Will vs Trust 0 Budget

A basic will costs nothing if you handwrite it yourself (a valid holographic will in most states) or use a free template, though notarization runs $5 to $25. Online services like FreeWill.com offer state-specific wills at no cost.

A revocable living trust costs $1,000 to $3,000 through an estate attorney for drafting, or $100 to $300 through platforms like Trust & Will or LegalZoom. No annual fees exist unless you name a corporate trustee, which charges 0.5% to 1.5% of assets yearly.

A funded revocable living trust bypasses probate entirely. Your successor trustee distributes assets within weeks, not months, with no court involvement and no probate attorney fees.

A will only activates after death—it provides zero help if you're alive but unable to manage finances due to stroke, dementia, or injury. You'd need a separate durable power of attorney (another document, often $0 to $200) to authorize someone to handle your accounts.

Only assets titled in your individual name with no beneficiary designation hit probate. That includes solely-owned real estate, bank accounts without payable-on-death (POD) designations, vehicles, and personal property.

A trust holds retitled assets—you deed your house to "The Smith Family Trust," change your checking account to "Jane Smith, Trustee of the Smith Family Trust." Beneficiary assets still bypass probate whether you have a will or trust. The difference matters most when you own real estate, non-retirement investment accounts, or business interests exceeding your state's small estate threshold.

The transition requires retitling assets into the trust's name and costs nothing beyond your time unless you hire help. If you create the trust yourself using online software, budget 4 to 8 hours to complete forms and another 2 to 6 hours retitling assets at banks and the county recorder's office.

Choose a will if you're under 40 with under $100,000 in solely-owned assets, no real estate, or your state offers streamlined probate for small estates. It's free or cheap now, and probate costs stay manageable.

Can I write my own trust without an attorney?

Yes, through services like Nolo's Quicken WillMaker ($100–$200) or Trust & Will ($159–$399), which generate state-specific trust documents. You'll still need to notarize signatures and correctly retitle assets.

Does a trust reduce estate taxes?

A basic revocable living trust provides zero estate tax savings—you still own the assets, they're still part of your taxable estate. As of 2024, federal estate tax only applies above $13.61 million per individual ($27.22 million per couple).

What if I only have debt and no assets—do I need either document?

Can my trust avoid probate if I forget to retitle an asset?

No—only assets formally transferred into the trust's name avoid probate. If your house deed still reads "John Smith" instead of "John Smith, Trustee," it goes through probate despite your trust existing.