Your 2025 Guide to Illinois Estate Planning

There’s no better time to plan for the future than the present. Here’s how estate planning works in Illinois and what you might include in yours.

Ready to start your estate plan?

Trustpilot star rating bar
A woman holds a sleeping baby while a man sitting at a laptop looks up and touches the baby's face.

Contents

Updated on: April 28, 2025
Read time: 9 min

Above all, estate planning is about making your wishes clear. It's how you document what should happen to your assets, who should receive them, and who can make decisions on your behalf if needed. 

While this might sound complicated, an estate plan can be built piece by piece. You can also get help from an estate planning attorney or LegalZoom to create an estate plan tailored to your needs. First, here's what to consider for Illinois estate planning this year.

Man and woman collaborate in a modern office

What are the most important parts of an estate plan?

You can structure your estate plan in a few different ways, most commonly with wills, trusts, powers of attorney (POAs), or a combination of these legal documents.

Wills

A last will and testament, simply known as a will, directs how your property should be distributed after your death. You also name an "executor," who is the person who carries out the wishes outlined in your will. If you have minor children, you might even name a guardian to care for them and manage their inherited property until they're adults.

All wills in Illinois must be in writing and meet certain requirements to be valid (755 ILCS Sections 5/4-1, 4-3, 4-6), including the following:

  • You must be at least 18 years old and of "sound mind and memory."
  • You must sign the will yourself or have someone else sign it in your presence and at your direction.
  • Two or more credible witnesses must sign the will in your presence, but the witnesses can't be beneficiaries (if they are, their portion of inheritance is voided unless there are enough other witnesses). 

Under Illinois' Electronic Wills and Remote Witnesses Act, you can also create and sign a will electronically, and witnesses can participate via audio-video communication. However, since this is a relatively new law with specific technical requirements, it's advisable to consult an attorney to ensure you properly execute the will. 

Keep in mind that you can modify or revoke your will at any point after you create it. It's also worth noting that if you're married and get divorced, Illinois law (755 ILCS Section 5/4-7) automatically revokes any provisions in your will that benefit your former spouse. 

Trusts

While Illinois recognizes a few types of trusts, living trusts (also known as inter vivos trusts) are the most common for estate planning. When you create a living trust, you transfer your assets into it and set terms for how they should be managed and distributed. Since you transfer ownership of your assets to the trust before you die, there’s no need for them to go through probate (provided you set up and execute the trust correctly).  

These are the two types of living trusts.

  • Revocable trusts: The more common choice for most Illinois residents. You maintain control as the trustee during your lifetime and can modify the trust's terms. After your death, the trust becomes irrevocable, and your appointed successor trustee will manage the trust property and distribute it according to your terms. 
  • Irrevocable trusts: You typically can't modify the terms of an irrevocable trust and give up control over the trust assets after you create it. They're also more difficult to establish, so it's best to consult an estate planning attorney for advice. 

Although living trusts and last wills both specify your terms for property distribution, they're not complete substitutes for each other. In fact, it's common to create both estate planning documents—a living trust for major assets and a "pour-over" will to protect property that doesn't get transferred to the trust. 

Power of attorney for finances

A power of attorney (POA) for finances gives someone else, legally known as your agent, the power to handle your legal, business, or financial affairs. You can give your agent broad authority to handle everything as if they were you, or you might list specific powers or limited durations for them to act on your behalf.

All POAs for property are automatically "durable" in Illinois. In other words, the powers last even if you become incapacitated, but you can include provisions to remove this feature if desired (755 ILCS Section 45/2-5).

Illinois also has a statutory short form POA for property in the Power of Attorney Act. You can simply print and fill out the form yourself, but be sure to read all the instructions and warnings carefully. 

