Illinois Estate Planning Guide 2026

Illinois stands out as one of the most challenging states in the country for estate planning — not because of complexity in its rules, but because of one deceptively simple number: $4 million. That is Illinois's estate tax exemption threshold, the lowest of any state with an estate tax in the continental United States, and it has not budged in years. With the federal exemption sitting at $15 million in 2026, Illinois residents with estates in between face a significant state tax bill with zero federal exposure. For families in the Chicago suburbs and throughout the state who have accumulated wealth through real estate, business interests, and retirement savings, this gap demands serious planning.

Overview: Illinois's Low Exemption Threshold

Most Americans think of estate taxes as something only the ultra-wealthy need to worry about — and at the federal level, that is largely true. The federal estate tax exemption of $15 million per person in 2026 puts federal estate taxes out of reach for the vast majority of families. But Illinois operates on a very different scale.

Illinois imposes its own separate estate tax, completely independent of the federal system. The Illinois exemption is $4 million per individual — a threshold that can be crossed by a combination of a home in the Chicago suburbs, a modest retirement portfolio, and a life insurance policy. Unlike the federal exemption, Illinois's $4 million threshold is not adjusted for inflation, meaning it erodes in real purchasing power every year.

Critically, Illinois also has no portability between spouses, no inheritance tax, and no state-level gift tax. Understanding these features together is essential to grasping why estate planning in Illinois requires a fundamentally different approach than in states with no estate tax — or even states with higher exemptions.

Here is what makes Illinois's situation unusually consequential for middle-class families: A married couple in the western suburbs of Chicago — with a $800,000 home, $1.5 million in combined retirement accounts, $500,000 in investment accounts, and $1.5 million in life insurance — has a combined gross estate of $4.3 million. That estate could owe Illinois estate tax. A comparable couple in Ohio, Georgia, or Michigan would owe nothing to their state.

Illinois Estate Tax

Illinois's estate tax is levied on the taxable estate of Illinois residents who die with assets exceeding the exemption, as well as on certain Illinois-sited property owned by non-residents. It is administered by the Illinois Department of Revenue, with estate tax returns filed using Illinois Form 700.

The $4 Million Exemption

The Illinois estate tax exemption is $4,000,000 per individual. This threshold has remained unchanged for several years and, by statute, is not indexed for inflation. As home values, investment portfolios, and life insurance proceeds grow year over year, more Illinois estates are gradually drawn into taxable territory without any legislative action required. A family that was comfortably below the threshold five years ago may now be exposed — particularly in high-appreciation real estate markets like Chicago, the North Shore, and DuPage County.

Unlike the federal estate tax, Illinois provides no portability between spouses. When the first spouse dies, their unused Illinois exemption cannot be transferred to the surviving spouse. This single feature drives the primary planning recommendation for most married Illinois couples: the credit shelter trust.

Illinois Estate Tax Rates

Illinois's estate tax uses a graduated rate structure. The tax is calculated by applying a rate schedule to the entire taxable estate, then subtracting a credit equal to the tax that would have applied to the first $4 million (the exemption amount). The result is a graduated tax on amounts above the exemption, with rates that rise as the estate grows. The effective rates on amounts above the exemption are approximately:

The top marginal rate of 16% matches the maximum rate used in other estate-tax states like Maryland and Washington. Because the rate schedule is graduated, the effective rate on a modestly taxable estate is considerably lower than 16%, but even the lower brackets can produce meaningful tax bills when applied to estates just over $4 million. An estate of $5 million — just $1 million above the exemption — may owe approximately $28,000–$65,000 in Illinois estate tax depending on the composition of assets and applicable deductions.

What Is Included in the Illinois Taxable Estate?

