Pro Tip: Estate planning is about more than just designating an heir. To learn the ins and outs of this process, read our comprehensive guide to estate planning.
|
January 10, 2023
The Senior List is compensated when you click on the provider links listed on this page. This compensation does not impact our ratings or reviews. Click here to learn more about our editorial review process and click here to learn more about how we are compensated.
As we get older, it becomes necessary to make financial plans for the future, not only for your retirement, but also for your estate. With an estate plan in place, you can ensure that all of your property goes to people of your choosing, whether this is a spouse, child, or other loved ones.
That said, hiring an attorney to create an estate plan can be costly, often costing hundreds of dollars per hour. This is where a service like LegalZoom comes in handy.
Entirely online, LegalZoom allows you to create wills, living trusts, and power of attorney documents for as low as $39 each. If you’re looking to save time and money, LegalZoom is definitely worth a look.
Pro Tip: Estate planning is about more than just designating an heir. To learn the ins and outs of this process, read our comprehensive guide to estate planning.
LegalZoom is an online service that allows customers to purchase and complete legally binding wills, trusts, and power of attorney documents. Traditionally, to create these documents, a person had to hire a lawyer who specializes in estate planning; however, LegalZoom streamlines this process by providing users with premade templates that help them to create these documents from their computers. While based online, LegalZoom also provides users with access to licensed attorneys who can help guide them through the process.
The benefits of this model are lower costs and convenience. In our experience, you can create an estate plan in a matter of hours and for under $300.
LegalZoom offers five different documents related to estate planning: last will and testament, living will, healthcare power of attorney, living trust, and financial power of attorney. These documents can be purchased either separately or bundled in LegalZoom’s Estate Plan Bundle for $249.
A last will and testament protects one's assets after death, specifying the distribution of one's estate, designating guardians for children or dependents, and including specific requests on the distribution of assets. For example, a last will and testament can specify that the entirety of your assets will be passed on to your spouse.
LegalZoom offers two options for the creation of a last will and testament. Its basic last will and testament package is a complete DIY solution that allows you to create your will by answering a series of questions. Then the document is produced for you.
You can review it independently or with an attorney and get unlimited revisions for 30 days. Its comprehensive last will and testament package includes two weeks of attorney assistance.
While a last will and testament pertains primarily to one’s property, a living will conveys one's wishes regarding medical care in the event of incapacity. This document stipulates your preferences about the continuation, or cessation, of life-sustaining treatments in the event of your incapacity and inability to communicate normally.
A living will provides instructions concerning resuscitation during respiratory or cardiac arrest.
Additionally, it offers guidance on life-sustaining measures, including administering hydration or nutrition via a feeding tube when the body or brain ceases to function normally.
To complete a living will with LegalZoom, you have two options: You can select the basic living will option or the comprehensive living will option.
Both options begin with you answering questions that will help determine the terms of your living will and provide free revisions for 30 days. The comprehensive option adds two weeks of attorney consultations.
To learn more about wills, read our guide to wills.
A healthcare power of attorney is a legally binding agreement permitting the signer to designate an individual to make decisions regarding healthcare should they be incapable of doing so themselves.
The term may also allude to the individual assuming the part of the decision-maker. In simpler terms, if a person is rendered helpless due to an injury or illness, the power of attorney document will transfer the power to make decisions to the appointed individual.
LegalZoom includes the healthcare power of attorney in filing its living will product.
To learn more about power of attorney documents, read our guide: What Is Power of Attorney?
A living trust is a revocable trust where the grantor transfers property to the trustee, who then manages such property to benefit the beneficiaries.
The living trust generally has three parties: the grantor, the trustee, and the beneficiary. These three parties are usually embodied in one person upon execution. When the grantor, the trustee, and the beneficiary are one person, this person retains complete control over the property.
LegalZoom offers a couple of options referring to a living trust: the basic living trust package and the comprehensive living trust package. Both options begin with a series of questions to ensure your needs and wants are covered.
The difference between the two is the comprehensive living trust package includes two weeks of attorney assistance.
A financial power of attorney is an integral component of your estate plan, permitting you to designate an individual you trust to manage your financial affairs in the event of incapacitation, death, or absence. This delegation of authority allows for the continuance of business operations even in your absence.
Like all of the above plan options, the financial power of attorney is available in two packages: the basic power of attorney and the comprehensive power of attorney. And again, the only difference is that the latter receives attorney assistance.
In addition to the products listed above, LegalZoom does offer two options for full estate planning.
The last will estate plan costs $249 and includes the following:
The living trust estate plan costs $399 and includes the following:
Bundling these packages will save you money and give you everything you need to get your estate in order. Each product's prices fall under estate planning to show the benefits of bundling.
As you can see below, the costs for the bundles are similar to purchasing the three products separately. However, the estate plans come with one year of attorney assistance and free revisions for a year. This makes bundling the best value.
| Product | Basic package price | Comprehensive package price |
|---|---|---|
| Last will and testament | $89 | $99 |
| Living trust | $279 | $299 |
| Financial POA | $35 | $45 |
| Living will | $39 | $49 |
| Last will bundle | N/A | $249 |
| Living trust bundle | N/A | $399 |
If you were to receive these benefits from an elder law attorney in Florida as opposed to LegalZoom, you could expect to pay $995 for a living will or $2,895 for a living trust.
LegalZoom offers affordable options for estate planning as low as $300 for a full-fledged estate plan. In addition to the affordability, it’s also incredibly quick, allowing you to create these documents in a matter of hours.
The only drawback is that with the add-ons, the additional assistance for attorneys will renew monthly for $25 on the comprehensive packages and $199 annually on the estate plan bundles.
LegalZoom is excellent for individuals who are looking to get their affairs in order, who want a quick and easy solution instead of having to meet with lawyers, and who have the mental capacity to understand what they’re doing.
To learn more about legal concerns of aging, read our helpful guides: