What it is
A revocable trust, sometimes called a living trust, can be changed or terminated by the settlor - the person who sets up the trust - without the permission of the beneficiaries.
What it does
During the life of the trust, income earned is distributed to the grantor - typically the settlor - and only after death does property transfer to the beneficiaries.
what it is
An irrevocable trust cannot be changed or terminated by the settlor without the permission of the beneficiaries.
what it does
In setting up an irrevocable trust, the settlor effectively removes all of his ownership rights to the assets in the trust and income earned is paid to the beneficiaries.