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What are the disadvantages of setting up a Testamentary Trust in terms of costs?

Costly Pitfalls: Testamentary Trust Setup Downsides

Establishing a Testamentary Trust typically incurs higher initial costs compared to a simple will, ranging from $2,500 to $5,000. While there are no ongoing costs until the Testamentary Trust is activated upon the will-maker’s death, it is important to be aware that there will be associated administrative costs for preparing annual tax returns once it is activated.