A living trust—also known as an inter vivos trust—is a trust that is created and takes effect during the lifetime of the person who creates the trust and places assets in it (the grantor or settlor). The beneficiaries named in the living trust will receive the assets or the income from the assets, as provided by the trust agreement.

The living trust will name a trustee (and possibly successor trustees) to manage and administer the trust.

A living trust is in contrast with a testamentary trust that is created by a will and takes effect when the grantor or settlor (the testator who made the will) dies.

In New Jersey, a living trust, or inter vivos trust, is a legal arrangement where a grantor places assets into a trust during their lifetime. The trust is managed by a trustee for the benefit of designated beneficiaries according to the terms set out in the trust agreement. Living trusts are commonly used to manage assets, avoid probate, and maintain privacy, as the details of a living trust are not made public like a will. Unlike a testamentary trust, which is established upon the death of an individual through their will, a living trust is effective immediately upon creation and funding. New Jersey law provides the framework for creating and managing living trusts, including the New Jersey Uniform Trust Code. It is important for individuals to ensure their living trust complies with state laws and to consider consulting with an attorney to assist with the creation and administration of the trust.