Illinois's taxable estate is broadly defined and mirrors the federal gross estate concept. It includes essentially all property a decedent owned or had an interest in at death, including:

• Real property located in Illinois (and real property outside Illinois if the decedent was an Illinois resident)
• Bank and investment accounts, brokerage portfolios, and certificates of deposit
• Retirement accounts (IRAs, 401(k)s, 403(b)s) — note these are included even though they pass outside probate
• Life insurance proceeds where the decedent owned the policy or possessed incidents of ownership at death
• Business interests, including interests in LLCs, partnerships, S corporations, and sole proprietorships
• Personal property (vehicles, art, jewelry, household goods)
• Revocable trust assets — because the grantor retains control, trust assets are included in the estate

Importantly, life insurance is fully includable in the Illinois taxable estate if the decedent owned the policy. For Illinois families who use life insurance as a wealth-building or income-replacement tool, this can push estates over the $4 million threshold unexpectedly. An Irrevocable Life Insurance Trust (ILIT) is one of the most effective tools for removing life insurance from the Illinois estate.

Illinois Estate Tax Return and Deadlines

The Illinois estate tax return (Form 700) must be filed and any tax paid within nine months of the date of death. An automatic six-month extension of time to file is available, but this is an extension to file — not an extension to pay. Interest accrues on unpaid tax from the original nine-month due date. If the estate lacks liquid assets to pay the tax at nine months, careful planning ahead of time is essential; the state does offer installment payment options for closely-held business interests under certain conditions.

The Federal–State Gap Problem

The defining challenge of Illinois estate planning is what practitioners call the federal–state gap: the enormous difference between when Illinois estate tax kicks in ($4 million) and when federal estate tax applies ($15 million in 2026). This $11 million gap creates a unique planning problem that doesn't exist in states without an estate tax — and is far more pronounced in Illinois than in any comparable state.

Why the Gap Is Unusually Large

Most states that once imposed estate taxes have either abolished them (Ohio repealed its estate tax in 2013; North Carolina repealed its in 2013) or raised their exemptions substantially to track the rising federal threshold. Illinois has done neither. The $4 million exemption was set years ago and remains frozen. Meanwhile, the federal exemption has risen dramatically — from $5 million in 2011 to $15 million in 2026. The gap has widened every time Congress adjusted the federal number upward.

For context, here is how Illinois compares to other states that impose estate taxes in 2026:

While Oregon and Washington have lower exemptions in absolute terms, Illinois's combination of a low exemption, no portability, no inflation adjustment, and a large middle-class base of wealthy residents makes it arguably the most consequential state estate tax environment in the country from a planning standpoint.

A Real-World Example: The $8 Million Estate

The gap is not just a problem for multi-million-dollar dynasties. It is a problem for dual-income professional couples, business owners who have built equity in their companies over decades, and retirees whose combination of home equity, 401(k) assets, and life insurance has crossed the $4 million line without their awareness. Illinois estate planning must account for this gap as a primary concern — more so than federal planning for most Illinois residents.

No Portability: Why Married Couples Must Plan

One of the most consequential features of the Illinois estate tax is the absence of portability. Under federal law, when the first spouse dies, the surviving spouse can elect to "port" the deceased spouse's unused federal exemption, effectively combining both exemptions ($30 million for a married couple in 2026). Illinois provides no such mechanism. The Illinois exemption is a strict per-person allowance — use it or lose it at each spouse's death.

How the Loss of Exemption Happens

Many married couples structure their estates as "I love you" plans: everything passes to the surviving spouse at the first death, and then everything passes to the children at the second death. In states with portability, this approach can still capture both exemptions (with a timely election). In Illinois, it cannot.

When an Illinois resident dies and leaves everything outright to the surviving spouse, the marital deduction eliminates Illinois estate tax at the first death. But the deceased spouse's $4 million Illinois exemption is permanently wasted. The surviving spouse now has only one $4 million exemption to shield the entire combined estate — which may now be worth $8 million, $10 million, or more. At the survivor's death, the portion above $4 million is fully exposed to Illinois estate tax.

The Credit Shelter Trust Solution

A credit shelter trust (also called a bypass trust or family trust) is the cornerstone strategy for married Illinois couples with estates likely to exceed $4 million. When the first spouse dies, the trust is funded with up to the Illinois exemption amount ($4 million). The surviving spouse can receive income from the trust and access principal for health, education, maintenance, and support — but the trust assets are not included in the survivor's taxable estate at their death.

At the surviving spouse's death, the survivor's own $4 million exemption covers their individual share of the estate. The credit shelter trust assets pass to heirs without additional Illinois estate tax, regardless of how much they have grown inside the trust. This effectively creates a combined $8 million Illinois exemption for a married couple — but only if the trust is properly drafted, funded, and administered.

Beyond married couples, the no-portability rule reinforces the importance of lifetime planning: Illinois residents who own significant assets in their individual names should consider long-term strategies for reducing their individual estates before death, rather than relying on post-death transfers between spouses to manage the tax exposure.

Non-Resident Property Owners: Illinois Reaches Beyond Its Borders

Illinois estate tax is not limited to Illinois residents. The Illinois statute also imposes estate tax on non-residents who own Illinois-sited property — specifically, real property and tangible personal property physically located within Illinois at the time of death, to the extent that the non-resident's gross estate (including all property worldwide) exceeds $4 million.

Who This Affects

The most common situation involves non-residents who own Illinois real estate: a vacation home, a rental property, commercial real estate, or farmland. If a Florida resident, for example, owns an Illinois vacation property and their total gross estate — including the Illinois property and all their other assets worldwide — exceeds $4 million, Illinois will assert estate tax on the Illinois-sited property.

The Illinois tax on a non-resident is calculated proportionally: the Illinois estate tax is computed on the entire gross estate, then multiplied by a fraction representing the Illinois property as a share of the total estate. This apportionment method means that even a relatively modest piece of Illinois real estate can generate a significant Illinois estate tax bill if it is part of a large overall estate.

Planning for Non-Residents

Non-residents who own Illinois real estate as part of a larger estate should consider holding that property through an entity structure — such as a limited liability company (LLC) — rather than in their individual names. If the LLC is properly formed and respected as an operating entity, its membership interests may not be considered Illinois-sited property for estate tax purposes (because the interests themselves are intangible personal property), potentially removing the Illinois estate tax exposure. However, this planning technique requires careful legal analysis and proper entity maintenance; Illinois can challenge sham or improperly administered structures. Consulting with an Illinois estate planning attorney is essential before implementing an entity-based ownership structure for this purpose.

Non-residents who own Illinois business property, farmland, or other real assets face the same exposure and should proactively evaluate their Illinois estate tax risk as part of their overall estate plan.

Probate in Illinois

Probate in Illinois is the court-supervised process of administering a deceased person's estate — validating the will (if any), appointing a personal representative, inventorying assets, paying debts, and distributing property to beneficiaries. Illinois probate is handled by the Circuit Court in the county where the decedent was domiciled at death.

When Is Probate Required?

Not every Illinois estate requires probate. Probate is generally required when:

• The decedent owned real property in Illinois titled solely in their name with no joint owner or transfer-on-death designation
• The decedent owned personal property in their name alone totaling more than $100,000 with no beneficiary designation or joint ownership

Assets that pass outside of probate — jointly-held property with right of survivorship, retirement accounts and life insurance with named beneficiaries, assets held in a living trust, and transfer-on-death accounts — do not go through Circuit Court and are not subject to the probate timeline or costs.

