What affects the cost of a lifetime trust?
- The type and complexity of trust required.
- The value and nature of assets being transferred.
- Whether a house or other land is involved.
- Whether conveyancing, lender consent or Land Registry work is required.
- Tax analysis, valuations or specialist advice.
- The number and circumstances of trustees and beneficiaries.
- Registration and ongoing administration.
Initial setup costs
The initial professional fee normally reflects the advice, drafting and implementation required. A straightforward cash trust and a property trust involving a valuable home are not equivalent pieces of work.
The scope should therefore be agreed before proceeding so it is clear what is included and what work would be charged separately.
Property and conveyancing costs
Where property is transferred, separate conveyancing work may be necessary. Mortgages, title restrictions, Land Registry applications and lender requirements can add time and cost.
Tax advice and valuations
A trust can create Inheritance Tax and Capital Gains Tax consequences. Some transfers also require current market valuations. Where specialist tax advice is needed, that should be budgeted for rather than assuming the trust drafting fee covers every tax question.
Ongoing administration
Trustees need to keep records, follow the trust deed and comply with applicable reporting and registration duties. Depending on the trust, professional accounts, tax returns or periodic reviews may be necessary.
The sensible comparison is therefore the total expected lifetime cost of the structure, not just the cheapest headline setup fee.
Frequently asked questions
Frequently asked questions
Is there a standard price for a lifetime trust?
No. The appropriate structure and cost depend on the trust type, assets, property work, tax complexity and the level of ongoing administration required.
Is the drafting fee the only cost?
Not necessarily. Conveyancing, tax advice, valuations, registration and ongoing trustee or professional administration may also be relevant.
Should I choose a trust based on the cheapest setup fee?
Price matters, but transferring valuable assets into the wrong structure can be far more expensive than the initial drafting cost saved.
Tell us what you want to achieve
You do not need to know the name of the legal document or trust before speaking to us. Explain the family, property or planning issue and we can discuss the relevant options.