For instance, at least one witness must sign the POA before a notary public, but your witness can't be (755 ILCS Section 45/3-3.6):

  • Your attending physician, mental health provider, or their relatives
  • An owner or operator of your healthcare facility (or their relatives)
  • Your parent, sibling, descendant, or their spouses
  • The agent or successor agent named in the POA

You can find other templates, or you might work with an attorney or LegalZoom to create your power of attorney. In all cases (especially if you do it yourself), be sure to follow Illinois requirements for drafting and executing the document found in the state statute. 

Power of attorney for health care

A POA for health care—known in other states as an advance healthcare directive—lets you plan ahead for medical decisions and who you trust to communicate on your behalf. This includes the following: 

  • A living will declaration that provides your doctor with written instructions for your end-of-life care preferences
  • A designated medical agent or proxy who can make health decisions on your behalf while you're incapacitated 

Like the POA for property, Illinois has a healthcare POA statutory form. Whether you use this form or create your own, you should read all provisions carefully and reach out to an attorney if you have questions. Once your POA for health care is complete, you can provide copies to your physician, healthcare facilities, and medical agent so they have your wishes and powers granted on record. 

Beneficiary designations

Beneficiaries are the people you choose to inherit your assets, whether through a will, trust, or other means. However, certain assets require separate beneficiary designations, such as:

  • Life insurance proceeds
  • Bank accounts or retirement funds like 401(k)s
  • Transfer-on-death (TOD) instruments

You'll want to name beneficiaries for each applicable account while creating your estate plan (if you haven't already done so). 

What's unique about Illinois estate plans?

Illinois estate planning laws are primarily found in the state's Compiled Statutes, though some aspects, like estate taxes, also apply at the federal level. Here's what to consider.

Common law property

Illinois is a common law property state (also known as equitable division), which means assets aren't automatically split 50/50 like they typically are in community property states. While this principle mainly applies to married couples who get divorced, it has important implications for estate planning, too. 

In the event a person dies without a will—or dies "intestate"—Illinois law determines how property is distributed to the decedent's family. Here's how assets typically flow (755 ILCS Section 5/2-1). 

  • If you have a surviving spouse and children, your spouse receives half the estate, and your children split the other half. 
  • If you have a surviving spouse but no children, the spouse inherits the entire estate. 
  • If you have children but no surviving spouse, your children inherit the entire estate.
  • If you have no spouse or children, the state goes to your closest living relatives in a particular order (starting with your parents, siblings, and their descendants). 

Keep in mind that prenuptial agreements may override these default distribution rules. The same is true if you create a will or trust, as you specify your own distribution terms. 

Estate taxes

Illinois imposes an estate tax, but it only applies to estates worth $4 million or more. If your estate exceeds this threshold, the entire amount—including the portion under $4 million—is subject to this tax. The Illinois Attorney General's Office provides a tax calculator and current forms to estimate potential tax liability, with marginal rates ranging from 0.8% to 16%. 

At the federal level, estates valued over $13,990,000 (as of 2025) must pay federal estate taxes, but this threshold changes every year.

Illinois probate

After someone dies, the executor named in their will initiates the probate court process. Here, the court confirms the deceased's final debts get paid and approves the distribution of assets in accordance with the will. 

Not all assets need to go through Illinois probate, such as:

  • Assets or property held in a living trust 
  • Accounts with beneficiary designations
  • TOD instruments
  • Property owned in joint tenancy

Other assets, notably those distributed through a last will, must go through the probate process. However, Illinois has an exception for smaller estates. If the decedent's estate is valued under $100,000 and contains no real estate, beneficiaries can submit a small estate affidavit (found in the Probate Act) instead of going through the full court approval process.

Probate isn't always a negative experience, but if you have specific concerns or want advice for your family's situation, it's best to consult an estate planning attorney. 

When should you update your estate plan?