The Illinois Probate Process

For estates that do require probate, the typical Illinois process involves the following steps:

1. File with the Circuit Court. The executor or administrator files the will (if any), a petition for probate, and required documentation with the Circuit Court in the decedent's county of domicile. Filing fees vary by county but are generally modest.
2. Appointment of Independent Representative. Illinois law provides for "independent administration," which allows a personal representative to administer most estates without repeated court approval for each action. This is a significant advantage that streamlines the process.
3. Notice to Creditors. A notice to creditors must be published in a local newspaper of general circulation once a week for three consecutive weeks. Creditors have six months from the date of first publication to file claims against the estate.
4. Inventory of Assets. The personal representative prepares an inventory of estate assets with values, which is filed with the court.
5. Payment of Debts and Taxes. Valid creditor claims, administrative expenses, funeral costs, and Illinois estate tax (if applicable) are paid from estate assets.
6. Distribution to Beneficiaries. After debts and taxes are paid, remaining assets are distributed to beneficiaries according to the will or, if no will, under Illinois intestacy laws.
7. Closing the Estate. The representative files a final account (or, under independent administration, a closing report) and the estate is closed by the court.

Timeline and Costs

Illinois probate typically takes 6 to 12 months for an uncontested estate with independent administration. Contested estates, those with complex assets (closely-held businesses, farmland, disputed valuations), or estates requiring Illinois estate tax returns can take 18 months or longer.

Costs in Illinois probate include:

• Court filing fees: Vary by county; typically $200–$400 for initial filing.
• Personal representative's commission: Illinois does not set a statutory commission rate — fees are subject to court approval and should be "reasonable" in light of services rendered. In practice, compensation is often 2%–3% of the estate's probate value, though this varies.
• Attorney's fees: Commonly charged hourly ($250–$450/hour for experienced Illinois estate attorneys) or as a percentage of the estate. Attorney fees are also subject to court approval.
• Publication costs: Creditor notice publication typically runs $150–$400 depending on the local newspaper.

Small Estate Affidavit

Illinois law provides a simplified procedure for small estates that avoids full probate court proceedings. If the estate's personal property does not exceed $100,000 and there is no real estate to transfer, a successor may collect assets using a small estate affidavit — a sworn statement that the estate qualifies and that the affiant is entitled to the property. Banks, brokerage firms, and other financial institutions are required to honor the affidavit without requiring probate court letters. This procedure is not available if the estate includes real property, which must be transferred through a deed, court order, or trust instrument.

Avoiding Probate in Illinois

Given the cost, delay, and public nature of Illinois probate — and the critical estate tax planning needs of many Illinois residents — avoiding or minimizing probate is a major focus of Illinois estate planning. Fortunately, Illinois law provides several effective probate-avoidance tools.

Revocable Living Trusts

A revocable living trust is the most powerful and comprehensive probate-avoidance tool available in Illinois, and for residents with taxable estates it serves a dual function: avoiding probate and providing the structural framework for credit shelter trust planning. You transfer ownership of assets — real estate, investment accounts, bank accounts — into the trust during your lifetime, naming yourself as initial trustee. At your death, a successor trustee you designate administers the trust and distributes assets to your beneficiaries entirely outside of probate, without court oversight, and with complete privacy (trust documents are not public records). For a short will-versus-trust decision, see Will vs. Living Trust.

For Illinois residents with estates approaching or exceeding $4 million, a revocable living trust is typically the recommended centerpiece of the estate plan — not merely for probate avoidance, but because it provides the mechanism through which a credit shelter trust can be funded at the first spouse's death without court involvement. The speed and privacy of trust administration are significant advantages over probate, especially when the estate includes real estate in multiple counties or states.

Joint Ownership with Right of Survivorship

Property held jointly with right of survivorship (JTWROS) passes automatically to the surviving co-owner at death, without probate. Illinois married couples commonly hold real estate as joint tenants or as tenants by the entirety, both of which carry right of survivorship. Joint bank and investment accounts also pass this way.

However, joint ownership carries important caveats for Illinois estate planning purposes. Adding a co-owner transfers a present ownership interest, which has gift tax implications. More critically, if the estate plan calls for funding a credit shelter trust at the first death, property held jointly with right of survivorship passes automatically to the survivor — bypassing the trust funding and potentially wasting the first spouse's Illinois exemption. Joint ownership must be evaluated carefully in the context of the overall estate plan.

