Many people assume that estate planning is something they can put off—or that it’s only necessary for the uber-wealthy. But the reality is that not having an estate plan carries significant costs, both financial and emotional. These costs can affect your family’s financial security, cause unnecessary stress, and in some cases, permanently damage relationships.
Let’s look at three Illinois case studies that illustrate the risks of leaving your legacy to chance.
As with all content on this website, this post is informational in nature, and is not to be relied upon as legal advice.
Case Study 1: Married Couple in Their Early 30s
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- Husband and wife, ages 32 and 30
- Two young children (ages 4 and 1)
- Primary residence worth $400,000
- $250,000 in combined 401(k) accounts
What happens without an estate plan?
If this couple dies without a will or trust, Illinois law decides who manages their estate and who raises their children. Since minors can’t inherit outright, the children’s share of the estate would likely be placed in a court-supervised guardianship. A judge—rather than the parents—would decide who manages those assets. The surviving spouse could face expensive court oversight to access funds for everyday expenses, and if both parents die, the court will also decide guardianship of the children.
The costs:
- Financial: Guardianship proceedings are costly, with court fees, attorney involvement, and mandatory accountings. Money that could have gone to the children may be eaten up by administrative expenses.
- Emotional: Perhaps the greatest risk here is intangible: if both parents pass away, the children’s guardians may be chosen by the court, not the parents. This can create painful disputes among relatives and may not reflect the couple’s wishes. The uncertainty adds stress to an already devastating situation.
With an estate plan, this couple could:
- Name guardians for their children in advance, avoiding family conflict and court intervention.
- Create trusts for children so funds are managed responsibly and released at appropriate ages.
- Ensure the surviving spouse has uninterrupted access to assets without going through probate.
Case Study 2: Married Couple in Their Early 60s
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- Husband and wife, age 62 and 61
- Three adult children
- Primary residence worth $750,000
- $1 million in investment assets
What happens without an estate plan?
If this couple dies without a will or trust, Illinois intestacy laws dictate how assets pass. The surviving spouse does not automatically inherit everything. Instead, the spouse receives half the probate estate, and the three children split the other half.
That means the surviving spouse may suddenly find themselves sharing ownership of the family home with their children—something that can create conflict or even force a sale of the home. The investment accounts would likewise be split, potentially leaving the surviving spouse with less financial security during retirement.
The costs:
- Financial: Legal fees for probate can easily run into tens of thousands of dollars, especially if disagreements arise. Assets remain tied up for months or years.
- Emotional: The surviving spouse may feel betrayed or unsupported when assets they assumed were “theirs” are divided. Sibling disagreements may arise over whether to sell or keep the home. Family harmony can fray under the strain.
With even a simple estate plan—such as a will and revocable trust—this couple could avoid probate, ensure the surviving spouse is financially secure, and prevent unnecessary family conflict.
Case Study 3: Married Couple in Their Mid-70s
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- Husband, 76, and wife, 74
- Combined estate of $9 million (real estate, investments, retirement accounts)
- Two adult children from the marriage
- Husband has one adult child from a prior marriage
What happens without an estate plan?
Without proper planning, this couple risks both tax inefficiency and family conflict. Their estate exceeds the Illinois estate tax exemption (currently $4 million per person in 2024). Without strategies like credit shelter trusts or gifting, a substantial estate tax could apply.
Additionally, blended families face unique challenges. In Illinois, intestacy law could leave the husband’s child from his prior marriage entitled to a share of his estate at death—potentially straining relationships between the step-siblings. If the surviving spouse later changes her estate plan (or has none), the husband’s child could be unintentionally disinherited.
The costs:
- Financial: A poorly planned estate of this size may pay hundreds of thousands in estate taxes that could have been minimized or avoided. Litigation between heirs is more likely, adding to costs.
- Emotional: Stepchildren and biological children may clash over inheritance. A lack of clarity can cause long-lasting rifts among family members who may never reconcile.
Through a carefully designed estate plan—including trusts, marital deductions, and charitable strategies—this couple could preserve family wealth, minimize taxes, and ensure that all children are treated fairly.
The Bottom Line
The true cost of not having an estate plan isn’t just measured in dollars—it’s also measured in stress, delay, and damaged family relationships.
Whether you have a young family, are approaching retirement, or are managing significant wealth, planning now saves your loved ones later. By taking the time to create a will, trust, and related documents, you gain peace of mind knowing your family will be cared for and your legacy preserved.
Take the Next Step
At Palley Law, I help families throughout the Chicago area create estate plans that fit their lives and protect the people they love. No matter your stage in life, the best time to plan is now—before the unexpected happens.
Schedule a consultation to start building your plan and safeguarding your family’s future.
