How Much Does It Cost to Start a Trust Fund (Fees)

You built a business, now you want to protect what it funds, your family’s future. A trust fund is a simple legal setup that holds and manages money or property for your beneficiaries.

So, how much does it cost to start a trust fund? Typically between $1,000 and $5,000, depending on how complex your situation is.

Think of a founder who just sold a SaaS company and wants to secure college funds, reduce probate headaches, and add guardrails around distributions.

A basic revocable trust can be affordable, while advanced asset protection or tax-driven structures cost more.

In this guide, you’ll learn the key price drivers, from attorney fees and document complexity to trustee selection and tax filings.

You’ll also get practical ways to keep costs in check, when to use an online template, and when a lawyer is worth it. By the end, you’ll know the right setup for your goals and budget.

Check out this article to know more about Pet Trust Fund for Entrepreneurs (Setup, Costs, Benefits).

What Is a Trust Fund and Why Should You Consider One for Your Business?

A trust fund is a legal arrangement that holds assets for your chosen beneficiaries, managed by a trustee under rules you set.

If you are weighing how much does it cost to start a trust fund, remember the value goes beyond setup fees. You get control, privacy, and a clear plan for your company’s assets when life shifts.

Why it matters for owners and founders:

• Probate avoidance means faster, private transfers of assets.

• Business continuity if you are incapacitated, your trustee can step in.

• Targeted tax planning with the right trust type.

• Guardrails on distributions to protect heirs and the business.

• Funding tools for buy-sell agreements and succession.

Types of Trust Funds That Fit Small Businesses

• Revocable living trust: Flexible and changeable during your lifetime. In 2025, simple revocable trusts are the most popular starter option due to lower costs and easy updates.

• Irrevocable trust: Harder to change once created. Offers stronger asset protection and potential tax advantages, but you give up more control.

• Grantor trust: You retain certain powers, so income is taxed to you. Useful when you want simplicity on taxes and clear management authority.

• Complex trust: Can accumulate income and make discretionary or charitable distributions. Good for multi-beneficiary families with varied needs.

• Simple trust: Must distribute income annually, cannot distribute principal. Straightforward when beneficiaries need steady income.

• Discretionary trust: Trustee decides timing and amount of distributions. Helpful when you want tight controls for younger heirs or to protect against creditors.

• Special needs trust: Preserves benefits for a disabled family member while providing extra support. Often paired with a founder’s estate plan to safeguard care.

• Business succession trust: Holds company interests with instructions for voting, management, and buyouts. A clean path for handover without court delays.

Example: A local agency owner starts with a revocable living trust to title company shares and bank accounts.

As the business grows, they add an irrevocable trust for key assets to reduce risk and improve tax planning. This staged approach keeps costs low early, then adds protection when it matters.

Key Factors That Determine the Cost of Starting a Trust Fund

How much does it cost to start a trust fund? It depends on two big drivers: where you set it up and how complex your assets are.

Location affects attorney rates, while asset mix affects drafting time, title transfers, and funding steps.

How Location and Asset Complexity Affect Your Bill

Where you live shapes legal fees. In high-cost markets like New York and California, attorney-prepared revocable trusts often run $1,500 to $5,000 or more. In many rural or lower-cost regions, the same work may be $1,000 to $2,500.

Asset mix is the second driver. More types of assets mean more drafting and funding steps:

• Bank and brokerage accounts: Usually simple retitling; lower time cost.

• Real estate: Deeds, title work, and potential transfer taxes increase fees.

• Business interests: Operating agreement updates, assignments, and voting instructions add legal hours.

Why this matters: a basic trust with cash and a brokerage account is faster to draft and fund. Add two rentals and an LLC, and your lawyer needs extra documents, filings, and coordination with your title company or CPA.

Smart move: create a quick inventory before you request quotes.

• List assets by type, value, and location.

• Note special cases, like out-of-state property or minority business shares.

• Flag goals that add drafting time, such as staged distributions or buy-sell rules.

This lets you get apples-to-apples pricing and helps you answer how much does it cost to start a trust fund for your exact situation.

Choosing Between DIY, Online, or Attorney Help

Your setup method drives cost and risk. Choose based on complexity, not just price.

• DIY kits ($50 to $300): Cheapest, but mistakes are common. Missed funding steps, wrong state law references, or bad beneficiary language can nullify your plan. If you own a business or rental property, DIY is risky.

• Online services like LegalZoom ($400 to $1,000): You get structured templates and basic guidance. Good for simple estates with cash and brokerage accounts, single state property, and straightforward beneficiaries.

• Estate planning attorneys ($1,500 to $4,000 for most revocable trusts): Custom terms, state-specific compliance, and help funding assets. Best for owners with real estate, LLC interests, minor children, or tax concerns.

Use this rule of thumb:

• Simple assets and straightforward goals, pick a reputable online service.

• Any business interests, rentals, or special distribution rules, hire an attorney.

• If you start DIY or online, budget for a legal review to catch errors before funding.

Example: a consultant with one checking account and a brokerage account can likely use an online service.

A founder with an S-corp, two rentals, and a buy-sell agreement should go attorney-first to avoid costly rewrites later. Also read What If a Bypass Trust Is Never Funded? Risks and Fixes, to learn valuable skills.

Breakdown of Typical Costs to Set Up Your Trust Fund 

Figuring out how much does it cost to start a trust fund comes down to complexity, location, and who drafts it. Here is a quick snapshot so you can budget with confidence.

