If you died tomorrow without a will, your state would decide who gets everything you own. That might sound dramatic, but it’s the legal reality for the roughly 60% of Americans who have no estate plan in place. And the state’s plan rarely matches what most people would actually want. A basic estate plan doesn’t require a lawyer on retainer or a trust fund to justify — it requires about an afternoon of focused attention and, in many cases, less than a few hundred dollars. Here’s what you actually need to know.

What Happens If You Die Without a Will: Intestate Succession

When someone dies without a valid will, they die “intestate,” and their assets are distributed according to their state’s intestate succession laws. These laws follow a rigid hierarchy that has nothing to do with your personal relationships, your wishes, or who actually needs the money.

In most states, the general order of priority goes like this: a surviving spouse typically inherits first, followed by children, then parents, then siblings, and so on down the family tree. But the specifics vary more than most people realize. In California, for example, community property rules mean a surviving spouse automatically owns half of most marital assets — but separate property follows a different split depending on whether you have children or living parents. In Texas, similar community property rules apply, but the surviving spouse doesn’t automatically inherit the deceased’s share of community property if there are children from a prior relationship. In Florida, a surviving spouse generally inherits everything if all children are shared between both spouses, but the picture gets complicated with blended families.

What intestate succession almost never accounts for: unmarried partners, close friends you’d consider family, stepchildren who aren’t legally adopted, or charities you cared about. If you’re unmarried and living with a partner of 20 years, in most states they receive nothing. Your assets would pass to blood relatives you may barely know. A will — even a simple one — is the baseline protection against this outcome.

Why Beneficiary Designations Trump Your Will

Here’s something that surprises many people: a will does not control what happens to your retirement accounts, life insurance policies, or certain bank accounts. These assets pass by beneficiary designation, which is a contract between you and the financial institution that operates completely outside of your will.

If your 401(k) still lists your ex-spouse as the beneficiary and your will leaves everything to your current spouse, your ex gets the 401(k). Courts have upheld this repeatedly. The beneficiary designation wins, every time.

Assets that typically pass by beneficiary designation include 401(k)s, IRAs, Roth IRAs, 403(b)s, life insurance policies, annuities, and accounts with a “payable on death” (POD) or “transfer on death” (TOD) designation. For many Americans, these accounts represent the bulk of their wealth — which means a will alone may not be enough to ensure your estate goes where you intend.

The fix is straightforward but requires active maintenance: log into each financial account, confirm your beneficiaries, and update them after every major life event — marriage, divorce, birth of a child, death of a named beneficiary. Do this even if you recently updated your will. They are entirely separate legal documents.

What a Basic Will Actually Covers

A will is a legal document that takes effect at your death and does several important things.

Naming an executor. This is the person responsible for carrying out the instructions in your will — paying debts, filing final tax returns, notifying institutions, and distributing assets. Choose someone organized, trustworthy, and ideally local. Name a backup in case your first choice can’t serve.

Naming a guardian for minor children. For parents, this is often the single most important reason to have a will. Without one, a court decides who raises your children. The court will try to act in the children’s best interest, but they don’t know your family. Your will lets you designate who you want, explain your reasoning, and name alternates. This alone is worth the cost of getting a will drafted.

Directing how assets are distributed. Your will specifies who gets what — your home, personal property, financial accounts that don’t have beneficiary designations, and anything else in your “probate estate.” You can divide assets by percentage, leave specific items to specific people, or set up conditional gifts.

What a will does not do: avoid probate (in most cases), protect assets from creditors during probate, or control beneficiary-designated accounts. It also doesn’t take effect until you die, which means it offers no help if you’re incapacitated but still alive — that’s where the next set of documents comes in.

The Four Other Documents Most Adults Need

A complete basic estate plan goes beyond just a will. These four documents address what happens if you’re alive but unable to make decisions for yourself.

1. Durable Power of Attorney (POA)
A durable power of attorney authorizes someone (your “agent” or “attorney-in-fact”) to manage your financial and legal affairs if you’re incapacitated. “Durable” means it remains effective even if you become mentally incapacitated — a regular POA would become void at that point. Without this document, your family may have to go to court to get a conservatorship just to pay your bills or manage your investments while you’re hospitalized. This is expensive, slow, and public.

2. Healthcare Proxy (or Healthcare Power of Attorney)
Similar to a financial POA, a healthcare proxy designates someone to make medical decisions on your behalf if you can’t make them yourself. This person can consent to treatments, choose between medical options, and — critically — communicate your wishes to doctors. Choose someone you trust completely and, just as importantly, someone who can handle pressure and advocate for you clearly.

3. Living Will (Advance Healthcare Directive)
A living will is a written statement of your medical preferences — not a designation of a person, but a record of your actual wishes. It typically addresses questions like: Do you want life-sustaining treatment if there’s no reasonable chance of recovery? What are your preferences around resuscitation, ventilators, and artificial nutrition? This document relieves your healthcare proxy from having to make agonizing guesses and provides clear guidance to medical staff. Some states combine the healthcare proxy and living will into a single “advance directive” document.

