How America Prepares Its Legacy
How Probate Economics and the $84 Trillion Wealth Transfer Are Reshaping Estate Planning Across America
Table of contents
More than half of American adults don't have an estate plan — which means the state decides who inherits their assets and who raises their children. And whether someone dies with a will or without one, their estate goes through probate: a court process that averages 6-9 months and costs roughly $15,000 to $40,000 on a $500,000 home depending on the state. A trust avoids probate entirely. Meanwhile, the largest intergenerational wealth transfer in history — $84 trillion over the next 20–25 years — is reshaping how Americans protect their assets, driving a surge in trust adoption nationwide.
Using proprietary data from hundreds of thousands of estate plans created on LegalZoom between 2022 and 2025 — combined with state-by-state probate cost analysis and national survey data — this report maps the true cost of inaction and reveals the geographic, generational, and behavioral patterns behind one of life's most important financial decisions.
The Cost of Doing Nothing
The consequences of having no estate plan is that families lose control over who inherits their assets and who raises their children. A will is essential — it gives families control over guardianship, asset distribution, and final wishes. Only 24% of Americans reported having a will in 2025 — the lowest rate since tracking began, and down from 33% in 2022 (Caring.com/YouGov). Among those without any plan, 43% say they simply "haven't gotten around to it." Procrastination, not opposition, is the primary barrier. But a will still goes through probate, and probate costs are the same whether someone dies with a will or without one. Their estates enter probate — a court-supervised process that typically costs 3–8% of the estate's value and takes an average of 6-9 months to complete (ABA). On a $500,000 estate, that translates to roughly $15,000–$40,000 in fees depending on the state. For families already grieving, probate adds months of public legal process and thousands of dollars in costs. An estimated 2.6 million estates enter probate annually in the United States (NCSC).
Only a trust bypasses the probate process entirely.
What Probate Costs Your Family
| State | Estate Value | Probate Cost | Duration | Fee Structure |
|---|---|---|---|---|
| California | $500,000 | ~$26,000 | 12–18 months | Statutory fee for executor + attorney |
| New York | $500,000 | ~$25,000–$35,000 | 9–15 months | Statutory executor + reasonable atty |
| Florida | $500,000 | ~$15,000–$18,000 | 6–12 months | Statutory attorney fees |
| Texas | $500,000 | ~$5,000 | 4–8 months | Reasonable fee + Muniment of Title |
| UPC States (avg) | $500,000 | ~$3,000–$10,000 | 3–6 months | Simplified/unsupervised admin |
America's Probate Tax Map
LegalZoom data from hundreds of thousands of estate plans created since January 2025 reveals a clear pattern: where you live determines not just whether you'll plan, but what kind of plan you'll choose — and probate economics are the primary driver.
States Drive Trust Adoption with High Cost, Slow Speeds
In states where probate is expensive and time-consuming, Americans choose trusts to avoid the process entirely, such as California (72%) and Nevada (71%). In states with streamlined probate like Pennsylvania (80%) and Texas (65%), Wills remain the dominant choice.
The Unexpected Surge: Trust Adoption in Low-Cost States
The most striking finding: trust adoption is accelerating fastest in states where probate is already relatively affordable. From H1 2025 to H1 2026:
| State | H1 2025 Trust % | H1 2026 Trust % | Change | Probate Cost Tier |
|---|---|---|---|---|
| Kentucky | 13.9% | 37.0% | +23.1pp | Low |
| Iowa | 10.3% | 33.5% | +23.2pp | Low |
| Arkansas | 22.2% | 43.9% | +21.7pp | Low |
| Montana | 20.7% | 36.7% | +16.0pp | Low |
| Indiana | 16.8% | 33.5% | +16.7pp | Low-Med |
| Wisconsin | 20.5% | 36.5% | +16.0pp | Low-Med |
| Florida | 29.7% | 42.7% | +13.0pp | Med-High |
| California | 62.3% | 71.2% | +8.9pp | High |
The Great Wealth Transfer Meets the Monday Morning Will
The $84 trillion to $124 trillion that will transfer between generations over the next 20–25 years (Cerulli Associates) is already visible in LegalZoom's data. Americans are planning earlier, planning digitally, and planning on their own terms.
The Generational Shift
Adults ages 18–34 showed higher estate planning participation than the 35–54 cohort in 2025 — a finding attributed to digital-first financial literacy content reaching younger audiences (Caring.com, 2025). This is the first generation to come of age with digital financial planning tools.
