Creating an estate plan is one of the best ways to ensure that your final wishes are honored by your loved ones and the state. It’s designed to help individuals from all walks of life and with all types of assets preserve their legacy. However, many people feel that estate planning is too expensive or out of reach for their finances. While it can be expensive, estate planning doesn’t have to cost an arm and a leg. Even when you’re working with an experienced Illinois estate planning attorney. Let’s take a closer look at the costs you can expect.
The Average Cost of Estate Planning in Illinois
On average, estate planning costs can range from as little as $20 to well over $10,000. It all depends on the scope of your plan and your unique needs. The more components you incorporate into your plan and the more you and your estate planning attorney need to do to get everything set up, the more you can expect to pay. Here’s a quick breakdown of average costs by common and popular components.
Wills
Creating a will on your own can be done for free, but that low price tag comes with a catch: you risk leaving out key components and wishes that could cost your loved ones down the line. When you work with an attorney to create a will and make sure it’s legally binding, you can expect to pay between $300 and $1,000.
Living Trusts
Living trusts are more complex but let you set aside assets for your loved ones before you pass away. Creating a living trust typically costs between $1,000 and $3,000. You’ll also need to pay the trustee to oversee the trust and may have to cover administrative fees over time.
Power of Attorney Designations
Power of attorney designations give someone you trust the legal ability to make decisions on your behalf if you’re unable to make those decisions yourself. These come into play if you’re hospitalized and incapacitated or no longer have the mental faculties to represent your own interests. Establishing power of attorney typically costs between $100 and $500.
Comprehensive Plans
Comprehensive estate planning involves creating everything from wills and living trusts to planning for taxes and business succession. These plans are designed to provide clear instructions for your entire estate and take a lot of the guesswork out of the distribution of your estate when you pass away. Given the scope of these plans, you can expect to pay higher prices, with more complex estate plans costing several thousand dollars.
The Cost Varies Based on Your Situation
The simpler your estate planning needs are, the less you’ll typically have to pay. Why? Because simple estates are easy to manage. They typically have one or two beneficiaries, need to account for minimal assets, or have simple inheritance instructions that don’t require more complex documentation or planning.
However, the more complicated your situation is, the more you can expect to pay. This is because you’ll need to prepare more documents to adequately protect your interests and may need additional legal help from an experienced Illinois estate planning attorney to keep everything updated and accurate.
Should You DIY Your Estate Plan?
Creating an estate plan on your own can be cheaper upfront, but your loved ones may end up paying the price in the long run. When you create your own plan you could accidentally leave out assets or fail to leave clear instructions for your loved ones which could trigger disputes and lengthy probate processes. That’s why it’s always worth working with an Illinois estate planning attorney. Your attorney will make sure nothing is left to chance and can create a plan that works for your best interest.
Schedule a Consultation
If you’re ready to take the next step and create an estate plan that provides for your loved ones, don’t wait. Contact Legacy & Life Law Firm and schedule your free consultation. Our team will work with you to create a plan that fits your needs and can adapt to your situation as your life changes.