Advisors Encourage Clients to Create Estate Plans, but Many Don't Have One

Nonaffiliated advisors often outsource their estate planning clients to other providers, limiting their ability to fully capitalize on client retention and business development opportunities. In the survey, they cited legal concerns, cost and lack of expertise as the most significant barriers to offering estate planning services.

The survey findings challenged the notion that only high-net-worth individuals need estate planning. The majority of advisors in both samples agreed that estate planning should begin for clients with a net worth of $250,000 or less. 

Trust & Will affiliates are even more proactive, with 44% saying that estate planning is necessary for individuals with a net worth starting at $50,000.

Both affiliated and non-affiliated advisors reported that they predominantly serve baby boomers, who are at the forefront of the so-called great wealth transfer. But the anticipated surge in estate planning demand brought on by this phenomenon remains inconsistent, the survey found.

Only 45% of advisors said they have noticed an increase in client demand driven by money passing to younger generations.

Still, involving the next generation in estate planning discussions is a critical yet underused strategy for family asset retention. Thirty-seven percent of Trust & Will advisors said they regularly engage clients’ adult children in estate planning discussions. 

This proactive approach both ensures smoother wealth transfers and strengthens long-term client relationships that span generations. Forty percent of Trust & Will affiliates reported that they have successfully retained more than half of their deceased clients’ assets.