How Much Does an Estate Plan Cost in California? Why Some Attorneys Charge $800 and Others Charge $2,500+
If you've started looking for an estate planning attorney in California, you've probably noticed something confusing: prices vary.
You may find an attorney advertising a living trust or estate planning package for $800, while another estate planning attorney charges $2,500+.
Why such a big difference?
While both options may provide an estate plan that contains documents with similar names, there are plenty of differences. Receiving a full comprehensive estate plan at ARK Law provides you with
attorney advice
customization for your family and wishes
actual funding of the trust (transferring assets into the trust)
instructions on how and when beneficiaries receive assets (very important with minor children)
plan options (plan A and a plan B)
a focus on your overall plan, and not just preparing core documents
When to Choose a “Bare-Bones” Estate Plan
I hear it all the time….. “I know a guy that does estate plans for $800” or “I saw I can do an online estate plan for $795”.
When choosing a “bare-bones” estate plan, it is really only ideal if you
aren’t looking for much (or any) attorney advice or direction
just want the standardized process with little to no customization on your personal situation
are ok funding your own trust
have very straightforward circumstances with a very simple beneficiary situation
That model takes very little time of an attorney and, in turn, keeps the client's cost low.
The important question for the client is not simply, "Do I receive a living trust?"
A better question is:
"How much legal advice and customization for my specific situation am I receiving to help me decide what my living trust should actually say?"
When to Choose a More Comprehensive Estate Plan
The reason for a $2,500+ estate plan is typically the amount of time the attorney is spending on your documents.
Some things to consider that are typically reviewed in a more Comprehensive Estate Plan:
What happens if your beneficiary dies before you?
What happens if your surviving spouse remarries?
Should your children receive their entire inheritance at age 18, 25, or 30?
Should their inheritance remain protected in trust?
Who should manage the inheritance if your children are minors?
Who should serve as the backup trustee if your first choice cannot serve?
What happens if a beneficiary develops a disability, addiction problem, creditor problem, or is going through a divorce?
Who should make financial decisions for you if you become incapacitated?
Who should make medical decisions?
How is your California real estate currently titled?
Should your home be transferred into your trust?
Are there community property or capital gains basis considerations?
How should retirement accounts and life insurance coordinate with the estate plan?
These are NOT questions you’ll find in a “bare-bones” estate plan.
They are planning questions.
And answering them requires attorney time, counseling, and judgment.
The Difference Between Estate Planning Documents and Estate Planning Advice
This is perhaps the most important distinction when comparing estate planning attorneys.
Imagine a married couple with two young children and a home in San Diego.
They could tell an attorney:
"Our children should inherit everything equally when we die."
That instruction can be turned into a trust.
But an estate planning attorney may ask additional questions:
What if one parent dies and the surviving parent remarries?
What if both parents die while the children are still minors?
Who should raise the children?
Should that person also control the children's inheritance?
Should the guardian be able to use trust assets to maintain the children's current home and lifestyle?
What happens when the children become adults?
Should they receive everything immediately, or should someone continue managing the inheritance?
What if one child is financially responsible at 25 and the other isn't?
The value of estate planning is often found in the questions you didn't know you needed to answer.
Questions to Ask Before Hiring an Estate Planning Attorney
Before choosing an estate planning attorney based on price, consider asking:
How much time will I actually spend with the attorney?
Is there a dedicated strategy or design meeting?
Will the attorney explain my options or am I only choosing from a questionnaire?
Does the fee include transferring my home into the trust?
Will the attorney review how my property is currently titled?
The answers to these questions make it much easier to compare one estate planning service with another.
The Bottom Line
At its core, estate planning isn't about producing a binder full of legal documents.
It's about making important decisions today so your family doesn't have to make, or guess at, those decisions during a crisis.
ARK Law Estate Planning helps individuals and families throughout California create Comprehensive Estate Plans, including revocable living trusts, wills, powers of attorney, advance health care directives, guardianship planning, and real estate trust funding.
If you're considering creating an estate plan, contact ARK Law Estate Planning to schedule an initial consultation today!
