How Much Does A Will Cost? A Complete Guide

It’s never too early to write a will. After all, you never know what the future brings, and you may not want to leave the distribution of your estate up to the government. But how much does a will cost? Read on to find out!

What Is The Average Cost Of A Simple Will?

The cost of a will varies greatly depending on a number of factors. If you write it yourself, it can cost almost nothing. If you use an attorney, you can expect to pay anywhere from a flat fee of a couple hundred dollars to $1,000 or more.

Keep in mind that a will is distinct from a living trust. The former is a legal document that outlines how you want your assets to be distributed after your death, while the latter is a financial vehicle that lets you transfer assets to a trustee while you’re still alive. They then hold, manage, and distribute the fund’s assets as you direct, eliminating the need for probate court.

That said, wills and trusts are often used in conjunction with one another. Naturally, the average cost of a will and trust will be higher than the cost of a will alone.  

Cost Of Making A Will With A Lawyer

Before writing your own will, consider hiring a lawyer to do it. They can provide peace of mind with their legal expertise — ensuring your will complies with state laws, minimizes tax obligations, and is carried out as you intend.

However, it’s important to know that the cost of hiring a lawyer depends on multiple factors:

Estate Location

Estate location can impact the cost of hiring an estate lawyer. For example, in areas with a higher cost of living, legal services may be more expensive. Similarly, estate lawyers in markets with relatively low supply and high demand for legal services may command higher prices.

Estate Value

Your estate’s value can also impact the cost of hiring an estate lawyer. Generally, the larger the estate, the more complexity and legal expertise is required in drawing up a will.

Attorney Experience And Fees

Estate attorneys’ different experience levels and fee structures also impact their cost. For example, seasoned lawyers may charge more due to their proven track record. In addition, some charge hourly, while others charge a flat fee. If you expect your will to be complex, you may save more by paying a flat fee. If not, paying by the hour may be the better option.

Do-It-Yourself Will Types

Another option is to make your own will. Some people do this instead of hiring a lawyer to save on legal fees, because their estate is relatively simple with few assets and straightforward beneficiaries, or because their need for a will is urgent and they cannot afford or access immediate legal assistance.

Whatever the reason, DIY wills are a legitimate way to ensure your assets are disbursed as you wish upon your death. Here are two common types of DIY wills:

Holographic Will

A holographic will is one you write and sign in your own handwriting and doesn’t require the signature of witnesses. Consequently, it is completely free to make. However, not all states recognize holographic wills, and since they aren’t reviewed by a legal expert, they are more prone to include errors.

Online Will

An online will is created through an online service. Though they don’t involve consulting a lawyer directly, they are designed to comply with state requirements. Typically, you’ll be asked a series of questions regarding your assets, intended beneficiaries, preferred executor, etc. The resulting will can then be printed and signed to become legally binding. The cost of an online will is usually under $100.

Pros And Cons Of DIY Wills

Of course, DIY wills come with benefits and drawbacks.

Pros

Here are some advantages of DIY wills:

Affordability

DIY wills are generally more affordable than hiring a lawyer. According to lawyer.com, estate planning attorneys typically charge $200 – $500 per hour. In contrast, DIY wills can be free (or close to free), potentially saving you a lot of money. 

DIY Kits Make It Easy

DIY kits can make writing your will easy. Whether it’s an online template or service, you can typically customize forms to create and legally file your will. This way, you can complete your will at your own pace without needing to meet with a lawyer.

Full Control

When you draft your own will, you have full control over what’s included without relying on a third party for advice or approval.

Cons

Here are some disadvantages of DIY wills:

State Laws

State laws regarding wills vary, and some states may not consider DIY wills legitimate. For example, 23 U.S. states don’t recognize holographic wills.

Time Commitment

Assessing your own estate, navigating probate laws, and creating a will can be time-consuming. In many cases, handing the process over to a professional can be more time-efficient.

Potential Complications

Having a large estate, many beneficiaries, or other unique circumstances can make creating your will more complicated. To avoid probate and potential mistakes, you may want to let a professional handle your will.

No Legal Advice

When you draft your own will, you forego valuable legal guidance. For example, an estate lawyer can help minimize your estate’s tax liability so your beneficiaries can inherit more. Without expert advice, you could be leaving money on the table.

The Bottom Line

Whether you choose to write your own will or hire an estate lawyer, you’re on the right track. Any will is typically better than letting a probate court decide what happens to your assets. To get a handle on your finances and maximize your estate’s value, sign up for the Rocket Money℠ app. It can help you track your net worth, minimize debts, and put you on the road to financial freedom.