Beneficiary Designations

Retirement accounts (IRAs, 401(k)s), life insurance policies, and annuities pass directly to named beneficiaries outside of probate. These designations are among the simplest and most impactful planning tools available. For Illinois estate tax planning purposes, however, beneficiary designations must be coordinated with the overall plan — naming an individual outright as beneficiary of a large retirement account or life insurance policy may not be consistent with funding a credit shelter trust or achieving estate tax objectives. Many Illinois residents benefit from naming a trust as a beneficiary, with appropriate provisions in the trust to handle retirement account distributions.

Transfer-on-Death (TOD) Instruments for Real Property

Illinois has enacted a Transfer-on-Death Instrument (TODI) statute, which allows real property owners to record a deed-like document that names a beneficiary to receive the property at death — without going through probate. The TODI takes effect only at death and can be revoked at any time during the owner's lifetime. Unlike a traditional deed, recording a TODI does not give the beneficiary any present ownership interest; the owner retains full control and can sell, mortgage, or encumber the property without the beneficiary's consent.

TODIs are an effective, relatively low-cost tool for keeping specific parcels of real property out of probate. They are most useful for simple situations involving a single piece of real estate and a straightforward beneficiary arrangement. For estates with complex ownership structures, multiple properties, estate tax planning needs, or beneficiaries with special circumstances, a revocable living trust remains the superior solution.

Payable-on-Death (POD) Accounts

Bank accounts can be designated as payable-on-death (POD) accounts, and investment accounts can carry transfer-on-death (TOD) designations, allowing those accounts to pass to named beneficiaries automatically outside of probate. These designations are free, revocable at any time, and require no court involvement at death. They are a simple and effective complement to a broader estate plan.

Planning Strategies for Illinois Residents

Illinois's combination of a low estate tax exemption, no portability, and no inflation adjustment creates both a challenge and an opportunity. The challenge is that more estates are caught in the Illinois tax net than in almost any other state. The opportunity is that the tools to address it are well-established, effective, and available to families at a wide range of wealth levels. The strategies below address the most critical Illinois-specific planning needs.

Lifetime Gifting: Illinois's Hidden Advantage

Illinois imposes no state-level gift tax. This is an important — and often underused — planning opportunity. Federal gift tax rules apply to large gifts (those exceeding the annual exclusion of $19,000 per recipient in 2026), but because those gifts simply reduce the federal lifetime exemption ($15 million in 2026) rather than triggering an immediate tax for most Illinois residents, the cost of gifting in Illinois is effectively zero for estates below $15 million.

For an Illinois resident with an estate of $6 million — above the Illinois exemption but well below the federal threshold — a systematic gifting program can reduce the Illinois taxable estate below $4 million over time, eliminating the Illinois estate tax entirely. Annual gifts of $19,000 to each of three children over ten years would remove $570,000 from the estate without triggering any tax. Larger strategic gifts using federal lifetime exemption can accelerate this further. See our Tax Planning Guide for a deeper look at gifting strategies.

ILITs: Keeping Life Insurance Out of the Illinois Estate

Life insurance is one of the most common reasons Illinois families unexpectedly find themselves above the $4 million threshold. A $1 million term policy purchased for income replacement, held in the insured's own name, is fully included in the Illinois taxable estate. For an individual with $3.5 million in other assets, that policy tips the estate into Illinois tax territory.

An Irrevocable Life Insurance Trust (ILIT) solves this problem. The ILIT owns the policy; the insured has no incidents of ownership. At death, the proceeds pass to the ILIT — outside the insured's taxable estate — and the trustee distributes them according to the trust's terms. The trust can be structured to provide liquidity to the estate (by lending funds to the estate or purchasing estate assets) without the proceeds being included in the taxable estate. For Illinois families using life insurance as a planning tool or as a wealth-transfer vehicle, an ILIT is often essential.

