law.  This article should not be construed to suggest such specialization. Nothing on this site should be taken as legal advice for any individual case or situation.  This information is not intended to create an attorney-client relationship, and the listening or viewing of this podcast does not constitute an attorney-client relationship.  The choice of a lawyer is an important decision and should not be based solely upon advertisements.