Probate vs Living Trust vs Small Estate
Compare costs, timelines, and benefits of all estate settlement options side-by-side. See which option saves you the most money for your specific situation.
Compare Your Options
See side-by-side costs and timelines for probate vs alternatives
Understanding Your Options
When to Choose Full Probate
Full probate makes sense when:
- No estate planning was done before death
- Estate doesn't qualify for small estate procedures
- Court supervision is needed (disputes, complex assets)
- Creditor protection through formal claims process is important
- You need a structured process with clear deadlines
When to Choose a Living Trust
A living trust is ideal when:
- You want to avoid probate entirely (privacy, speed, cost savings)
- Your estate is worth more than $500,000
- You own real estate in multiple states
- You want incapacity planning (trustee manages if you can't)
- You value privacy (trusts are not public record)
- You can afford upfront planning costs
When to Use Small Estate Affidavit
Small estate procedures work best when:
- Estate value is below your state's threshold
- Assets are simple (bank accounts, personal property)
- All heirs agree on distribution
- No disputes or complications expected
- You want the lowest cost and fastest process
Common Questions
Can I set up a living trust myself to save money?
While DIY living trust software exists ($100-$300), having an attorney prepare it ($1,500-$5,000) ensures it's properly drafted and funded. A poorly drafted trust can fail to avoid probate or create legal problems. For estates over $500,000, professional preparation is strongly recommended.
Is probate always bad?
No. Probate provides court supervision, structured deadlines, and legal protections that can be valuable for complex estates or when disputes are expected. For smaller, simple estates, probate may cost less than setting up a trust. The key is choosing the right option for your situation.
What if my estate is just over the small estate threshold?
If you're close to the threshold, consider estate planning strategies before death: transfer assets using beneficiary designations, create joint ownership, or establish a living trust. These strategies can reduce your probate estate below the threshold. Consult an estate planning attorney.
Can I combine these approaches?
Yes! A common strategy is using a living trust for major assets (real estate, investment accounts) while some smaller assets may still require probate. Or use beneficiary designations on retirement accounts combined with a trust for other assets. A comprehensive estate plan often uses multiple tools.
Will a living trust save me estate taxes?
A basic revocable living trust does NOT reduce estate taxes. Your taxable estate is the same whether you have a trust or not. However, certain types of irrevocable trusts CAN provide estate tax benefits for very large estates (over $13.61 million in 2025). Consult a tax attorney for estate tax planning.