Among adults 70 and older with upper incomes, 83% have a will — but among lower-income adults the same age, only 51% do, highlighting an accessibility gap that digital platforms are uniquely positioned to close (Caring.com, 2025).
When Americans Take Action
Monday is the #1 day (16% above weekly average). January is the #1 month (25–40% above monthly average).
The Digital Shift
According to LegalZoom, more than 9 in 10 Wills are completed using our guided online tools with customers opting for an attorney review through our Legal Assessment Plan (LAP) for added peace of mind — and that share has grown every year since 2022. Today, half of our estate plan customers complete their plan right from their phone. The future of estate planning is on a phone or tablet, during a lunch break, on a Monday.
Four Takeaways
1. More than half of Americans have no estate plan.
According to Care.com, in 2025, only 24% of survey respondents said they have a will, 13% reported a living trust, and 4% said they had other estate planning documents. Without a plan, the state decides who gets your assets and who raises your children.
2. Probate costs are still tied to your zip code
Probate costs vary up to 5x by state: from $5,000 in Texas to $26,000 in California on the same $500,000 estate. LegalZoom data shows Americans are responding — trust adoption in high-cost states is 2–3x the national average.
3. The wealth transfer is the story behind the story
Trust adoption is surging fastest not in high-cost probate states (where trusts have always made financial sense), but in low-cost states like Kentucky (+25.5pp), Iowa (+23.9pp), and Arkansas (+23.0pp). These are places where probate avoidance alone doesn't justify the shift. So what is driving this shift? While our data shows that some consumer behavior is changing, the exact catalyst is still up for debate.
It could be a desire for privacy, as families look to avoid public probate court proceedings. It could be that modern families are seeking better tax flexibility for married couples. Or, it could be a side effect of the historic Great Wealth Transfer. The Bank of America 2026 Study of Wealthy Americans found that 55% of millennials expect to inherit wealth in the next five years — yet 72% of Americans say they aren't prepared to manage a large financial windfall. That gap between expectation and preparedness is driving a new wave of estate planning that goes beyond the will.
This isn't just about avoiding probate costs. It's about a generation that knows money is coming — and is choosing trusts to protect it, even in states where probate is cheap.
4. Monday morning is when Americans take action
The will is America's front door to estate planning, and Americans are walking through it digitally: 85% get started with their estate planning on their phones or computers, and they do it on Monday mornings.
Our platform helps you create or update your plan—step-by-step, with attorney support when you need it.
Methodology
This report is based on analysis of LegalZoom proprietary order data from the INNOVATION_DB.ANALYTICS.INVOICE_BOOKINGS_DAILY table in Snowflake. The analysis covers Consumer segment estate planning orders (Last Will & Testament and Living Trust product groups) from January 2022 through June 2026, representing more than 260,000 estate plan orders across all 50 states. State-level data uses CONTACT_STATE_ABBR (filtered to 2-letter codes) for clean geographic segmentation.
Filters applied: FRONT_COMPANY = 'LegalZoom', PRODUCT_SEGMENT = 'Consumer', PRODUCT_GROUP IN ('Living Trust', 'Last Will & Testament'). Trust share acceleration analysis compares H1 2025 (Jan–Jun 2025) to H1 2026 (Jan–Jun 2026) for states with 100+ orders in each period.
External data sources: Caring.com 2025 Wills & Estate Planning Study (2,500+ U.S. adults, YouGov), Pew Research Center November 2025 (8,750 U.S. adults), Gallup 2021, Cerulli Associates ($84T–$124T wealth transfer), National Center for State Courts (~2.6M annual probate filings), American Bar Association (16-month avg duration, 3–8% cost range), California Probate Code §10810, New York SCPA §2307, Florida Statute 733.6171.
About LegalZoom
LegalZoom is a leading online platform for legal services, transforming how individuals and small businesses navigate the legal system. By combining intuitive technology with access to experienced attorneys, whether through our vast independent attorney network or our own law firm, we offer the tools and guidance people need to confidently manage everything from business formation and compliance to intellectual property protection and ongoing business management and legal support.
As AI reshapes how legal work gets done, LegalZoom is at the forefront of the human-in-the-loop approach, ensuring that the speed and efficiency of AI is always backed by the judgment and accountability of qualified professionals. With over two decades of experience and millions of customers served, LegalZoom helps individuals and small businesses navigate legal needs with confidence. For more information, please visit www.legalzoom.com.
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