Why did AARP conclude that living trusts are better than wills?
Our country’s leading consumer educational organization for seniors, the American Association for Retired Persons (known as AARP), conducted a lengthy study of how the probate process really works in practice. The study, published in 1990, surveyed probate statistics for several years from three states believed by AARP to be representative of the United States generally. In its report entitled “A Report on Probate: Consumer Perspectives and Concerns”, AARP concluded that “probate’s procedures and protections, even with recent reforms, are inappropriate for all but the most exceptional cases” and that “attorney’s fees in connection with probate work are unreasonable”. AARP found that, on average, 5% to 10% of an estate is eaten up by probate costs, and that smaller estates suffer a proportionately higher probate cost than larger estates. AARP found “in some cases, attorney’s fees consume 20 percent or more of estate value. This is especially true of small estates. For the estates of the
