What Does an Average Estate Plan Cost? (Detailed Price Analysis)

The cost of estate planning services can range from a few hundred dollars to thousands of dollars, depending on the complexity of your estate plan. Some people may only want a basic will, for example, a single parent who wants to leave their estate to their children and can do DIY estate planning. Or some people may have a more complicated estate where there are second marriages, blended families, or dependents with special needs. Individuals concerned about estate taxes may require specialized tax planning from an experienced estate planning lawyer.

In this article, we’ll explain common estate planning documents and the costs associated with them. To learn how much an estate plan tailored to your specific needs might cost, it’s best to consult with a local estate planning attorney.

Typical Estate Planning Documents

Each of the following documents serves a different purpose and should be completed to accomplish your estate planning goals. Below, you will find details about what each document does, how it benefits you and your estate, and the typical cost of drafting the document.

1. Last Will and Testament

A last will and testament is a legal document that states your wishes for how you want your money and property to be distributed after you die. It is the beginning of a basic estate plan, and it should be completed by everyone.

In a will, you name a personal representative to manage your estate, identify your beneficiaries who you want to inherit your estate, and name guardians for your minor children to handle their care.

The average range of having an attorney draft a simple will is about $500 to $1,500, depending on the geographic location and the attorney’s fee structure.

2. Advance Directive for Health Care

An advance health care directive is a legal document that is often known as a “living will” and is specifically designed to allow you to advocate for yourself regarding end-of-life care. In your living will, you indicate what medical treatments you want to preserve or prolong your life.

A living will only applies to end-of-life care. If you want someone else to be making medical decisions on your behalf at other times, then you should give someone durable power of attorney for health care.

Using an attorney to draft your advance directive for health care may cost you between $300-$600.

3. Power of Attorney

A power of attorney is a legal document that protects your interests if you become incapacitated in some way. In any estate plan, a power of attorney is vital for protecting your interests in case of incapacity. Those diagnosed with Alzheimer’s disease or dementia or are otherwise incompetent and unable to make their own decisions may benefit from giving someone medical power of attorney, financial power of attorney, or general power of attorney.

While the cost to have a lawyer prepare a durable power of attorney can vary from state to state, the average price for drafting a power of attorney is $150-450. 

4. Revocable Living Trust

Revocable living trusts are trusts established by a grantor—the person who created the trust—and allow the grantor to retain custody of their assets in the trust while transferring legal ownership. A revocable living trust names the grantor as trustee so that they can continue to use and manage assets like a business or a home while transferring ownership to the trust. A revocable living trust can be changed during the grantor’s lifetime. It becomes irrevocable (or permanent) after the grantor dies.

Trusts help family members to avoid probate. Probating a will is the legal process through which property is transferred from a testator (the person making the will) to the beneficiary. Trusts help avoid probate because, while the grantor keeps possession of the property until they die, the property itself is not included in the estate.

Trusts are typically expensive to create. On average, the cost of a trust starts at around $2,000 to have an attorney draft.

Average Cost for Typical Estate Documents

Below are the typical costs for basic estate plan documents. These documents should be included in a comprehensive estate plan.

Last Will and Testament$500-$1,500Advance Directive$300-$600 Power of Attorney$150-$450Revocable Living Trust$2,000+

Typical Attorney Fee Structures

There are two types of fee structures that attorneys typically use. Typical fee structures include flat fees and hourly rates. An attorney will discuss their fee structure with you during your initial consultation. An experienced estate planning attorney may charge higher fees than a less experienced attorney. Fee structures vary by firm, but below are examples of common fee structures, including:

1. Flat Fee

A flat fee is a one-time charge for services. Some attorneys charge a flat fee for services that may not take a significant amount of time. That being the case, if your attorney agrees to a flat fee for their services, they may not be willing to handle a more complex estate.

An estate planning attorney who agrees to a flat rate may not draft other estate documents besides a last will and testament, such as a trust or power of attorney. If your estate plan is not complex, a one-time, flat fee may be an excellent way to save on costs.

However, attorneys may offer a comprehensive package of estate planning documents, including a trust, which can be more cost-effective than purchasing each document separately.

2. Billable Hours

Most attorneys, including estate planning attorneys, charge based on billable hours. A billable hour is an increment of time the client is charged for. Most attorneys tend to charge by the hour for more complex projects. If your estate requires much more attention and needs the attorney to draft complex documents, they may want to charge you by the hour for their work.

Examples of billable expenses may include:

• Team meetings among your attorney, their colleagues, and others to discuss your estate plan
• Legal research
• Communication with you and with the attorney’s team
• Drafting your documents

When consulting with an estate planning attorney ask about the attorney’s experience, legal fees, and what types of estate planning documents you need.

An advantage of using an attorney is that they can identify your unique needs and help you when your life changes, making any necessary adjustments to your estate plan. Additionally, if you have a trust, they can help with re-titling real estate in the trust’s name. They are also there when your family has to navigate the probate process after your death.

Do-It-Yourself Estate Planning Options

There are do-it-yourself options, such as online estate planning forms and templates, that can reduce the cost of estate planning. It may be a good option for a simple estate.

However, if you have complicated family dynamics, a significant estate, or dependents with special needs, you may be better served working with an estate planning attorney. The additional estate planning fees may give you peace of mind that your loved ones are protected.

Additional Questions?

Making an estate plan protects your family’s future. If you have a more complex case and want to speak to a qualified estate planning attorney for legal advice, check out FindLaw’s attorney directory.