Lawyers and accountants can get expensive very quickly

When someone dies and their estate must be dealt with, people’s first impulse may be to find a lawyer. And that’s completely understandable, because when someone close to you has died and you’re now in charge of their estate, it can often feel like you’ve been dropped off in the middle of a jungle with no instructions on how to find your way out. A lawyer can feel like the right path forward.

However, the first lawyer people tend to seek out will, in all likelihood, be a generalist. Although generalists tend to be cheaper, they’re usually not specialized in handling estate matters, which means you will have spent a not insignificant amount of time—and perhaps money—on a consultation that will simply end with a referral to seek out an estate lawyer.

Once you decide to go with an estate lawyer, here’s how the process often goes: First, you need to hunt for a lawyer who’s available to take on the task. Then you’ll probably have several in-person meetings with various lawyers to find one that you can afford and who’s able to provide the services you’re looking for. Keep in mind that these meetings can often take over an hour, and not everyone offers free consultations. Once you’ve decided on a lawyer, they’ll take over the probate application for you, which can cost about $1,500 upfront. And then there’s a lawyer’s hourly fee: That can range from anywhere between $250 to $500, with estates taking months and several hours of work to be properly settled.

Then it’s time for an accountant. Once again, you’ll probably have to go through various meetings before settling on someone you want to work with, and then you’ll be looking at fees between $1,500 to $3,000 when it’s time to file taxes on behalf of the estate, including the deceased’s final tax return and an estate tax return if the estate has earned any income during the settlement process. At the end of the entire ordeal, you may be looking at several thousand dollars in costs.