How Much Does a Trust Cost?
Setup costs depend on who creates it, how complex your situation is, and whether you choose a revocable or irrevocable structure. Here is what to expect.
Setup Costs
DIY Online Software
$200 - $500Examples: LegalZoom, Trust & Will, Nolo, Tomorrow
Pros
- vCheapest upfront option
- vFast - can complete in a few hours
- vAdequate for very simple estates
Cons
- xGeneric templates may not fit your specific state law
- xNo guidance on funding (titling assets into the trust)
- xRisky for blended families, business owners, or complex assets
- xMany DIY trusts end up in probate anyway because assets were never transferred
Fine for young, single people with simple estates. Use caution if you have children, real estate, or a business.
Estate Planning Attorney - Simple Revocable Trust Package
$1,500 - $3,000Examples: Local estate planning attorney. Look for a board-certified specialist.
Pros
- vCustomized to your state's laws
- vAttorney guides you through funding (retitling assets)
- vIncludes pour-over will, power of attorney, healthcare directive
- vAttorney reviews for errors that would invalidate the document
Cons
- xHigher upfront cost than DIY
- xRequires gathering financial information and scheduling consultations
The right choice for most families with $200,000+ in assets, children, or real estate.
Estate Planning Attorney - Complex / Irrevocable Trust
$3,000 - $7,000+Examples: Medicaid trusts, asset protection trusts, special needs trusts, charitable trusts
Pros
- vLegally sophisticated structure for specific tax and protection goals
- vAttorney navigates complex tax and Medicaid rules
- vPotential savings far exceed setup cost (estate tax alone can be millions)
Cons
- xHigher cost and complexity
- xRequires specialized attorney (not all estate attorneys handle irrevocable trusts)
- xOnce created, changes are very difficult and may require court approval
Necessary if you have estate tax exposure, Medicaid planning needs, or a disabled beneficiary.
Annual and Ongoing Costs
| Cost Item | Revocable Trust | Irrevocable Trust |
|---|---|---|
| Annual tax return (Form 1041) | Not required (pass-through to grantor) | $500 - $2,000/year |
| Trustee fees (if professional trustee) | $0 (you are the trustee) | 1-2% of trust assets/year |
| Amendment fees | $250 - $750 per amendment | Usually not possible |
| Asset retitling (one-time) | $50 - $500 for deed recording | $50 - $500 for deed recording |
| Attorney review (every 3-5 years) | $300 - $800 | $500 - $1,500 |
What People Miss: The Funding Step
The most common (and expensive) mistake
Creating a trust document is only half the job. The other half is "funding" the trust - legally transferring your assets into the trust's name. A trust that holds no assets does nothing. Your estate will still go through probate for any asset not titled in the trust name.
Real estate
Record a new deed transferring ownership from your name to 'Your Name, Trustee of The Your Name Revocable Living Trust.' County recording fees vary but typically run $50-$200 per property.
Bank accounts and brokerage accounts
Ask your bank or broker to retitle the account in the trust name, or name the trust as beneficiary. Most institutions have standard forms for this. Usually free.
Retirement accounts (401k, IRA)
Do NOT title retirement accounts in a trust - this triggers immediate tax liability. Instead, name your trust as the beneficiary if appropriate, or name individuals directly. Consult your attorney on the best approach for inherited IRA rules.
Life insurance
You can name the trust as the beneficiary, or name an irrevocable life insurance trust (ILIT) as owner and beneficiary to keep proceeds out of your taxable estate.
Vehicles
Transferring vehicles to a trust can affect insurance coverage. Many attorneys recommend leaving vehicles in your personal name and using a pour-over will to handle them instead.
Trust Cost vs Probate Cost
In states with expensive probate, a trust pays for itself quickly. Here is a rough comparison:
| Estate Value | Typical Probate Cost (3-5%) | Trust Setup Cost | Trust Savings |
|---|---|---|---|
| $300,000 | $9,000 - $15,000 | $1,500 - $3,000 | $6,000 - $13,500 |
| $500,000 | $15,000 - $25,000 | $1,500 - $3,000 | $12,000 - $23,500 |
| $1,000,000 | $30,000 - $50,000 | $2,000 - $4,000 | $26,000 - $48,000 |
| $2,000,000 | $60,000 - $100,000 | $3,000 - $5,000 | $55,000 - $97,000 |
Probate costs vary significantly by state. California and Florida tend to have higher probate costs. Some states have reformed probate to be faster and cheaper. Always check your specific state's rules.
Finding an estate planning attorney
Look for an attorney who focuses on estate planning (not a general practitioner who does it occasionally). State bar associations often have referral services. The National Academy of Elder Law Attorneys (NAELA) maintains a directory of attorneys who specialize in elder law and Medicaid planning. Initial consultations typically cost $150-$300 and are worth doing even if you decide to use DIY software afterward.