You can update your estate plan anytime you want to adjust terms, add or remove beneficiaries, or change other parts of your plan. In addition, it's a good idea to review and potentially update your plan when significant life changes occur, such as: 

  • Marriage, remarriage, or divorce
  • Birth or adoption of a child
  • Major health changes
  • Changes in employment status, income, or business ownership 
  • Moving to a different state
  • Acquiring or selling valuable property, such as a home or boat
  • Death of a named executor, trustee, or beneficiary

The main exception is an irrevocable living trust, which typically can't be modified for any reason once it's established. For all other estate planning documents, you can revise as needed—just be sure to follow Illinois' legal requirements to document and execute any changes. 

How to start your estate plan today

A lot goes into estate planning, but keep in mind that you don't have to tackle everything at once. You might even be able to complete certain parts on your own, such as Illinois' statutory POA forms.

That said, it makes sense to work with an estate planning attorney or services like LegalZoom to create an estate plan that meets your and your family's needs. We can help you create a last will or living trust along with the other supporting documents discussed, from POAs to healthcare directives. 

If desired, you can also connect with an attorney in our network who can review your estate plan and offer advice—all for a flat and predictable rate. 

FAQs

How much does estate planning cost in Illinois?

Estate planning costs depend on the exact way you structure your plan, and complex needs (such as irrevocable trusts) can vary widely in price. For more common documents like wills or revocable trusts, estate planning services can cost anywhere from $100 to $600 or more, while attorneys typically charge more. Also, remember to factor in additional expenses like notary fees. 

How do you avoid probate in Illinois?

Many Illinois residents create a living trust to avoid probate. Other options include transfer-on-death (TOD) instruments and beneficiary designations, but keep in mind that probate isn't always avoidable. For the best strategy for your situation, consider reaching out to an estate planning attorney. 

What makes a will invalid in Illinois?

There are several ways a will can be found invalid. A common reason for it being invalidated is improper execution of the will, such as not including a signature or having enough witnesses. A will can also be invalidated if a court determines that it was created as a result of fraud or undue influence.

Should you put your house in a trust in Illinois?

You can put a house (or other real estate property) in a trust. This is a very common practice because it keeps your house out of probate court, but whether you should or not depends on your needs. You can also include a house in a will in Illinois, but this still requires your house to go through probate. Still, each method has different implications, so it's helpful to speak to an attorney to determine the best approach.

Ready to start your estate plan?Start My Estate Plan
Twitter logoFacebook logoLinkedIn logoReddit logo

This article is for informational purposes. This content is not legal advice, it is the expression of the author and has not been evaluated by LegalZoom for accuracy or changes in the law.

70 days ago
Trustpilot star rating bar

legal zoom is the way to go

The representative was very knowledgeable about how long it takes to transfer a deed from one person to the next he explained everything and he was very pleasant when speaking to him

Ross
70 days ago
Trustpilot star rating bar

I find that LegalZoom has all the…

I find that LegalZoom has all the answers if you're starting a business an LLC and incorporation or you're doing a trust or a Will. These are the people you want to trust don't go to an expensive attorney you're just throwing your money away. Legal soon gets five stars!

Sean Christopher
70 days ago
Trustpilot star rating bar

I spoke to the representative today about a Trust...

I spoke to the representative today regarding a question about an existing Living Trust. She was very helpful - told me exactly what I needed to know and how to accomplish it. As a representative in the Financial field I guide clients all the time on where to get documents done right - and its always LegalZoom - easy and effecient!

Gareth
79 days ago
Trustpilot star rating bar

We could not be more Pleased with the…

We could not be more Pleased with the help and service we had during the up dating of our Living Will and Advanced Directive

Richard Poulton
82 days ago
Trustpilot star rating bar

Legal Assistance for the rest of us

Legal Zoom has made it easy and affordable for us to create an LLC, a Will, and a Trust for our families.

K Chapman
85 days ago
Trustpilot star rating bar

pleasant and willing representatives…

pleasant and willing representatives ready to help me navigate through your system and supply attorney contact information for my legal questions for my last will & testament

Mark Impink
85 days ago
Trustpilot star rating bar

LegalZoom .com has exceptional, real, staff to help. I met one!

