How Much Does Estate Planning Cost?

Here is the truth, estate planning attorney fees will seem high, but you need to compare them to the cost of NOT planning before you make a decision.  Below are some representative numbers for this firm.

How Much Does Estate Planning Cost?

How much do I save by making an estate plan?

If you have an estate worth say $300,000, it could cost you up to $18,000 (or more) to have that estate settled with only a will or without a will.  This isn't including money spent by family or people close to you to go to court to get things like a guardianship or permission to make medical decisions for you.  This isn't including estate taxes, paying off creditors, donations, final expense, and so forth.

How much does a lawyer charge for a will?

A basic will is going to start around $600.  But a basic will is just that, very basic.  First time marriage, few children, easy distribution, no tax worries, etc.

How much does a revocable living trust cost?

Like the will, the trust will start around $600 for a basic trust.  Again, first time marriage, few children, easy distributions, no tax worries, etc.

How much does a living will cost?

They are free.  Just go to your doctor's office or hospital and ask for one.  Follow the instructions, have the witnesses sign it, and then file it with the hospitals and doctors.

How much does a will and trust cost?

When you get both documents together, the price actually drops some because the information for both documents is the same...

How much does a complete estate plan cost?

A complete estate plan, including medical estate planning and handling Medicaid and elder law worries starts around $1,500.  This does not include deeds or moving assets to any trusts created.  The pricing for that depends on how much is done.  Also, complete nomination of temporary and permanent guardians for your children is extra.

What is the Price of NOT Planning?

Your Estate Plan

If you have not made your own estate plan, the state has written one for you and you might not like the results.  Your plan stands in place of the default state plan and you get to make the decisions.

Estate Administration

Estate administration will be done by a court appointed personal representative, not necessarily who you would have picked

Final Arrangements

Your final arrangements will be made by somebody else.  They might not be what you wanted.  For example, burial vs. cremation, flowers vs. donations, wake vs. viewing, etc.

Estate Settlement and Probate

Your estate will be settled at around 5.5% to 6% of its value at a minimum.  Take that $300,000 estate and there is $18,000 gone that won't go to your children.

Medical Decisions

Final medical decisions will have to be made by a guardian.  A guardian is appointed by the court.  The court process can cost from $1,500 upwards.

Organ Donation

Unless you have otherwise made your choices known, you won't be a donor.

Estate Taxes

If you are one of the fortunate few who have more than $5.43 million (in 2015), you need to worry about minimizing estate taxes.

Guardians for Your Children

Finally, do you want to be able to name who you want to raise your children, or do you want people to fight over it and drag your children through a long court struggle.

I serve people in all of Northwest Arkansas including Fayetteville in the areas of probate, estate planning, and  elder law.

Finding A Great Lawyer: Tips And Tricks

Finding a good lawyer is crucial if you have to go to court. Even though they often get a bad rap, they are still needed to win your case. It only stands to reason that, if you have to have a lawyer, you should have a good one so that you'll have a good chance of winning your case. Read on for some excellent tips on selecting a good lawyer.

Rule number one of hiring a lawyer: Ambulance chasers are bad news. This is usually a scam you should avoid, in particular if you have an issue which will cost a lot. Find a quality lawyer that has a solid reputation.

Establish ahead of time when and where you will be able to have face-time with your attorney. Often an attorney will be hired and then not follow through by staying in touch with the client. To avoid this kind of problem, develop a schedule in advance.

Don't pick a lawyer if anything about them makes you uncomfortable. That is the case with their costs as well. Don't give a blank check to them! Ask for an estimate up front so that you can control the cost before it spirals out of control during your case.

Decide ahead of time what kind of budget you have to work with. Perhaps you are completely right, but can you afford to prove it? Research the fee schedule of all attorneys you are considering. Chat with them about the budget you have and what you need to happen. Know what cost overruns are possible.

Only hire a lawyer you can trust. Lawyers are handling important documents for you, so you want to trust that they are going to do a good job. Many business lawyers want huge retainer fees and to be able to spend your money without limit. Remember that hiring the wrong business lawyer can sink you financially. Keep your guard up at all times.

When interviewing lawyers, ask them a lot of questions. During your first meeting, the attorney should answer any question you may have, whether the question is big or small. They need to make you feel comfortable. If they cannot answer your questions, then you should not hire them.

Try using lawyer referral services. This type of service can locate a lawyer for you. They will vary in quality since some will screen lawyers and just list those with certain qualifications and certain amounts of experience. Some will list lawyers that are favorable by the standards of the state bar if they maintain liability insurance. You want to find a good referral service with strict qualifications.

Choose a lawyer that you feel very comfortable with. A good attorney will be intelligent, knowledgeable and good with people. If your lawyer does not do this, you should find a new one right away.

Having read this article, you can now select your lawyer with confidence. Therefore, you likely already have a leg up on your adversary. Make sure you take full advantage of this information, and conduct additional research as needed. After all, the more you know, that better chances your case will have in winning.

If you need an attorney, in Northwest Arkansas, consider the DeWitt Law Firm for your probate, estate planning, or elder law needs.

Benefits of Estate Planning

Estate planning is the process of arranging and anticipating for the estate’s disposal during a life of a person. It helps to eliminate the uncertainties over the administration of a probate and it helps to minimize the estate’s value by reducing the taxes and other such expenses. The ultimate goal of the estate plan however is determined by the client’s specific goal and it can be simple or complex as the needs of the client dictate. For the minor beneficiaries and minor children, the guardians are often designated for their incapacity. To some degree, it overlaps with the elder law. In addition, it includes other provision as long-term care. 

Estate planning involves trusts, will, powers of appointment, beneficiary designations, power of attorney, and gift and property ownership, specifically the durable medical power of attorney and durable financial power of attorney. Here, are some of the benefits of Estate Planning.

1. Peace of Mind: Everybody knows that death will come to everybody. Death is certain yet it is uncertain. There are some people who worry that what will happen to their properties once they expire. They think that will their loved ones will be able to inherit their property after their death or not. If planning is done beforehand then it gives a peace of mind. The person knows that his/her property will go to the designated heirs when they pass away. The person can also specify in his/her will that how much each of his/her heir will receive after his/her death and they also decide that through which mode they will receive their asset. 

2. Providing for Loved Ones with Special Needs: Another great concern for a person is if they have a family member or relative is either mentally or physically disabled. If a will is in place, then one can be assured that the family member or the relative who needs special needs will be provided with such needs after his/her death. 

3. Helps Heirs With Inheritance: There may be some heirs who are inexperienced when it comes to managing their inheritance. If such is the case then the inheritance may not be long-lasting and it might be spent on impractical things. By doing the planning beforehand, a person will be able to specify that what the inexperienced heirs should do with the assets which they have inherited to make sure that it is used for getting important things like good education, a nice house, making wise investments and others. 

4. Protecting Children: Another great benefit of estate planning is that the person is able to protect the inheritance of his/her children in the event that his surviving spouse gets remarried after his death with someone who has children. If the will is planned carefully then the inheritance of the children is protected while the surviving spouse is still provided for. By doing this, the worry factor about the children or stepchildren from a later marriage claiming the part of the estate is been eliminated. 

5. Minimizing or Avoiding Estate Taxes: Estate planning is not only about putting a will together but it also mean to secure one’s asset to make sure that his/her inheritor is able to get it in the most tax-effective way. A well-drafted estate plan or will can minimize or avoid various taxes if it is done with an expert estate planning lawyer. 

Visit Dewitt Law Firm, PLLC serving Northwest Arkansas including Avoca, Bella Vista, Johnson, Fayetteville, and Rogers.