Will vs. Trust: What Do You Need? Cost, Process and Uses
Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
The investing information provided on this page is for educational purposes only. NerdWallet, Inc. does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments.
Wills and trusts are legal instruments that ensure your assets pass to heirs according to your wishes. The main difference between wills and trusts is that wills take effect after you die, while trusts can take care of your assets while you’re still alive.
Also, trusts can help an estate avoid probate, the court process for distributing your property; wills, on the other hand, typically must go through probate. Generally, you may need a will if you're married, have kids or own property. Setting up trusts is an extra step that can make sense if you have a large or complicated estate, or if you need more control over how assets are distributed.
» Need a will? Here are our top picks for online will makers
The beneficiary information you put on certain financial accounts usually takes priority over the beneficiary information you put in your will or trust. As part of the account setup process, financial institutions that hold retirement accounts and life insurance policies often require you to designate a beneficiary for the account, and that designation typically overrides designations you make in other estate planning tools.
How to decide if you need a will, a trust or both
1. Do I need a will?
Many people feel like they don't have enough assets to need a will. Sometimes, this is true; sometimes, it isn't. Check your state's probate threshold — the dollar value of assets that would trigger a longer probate process — to see whether making a will could make the probate process faster.
You might also want to create a will if you have children under 18 or a trust.
2. Do I need a trust?
What is a will?
A will is a set of instructions for what to do with a person’s assets after they die. The creator of a will, called the testator, elects an executor to handle the estate’s affairs upon their death. These affairs include implementing the will's instructions for things such as guardianship of minor children and pets, distribution of property and assets, charitable donations and funeral arrangements.
Wills typically do not apply to assets that are owned jointly — those usually transfer to the surviving co-owner when one owner dies. State laws for wills vary, but most require that the testator and two witnesses sign the will before it becomes legally binding and effective.
» MORE: Learn what a bequest is
Price (one-time)Will: one-time fee of $199 per individual or $299 for couples. Trust: one-time fee of $499 per individual or $599 for couples. | Price (one-time)$149 for estate plan bundle. Promotion: NerdWallet users can save up to $10. | Price (one-time)Will: $199 for Basic, $299 for Premium with attorney assist. Trust: $499 for Basic, $599 for Premium with attorney assist. |
Price (annual)$19 annual membership fee. | Price (annual)$39 | Price (annual)$199 per year for attorney assistance after the first year. |
Access to attorney supportYes | Access to attorney supportNo | Access to attorney supportYes |
What is a trust?
Trusts are separate legal entities you can set up to ensure that your assets go to the right beneficiaries in the way you choose. They can give you more control over the distribution of your estate, and some types of trusts may even reduce your estate taxes if you have a large estate. Trusts can also help your estate avoid the probate process, which is public record and can take several months.
Unlike wills, trusts need to be funded, which means that you must transfer your assets — property, accounts (investments, retirement, banking), etc. — to the trust by retitling them in the name of the trust.
To set up a trust, the creator (called the grantor) opens a trust account, puts assets in the name of the trust and authorizes another person, called a trustee, to distribute those assets to the trust’s beneficiaries according to the rules in the trust agreement.
» Planning your estate? Here’s how to get started
Deciding factors
Will | Trust | |
---|---|---|
Cost | Around $0 to $1,000, depending on the complexity and size of the estate and how it is created (DIY, online, via an attorney). | $160 to $600 for a simple online trust; around $3,000 and up for complex trusts. |
Especially good for | People with minor children or dependents, and those who have specific wishes for end-of-life care. | Those who want their beneficiaries to receive assets while they’re still alive, potentially reduce estate taxes or avoid probate after their death. |
Process | Straightforward process. | More complex process, with more paperwork. |
Effect |
|
|
Taxes | Wills do not avoid estate taxes. The federal estate tax ranges from rates of 18% to 40% and generally only applies to assets over $13.61 million in 2024 or $13.99 million in 2025. | Irrevocable trusts can provide tax benefits and protect your estate from creditors. Revocable trusts generally do not provide these things. |
Privacy | Wills may be subject to probate, which is a public legal process. People may contest your will. | Trusts bypass probate and are less likely to be successfully challenged, which gives your finances and beneficiaries privacy. |
Protection during incapacity | Wills take effect after your death, so they do not protect your assets if you become incapacitated. | Trusts can protect your assets if you are incapacitated while still alive. |
Price (one-time)Will: one-time fee of $199 per individual or $299 for couples. Trust: one-time fee of $499 per individual or $599 for couples. | Price (one-time)$149 for estate plan bundle. Promotion: NerdWallet users can save up to $10. | Price (one-time)Will: $199 for Basic, $299 for Premium with attorney assist. Trust: $499 for Basic, $599 for Premium with attorney assist. |
Price (annual)$19 annual membership fee. | Price (annual)$39 | Price (annual)$199 per year for attorney assistance after the first year. |
Access to attorney supportYes | Access to attorney supportNo | Access to attorney supportYes |
Compare online will makers
AdvertisementCompany | NerdWallet rating | Price (one-time) | Price (annual) | Access to attorney support | Learn more |
---|---|---|---|---|---|
Ease of use Trust & Will - Will Get started on Trust & Will's website | Will: one-time fee of $199 per individual or $299 for couples. Trust: one-time fee of $499 per individual or $599 for couples. | $19 annual membership fee. | Yes | Get started on Trust & Will's website | |
Digital Assets GoodTrust Get started on GoodTrust's website | $149 for estate plan bundle. Promotion: NerdWallet users can save up to $10. | $39 | No | Get started on GoodTrust's website | |
State-specific legal advice LegalZoom - Last Will Get started on LegalZoom's website | Will: $199 for Basic, $299 for Premium with attorney assist. Trust: $499 for Basic, $599 for Premium with attorney assist. | $199 per year for attorney assistance after the first year. | Yes | Get started on LegalZoom's website | |
Comprehensive services Nolo’s Quicken WillMaker - WillMaker Get started on Nolo's website | None | $99 to $209 per year. | No | Get started on Nolo's website |