I purchased multiple accounts to update both our Living Wills and Estate Plans. After utilizing LegalZoom.com’s user-friendly and intuitive platform for these legal documents, I found it necessary to call for clarification on some information within our account. I spoke with Sandra Balderas, who expertly addressed the mistakes I had inadvertently made. Her professionalism and friendliness greatly enhanced the experience. I realized that LegalZoom is not only a straightforward website to navigate for such complex matters, but it also boasts exceptional employees. Thank you, LegalZoom.com, and especially Sandra Balderas, for guiding me through the process. I’m thrilled to have discovered LegalZoom.com.

Max -Phoenix, Arizona
85 days ago
Trustpilot star rating bar

Sarah was most helpful today regarding updating my estate plan

Sarah was most helpful today regarding updating my LZ docs created 3 years ago. She made sure I had all the information I needed, not just what I asked for. Thank you Sarah!

Diane Floyd
91 days ago
Trustpilot star rating bar

Quick and easy experience creating a…

Quick and easy experience creating a will package.

Kristin Steel
96 days ago
Trustpilot star rating bar

Used them past 10 years

Used them past 10 years. I needed another will and power of attorney.

MERLYN C
96 days ago
Trustpilot star rating bar

Tammy was wonderful and very…

Tammy was wonderful and very knowledgeable. It's because of her that I am going to open a living trust with legal zoom. She was great. Thank You

Erin
104 days ago
Trustpilot star rating bar

Pleasant Experience

Patience and weel given explanation about the process of how a "Living Trust" & "Deed" works after transitioning and guidance on how to contact an attorney whenever I need legal advice.

Sharron Martin
106 days ago
Trustpilot star rating bar

It was a breeze to deal with Legalzoom…

It was a breeze to deal with Legalzoom and finished my estate plan within an hour!! Thanks again

BT
110 days ago
Trustpilot star rating bar

Great team…

Mark and Legal Zoom make estate planning affordable and attainable.

Christopher Maginnis
142 days ago
Trustpilot star rating bar

Living Will & Forming my LLC

I have used Lega Zoom for several items, including my living will and items to form my LLC for my business. It's fast, easy, and thorough. The customer service is fantastic! I am working with David on a few items for my will,l and he has been a delight. He follows up when he says he will and is incredibly helpful. I highly recommend this company.

Kristen J
154 days ago
Trustpilot star rating bar

Nadia made it very easy for me to make…

Nadia made it very easy for me to make a decision to sign up and create my estate planning documents with legalsoom. She was very professional and knowledgeable about the package that I chose. She also offered her direct contact for any future questions I might have.

Melita D'Anna
163 days ago
Trustpilot star rating bar

Kylie helped me to review my history of…

Kylie helped me to review my history of trying to complete my estate plan and contacting a legal advisor that comes with my account. She was patient, knowledgable, and helpful.

Paula
167 days ago
Trustpilot star rating bar

I have worked with Mark Champ on… Last Will & Testament, Living Will, Quit Claim Deed

I have worked with Mark Champ on several documents I needed and every time he has provided me with every thing I needed and with so much graciousness and knowledge. It has always been such a pleasure working with Mark!!!!!!!!!!!!!

Cathy Donaldson
202 days ago
Trustpilot star rating bar

Most Dedicated Representative!

Patti Green was the most informative person in guiding me through the process of completing my estate plan . She was always there for me to answer my questions and give excellent advice . Also , she was very polite and considerate ! Legal Zoom is so fortunate to have Patti on their team . Thank you , Patti for all of your assistance and kindness !

Priscilla Page
280 days ago
Trustpilot star rating bar

Patti Green is GREAT!

Ms. Patti Green walked me through the Estate Planning process. She was very professional, patient and kind. Planning for when you are no longer here is very intricate and difficult. Working with Ms. Green helped give the assurance that I am doing the right thing for myself and loved ones.

TRINESSA
Rated4.6out of 5 based on23,906+ reviewson

Showing our favorite reviews