• Basic attorney-prepared revocable trust: $1,000 to $5,000

• DIY or online service for simple estates: $50 to $1,000

• Irrevocable or complex structures: $5,000 to $20,000+

• Funding help for deeds and business interests: $200 to $1,000+ per asset

• Annual upkeep, if needed: trustee fees, tax prep, and legal reviews vary

A simple setup with cash and a brokerage account sits at the low end. Add rentals, LLC shares, or special distribution rules, and your bill rises.

Hidden Fees and How to Avoid Them

Hidden costs can creep in if you only focus on the drafting quote. Use this checklist to keep your total spend in line with your plan.

• Filing and recording fees: County recording for deeds or assignments varies by state and county. Expect modest charges that add up across properties.

• Notary costs: Budget $100 to $500, especially if you need mobile or after-hours service for multiple signers.

• Trust updates and amendments: Plan for $200+ per update when you change trustees, beneficiaries, or distribution terms.

• Asset titling and transfers: Brokerage retitling is often free, but deeds, assignments, and operating agreement updates can run $200 to $1,000+ per item.

• Banking and custodial tasks: New trust accounts may require minimum balances or paperwork fees.

Smart ways to save without cutting corners:

• Bundle services with one firm. Ask for a flat fee that includes drafting, funding guidance, and a 60 to 90 day post-signing review.

• Use free state and county resources. Many courts and state bar sites publish sample forms and fee schedules, so you avoid surprise filing costs.

• Start small, then add assets over time. Title the highest value or most at-risk assets first, then schedule a quarterly funding checklist to move the rest.

• Request a funding memo. Ask your attorney for a written step-by-step on retitling accounts, recording deeds, and updating beneficiaries.

• Compare notary options. In-office notarization is cheaper, while mobile notaries add travel fees.

The most expensive mistake is failing to transfer assets into the trust. If a house or brokerage account stays in your name, your heirs could face probate, delays, and extra legal fees.

Confirm every asset is either retitled to the trust or has the trust listed as beneficiary where appropriate.

Quick example: You set up a revocable trust for $2,000. You skip recording the deed for your rental. Your estate later pays thousands in probate and months of delay. A $150 recording fee and a clean funding checklist would have avoided it.

Bottom line, when you ask how much does it cost to start a trust fund, include the full journey. Count drafting, notarization, transfers, and future updates, then build a simple plan to keep each item on track.

Steps to Start a Trust Fund on a Budget and Save Money Long-Term

If you are asking how much does it cost to start a trust fund, you care about price and long-term value. The smart play is to start lean, avoid rework, and only pay for complexity when you need it.

Use this simple path to keep costs tight without risking mistakes:

• Clarify goals and assets. List accounts, real estate, and business interests, then decide who gets what and when.

• Choose the right route. Use an online service for simple assets, hire an attorney if you own a business, rentals, or need custom rules.

• Get a free consult. Ask about flat fees, what is included, and expected recording costs, then compare two quotes.

• Draft and sign. Keep terms clear on successor trustees, disability planning, and staged payouts for kids.

• Fund the trust. Retitle bank and brokerage accounts, record deeds, and update beneficiary forms.

• Calendar a 90-day check. Confirm every asset moved, then set an annual review for updates.

Small tweaks now can save thousands later, especially on funding and amendments.

Real-World Tips from Entrepreneurs Who Did It

Two founders shared how they kept their setup lean while avoiding costly fixes later. Their numbers can help you dial in your own plan and answer how much does it cost to start a trust fund for your needs.

Startup founder, simple estate: Spent $1,800 using a reputable online service for a revocable trust, will, and powers of attorney.

• Added a 30-minute attorney review for clarity on trustee powers.

• Funded the trust right away, recorded one deed, and retitled two accounts.

• Outcome: avoided an estimated $10,000 in future probate and cleanup fees by handling funding up front and keeping terms simple.

Small business owner, LLC interests: Budgeted $3,000 with a local estate attorney to handle the trust, a business assignment, and operating agreement updates.

• Chose clear voting instructions and successor trustee rules for the company.

• Included a one-page funding memo so the CPA and bookkeeper could follow steps.

• Outcome: clean handoff plan, no re-drafting when the company added investors, and smooth banking updates.

Practical takeaways you can copy today:

• Start with a free consultation. Ask what the flat fee includes, whether funding help is covered, and typical county recording costs.

• Get the scope in writing. Confirm drafts, signing support, and a 60 to 90 day follow-up are included.

• Prioritize funding. Move the highest value assets first, then schedule the rest.

• Avoid overbuilding. Begin with a revocable trust, then add advanced trusts only when your tax or asset risk justifies it.

• Keep a one-page asset tracker. List each account, its current title, and status. It reduces missed items and update costs.

Bottom line, a tight plan beats a fancy document set. Start simple, fund it fast, and upgrade when your assets or goals evolve.

Conclusion

If you are asking how much does it cost to start a trust fund, the short answer is most people can get started for around $1,000 to $5,000.

The exact figure depends on your assets, location, and whether you use an online service or an attorney. Pay once for the right setup, then save time, taxes, and stress for years.

Next step, get a quick quote, use an online estimator, or book a short consult with a qualified estate planner. You can also explore our directory for practical estate planning tools that fit your stage and budget.

Protect your business and your family, and move forward with a plan you can trust. Check out How much does it cost to start a trust fund? Beginners Guide.