The advantages of living trusts are significant. Under a will, an estate must be settled in probate court. Lawyer’s fees and court costs can be significant (see chart below). Additionally there may be exasperating delays, and the proceedings are a matter of public record. In sharp contrast, a living trust is settled without court proceedings. A successor trustee simply distributes assets according to the trust’s instructions, under the guidance of an accountant, notary public or lawyer to ensure titles are transferred properly. The process is cheaper, faster, and can save on estate taxes.
Gross Estate Value | Attorney and Executor Fees |
---|---|
$100,000 | $4,000 |
$200,000 | $7,000 |
$300,000 | $9,000 |
$400,000 | $11,000 |
$500,000 | $13,000 |
$600,000 | $15,000 |
$700,000 | $17,000 |
$800,000 | $19,000 |
$900,000 | $21,000 |
$1,000,000 | $23,000 |
$1,500,000 | $28,000 |
$2,000,000 | $33,000 |
$3,000,000 | $43,000 |
$4,000,000 | $53,000 |
$5,000,000 | $63,000 |
$6,000,000 | $73,000 |
$7,000,000 | $83,000 |
$8,000,000 | $93,000 |
$9,000,000 | $103,000 |
$10,000,000 | $113,000 |
$15,000,000 | $138,000 |
$20,000,000 | $163,000 |
source: California Probate Code 10810