Addressing the $4M–$15M Planning Zone

Illinois residents with estates between $4 million and $15 million occupy a unique planning zone: their estates are subject to Illinois estate tax but entirely below the federal threshold. For this group, state-level tax minimization takes absolute priority over federal planning. Key strategies for this zone include:

• Credit shelter trusts for married couples — the first and most impactful step
• Annual gifting programs to reduce the estate over time without any tax cost
• ILITs to remove life insurance from the Illinois taxable estate
• 529 plan superfunding ($95,000 per beneficiary in a lump sum using five-year averaging) to move assets into educational savings outside the estate
• Grantor Retained Annuity Trusts (GRATs) that transfer investment appreciation out of the estate transfer-tax-free
• Charitable lead trusts or charitable remainder trusts that reduce the taxable estate while achieving philanthropic goals
• Family Limited Partnerships or LLCs that can achieve valuation discounts on closely-held business and investment assets
• Long-term domicile planning for high-net-worth retirees who can establish residency outside Illinois

For business owners, the intersection of Illinois estate tax and business succession planning requires particular attention. A closely-held business that has grown substantially in value may represent the majority of an owner's estate — and a substantial Illinois estate tax liability — without any liquid assets readily available to pay it. Business succession planning coordinated with an ILIT, a buy-sell agreement funded by life insurance, or an installment payment arrangement should be part of every Illinois business owner's estate plan.

Powers of Attorney and Healthcare Directives in Illinois

A complete Illinois estate plan extends well beyond wills and trusts. Two categories of documents — financial powers of attorney and healthcare directives — govern what happens if you become incapacitated during your lifetime. Without them, your family may be forced into expensive and time-consuming court guardianship proceedings to gain the authority to make decisions on your behalf.

Illinois Statutory Power of Attorney for Property

Illinois provides a statutory power of attorney form for property (financial matters) under the Illinois Power of Attorney Act (755 ILCS 45). This document authorizes a designated agent to manage your financial affairs — paying bills, managing investments, filing tax returns, and handling real estate transactions — if you are unable to do so yourself.

• Statutory Form: Illinois provides an official statutory form that financial institutions are required to honor. Using the Illinois statutory form reduces the risk of a bank or brokerage declining to recognize the document.
• Execution Requirements: The Illinois statutory POA for property must be signed in the presence of a notary public and one adult witness. The witness cannot be the agent named in the document.
• Durable Language: An Illinois POA must expressly state that it is intended to be durable — that is, effective even if you later become incapacitated — to survive incapacity. Without this language, the POA automatically terminates if you lose capacity, defeating its primary purpose.
• Agent's Authority: Certain high-risk powers — including the ability to make gifts, fund trusts, change beneficiary designations, or engage in estate planning transactions — must be specifically granted in the POA. These are not implied by general language and are critical for estate tax planning purposes.
• Multiple Agents: You may name co-agents to act jointly, or successor agents who act only if a primary agent is unavailable or unwilling to serve.

For Illinois residents with taxable estates, the authority granted to the agent in the POA should be carefully considered with estate planning in mind. An agent who can make annual exclusion gifts can continue a gifting program if the principal becomes incapacitated — potentially reducing the Illinois estate further during the period of incapacity. This power must be explicitly granted and carefully limited to avoid abuse.

Illinois Statutory Short Form Power of Attorney for Health Care

Illinois also provides a statutory healthcare power of attorney form, which authorizes a designated healthcare agent to make medical decisions on your behalf if you cannot make them yourself. Key provisions:

• Agent Authority: The healthcare agent has broad authority to consent to, refuse, or withdraw medical treatment — including life-sustaining treatment — consistent with your known wishes and best interests.
• Execution Requirements: The Illinois healthcare POA must be signed in front of a notary public and one witness who is not your healthcare agent.
• Scope: The document can include specific instructions about life-sustaining treatment, artificial nutrition and hydration, pain management preferences, and organ and tissue donation.

