Living Trust amendment cost

[nbeth]

California
My parents bought a living trust for $1000 some years ago. Now my Mom is being told she needs an amendment which will cost another $800. I understand the current trust was written to intentionally be divided into 2 parts, for the 'survivor' and for the 'deceased', and that this was done to get tax breaks if the total trust was worth more than a certain amount. But now it is clear that the trust will never be worth that much (my Dad died) and so NOW Mom is being told the trust as it is now will cause tax problems, and so the amendment must be made.

What range of fees is reasonable for trust amendments? Possibly the amendment to my Mom's trust may include other things besides what I mention above. But can $800 possibly be reasonable (WHY so much?)

 

[ELNbluemax2]

I'll just relate a little of my experience with a Trust. You referred to the split trust for tax purposes. That would be Trust B, I presume. Our Trust was made 6 years ago..one year later, we made an Amendment. There was an amendment form in the back of the Trust Documents. We signed it, and it was witnessed and sent it back to the Lawyer who originally made up the Trust. The cost was zero!!
Husband passed away..Trust B is irrevocable now. I have chosen to change all beneficiaries from the Trust to "Pay on Death" accounts. No need to keep the Trust A, because the POD accounts avoid Probate. I don't know what tax problems your Mom could be faced with, but, I certainly would get a second opinion. Good luck.
Wanda

 

[nbeth]

California

Thanks for your reply - it put me on the right track (I didn't know what a B trust was before). I continued the question with more details in a new thread in this same estate planning forum, called
'Could A/B trust be a $800 mistake for SMALL estates?'

Also, I think my Mom will be looking for 2nd opinions too.