4. HIPAA Release
The Health Insurance Portability and Accountability Act (HIPAA) restricts who can access your medical information. Even a spouse doesn’t automatically have legal access to your medical records without your written authorization. A HIPAA release designates specific individuals — your healthcare proxy, family members, or others — who are authorized to receive information about your health status and treatment. Without it, hospitals may refuse to share basic information with your loved ones, even in a crisis.

Online Wills vs. Attorney-Drafted: What’s the Real Difference

The rise of online legal services has made basic estate planning accessible at a fraction of traditional costs. Platforms like LegalZoom and Trust & Will allow you to create a will, POA, and advance directive through a guided questionnaire process.

LegalZoom’s will-based estate plan starts at around $89–$149 for a basic will, with higher tiers offering more comprehensive packages including POA and healthcare documents. Trust & Will offers individual wills starting around $159, with a bundle plan for couples at approximately $259. (Pricing is subject to change — always verify current pricing directly on their websites.)

These tools work reasonably well for straightforward situations: single individuals with modest assets, married couples with simple wishes, no minor children from prior relationships, no business interests, and no significant real estate in multiple states. The documents are legally valid in most states when properly executed (signed and witnessed according to state requirements).

However, online tools have meaningful limitations. They rely entirely on the accuracy of your inputs. They don’t ask follow-up questions. They won’t catch issues specific to your state’s laws or flag complications in your family structure. A software platform won’t tell you that your blended family situation might require a trust to protect your children’s inheritance.

An estate planning attorney typically charges $300–$600 for a simple will and basic documents, with comprehensive plans ranging from $1,500–$3,000 or more depending on complexity and location. The added cost buys you professional judgment, not just document production. For complex situations, it’s usually worth it.

When a Trust Actually Makes Sense

A revocable living trust is often treated as an upgrade from a will, but it’s not always necessary. It makes the most sense in specific situations.

Avoiding probate. Assets held in a trust pass directly to beneficiaries without going through probate court — which can be lengthy, costly, and public. In states with notoriously slow or expensive probate processes (California is a common example), a trust can save your heirs significant time and money.

Privacy. Wills become public record once they enter probate. Trusts do not.

Multiple real estate properties, especially in different states. Without a trust, your estate may need to go through probate in every state where you own real property. A trust eliminates this problem.

Minor children or beneficiaries with special needs. A trust allows you to specify not just who receives assets, but when and under what circumstances. You can instruct that a child receives funds at age 25 rather than 18, or structure distributions for a beneficiary with a disability in a way that doesn’t disqualify them from government benefits.

Incapacity planning. A revocable trust allows a named successor trustee to step in and manage trust assets immediately if you’re incapacitated — no court involvement required.

If none of these scenarios apply, a well-drafted will with proper beneficiary designations may be all you need. A trust adds complexity and upfront cost (typically $1,500–$3,000 or more with an attorney), and it only works if you actually “fund” it — meaning you re-title assets into the trust’s name.

How to Store and Update Your Estate Documents

Creating the documents is only half the job. If no one can find them — or if they’re outdated — they may as well not exist.

Storage. Keep originals in a fireproof safe at home or a safe deposit box. Tell your executor, healthcare proxy, and at least one trusted family member exactly where the documents are. Some states allow you to register your advance directive with a state registry. Digital copies are useful for reference but may not be accepted as originals for legal purposes.

Sharing. Give your healthcare proxy a copy of your healthcare proxy document and HIPAA release. Give your financial POA agent a copy of that document. Your doctor’s office should have your advance directive on file.

Updates. Review your estate plan after every major life event: marriage, divorce, birth or adoption of a child, death of a named beneficiary or executor, significant change in assets, or a move to a different state. As a general rule, reviewing your plan every three to five years regardless of life changes is good practice. Laws change, relationships change, and your wishes may evolve.

Estate planning isn’t about being morbid — it’s about being responsible to the people who depend on you and the causes you care about. Even the most basic documents can prevent enormous legal headaches, family conflict, and financial loss. Start with a will, get your beneficiary designations in order, and add the four supporting documents. That one afternoon of effort is among the most practical things you can do for your family.

This article is for general informational purposes only and does not constitute legal advice. Estate planning laws vary by state and individual circumstances vary widely. Consult a licensed estate planning attorney in your state for advice specific to your situation.

Sources and Resources

• LegalZoom estate planning pricing: legalzoom.com
• Trust & Will pricing: trustandwill.com
• AARP: What Is a HIPAA Authorization? — aarp.org
• Caring.com 2024 Wills Survey (statistic on Americans without a will): caring.com
• National Academy of Elder Law Attorneys (find an estate planning attorney): naela.org
• American Bar Association — Estate Planning Info & FAQs: americanbar.org
• IRS guidance on retirement account beneficiaries: irs.gov