Should I get a living revocable trust or will?

[kimberli146]

I AM A SINGLE MOTHER (NOT MARRIED) AND HAVE ONE MINOR CHILD WHICH is seven.
I currently have a simple will drawn up, but am wondering if this is sufficient enough. I have stocks and bonds from my 401k and IRA listing only my son who is seven as the beneficiary (They probably total $18,000, but I continue to put into these every month. I own a home, but it is not paid off . I have few property like my car and furniture. If something were to happen to me I would like my sister who is married to have full guardianship of my son or the mother who would be secondary person. If I were to die:
1. Who would get possession of my stocks and bonds. I would like my sister to have control of them, but not spend them, but saved for my son until my son turns 18 or maybe use this money for his college.
2. What would happen to my house. I guess it could be sold and if there was any profit off it who would get that? I would like it to go to my son. Since the house is only in my name who would sell it.
3. Would my sister have to go to court to get custody of my son and possession of anything I know. Would that be expensive.
4. Would having a trust prevent them from getting custody of my son or holding any of my stocks for my son.
If something were to happen to me I would like them to get access to everything and especially be guardians to my son, without them having to spend any money, becasue right now they could not afford it.

Should I just keep a simple will or should I get a living revocable trust? If I should get a trust how much do they run to have a lawyer set up. I live in the state of Virginia.

 

[ALawyer]

A Will seems sufficient. BUT NOT a simple one as you'd need to set up a trust for the child in the Will and have the assets go to the trust for the child. Also, who would bear the costs of caring for the child? Perhaps that's what the money is for.

ALso, you then could name your estate as beneficiary of the 401k and IRA etc. andf the money would then be added to the trust.

ALSO, if you want to protect your son's financial future you should have life insurance. IF you are in good health it is not expensive to buy a lot of term TERM, perhaps $250 a year for well over $100,000 in insurance if you are in your early 30s. BUT BUY ONLY TERM, perhaps 10 year term. Then if something were to happen there'd be enough to live on and school without burdening others.