Illinois Living Will Declaration

Illinois provides a separate Living Will Declaration statute (755 ILCS 35) that allows you to state your wishes regarding life-sustaining treatment if you have a terminal condition and are unable to communicate. The Living Will Declaration is a direct statement to healthcare providers — it does not require an agent to act.

• Must be signed in the presence of two witnesses, neither of whom can be your healthcare provider or a blood relative.
• Instructs physicians to withhold or withdraw death-delaying procedures if you have a terminal condition and death is imminent.
• Works in tandem with (not as a replacement for) the Healthcare POA.

Mental Health Treatment Preference Declaration

Illinois also provides for a Mental Health Treatment Preference Declaration, which allows you to state your preferences regarding psychiatric treatment, medication, electroconvulsive therapy, and voluntary admission to a mental health facility. For individuals with a history of mental illness or those who want to document their treatment preferences in advance, this document provides important guidance to providers and family members during a mental health crisis.

Illinois Physician Orders for Life-Sustaining Treatment (POLST)

For seriously ill individuals or those with advanced age, Illinois offers a POLST form — a portable medical order signed by both the patient and a physician. Unlike an advance directive, a POLST is a medical order that must be honored immediately across care settings (hospitals, nursing homes, emergency services). A POLST does not replace an advance directive; it complements it for individuals whose health situation has reached a stage where immediate instructions to providers are clinically necessary.

When to Consult an Illinois Estate Planning Attorney

Illinois's combination of a low estate tax exemption, no portability, and no inflation adjustment makes it one of the states where professional legal advice delivers the most measurable financial value. While basic documents — a simple will, healthcare directive, and financial POA — can sometimes be handled with online tools for straightforward situations, certain circumstances in Illinois strongly call for attorney involvement.

You Should Consult an Attorney If:

• Your estate — including your home, retirement accounts, life insurance, and other assets — exceeds or may approach $4 million individually, or $8 million as a married couple
• You are married and do not have a credit shelter trust in place, or your existing trust has not been reviewed since your assets grew substantially
• You own life insurance in your individual name and your total estate approaches $4 million
• You own a closely-held business, professional practice, or significant real estate portfolio
• You are a non-resident who owns Illinois real property as part of a larger estate
• You have a blended family with children from prior relationships, or a beneficiary with special needs
• You want to incorporate significant charitable giving into your estate plan
• You are contemplating a change of domicile to reduce or eliminate Illinois estate tax exposure
• Your estate plan was drafted more than three to five years ago and your asset values or family situation has changed
• You are an Illinois business owner planning for retirement and need to coordinate business succession with estate planning

Finding a Qualified Illinois Estate Planning Attorney

When selecting an estate planning attorney in Illinois, look for:

• Active membership in the Illinois State Bar Association's Trusts and Estates Section
• Experience with Illinois estate tax returns (Form 700) and related planning strategies
• Familiarity with Illinois-specific tools including TODIs, the Illinois Power of Attorney Act, and Illinois credit shelter trust drafting
• Membership in the American College of Trust and Estate Counsel (ACTEC) — the gold standard credential for estate planning attorneys
• Transparent fee disclosure — flat fee arrangements are common for standard estate plans; hourly billing is more typical for complex taxable estate work

Typical fees for Illinois estate planning range from $1,500–$4,000 for a basic estate plan (will, revocable trust, POA, healthcare directive) to $7,500–$20,000 or more for complex taxable estates requiring credit shelter trust drafting, ILIT formation, business succession coordination, and Illinois estate tax analysis. The cost of comprehensive planning is almost always small relative to the Illinois estate tax it can eliminate.

For a broader view of how Illinois compares to other states, see our State Guides index. For deeper dives into the tools discussed in this guide, see our comprehensive Trusts Guide, Tax Planning Guide, and Life Insurance Guide. If you are deciding whether an online kit is enough, see DIY vs. hiring an attorney.