By Jessica S. Batsevitsky
Over the years, I have met people who tell me they have no idea what probate is, but they’re pretty sure they’re supposed to avoid it. So what is probate and why is it so scary?
The term “probate” simply refers to the court-supervised process of administering a deceased person’s estate (i.e. paying debts and distributing property). There might be a Will, or there might not be a Will, but either way the process is supervised by the Probate Court. The “supervised by the Probate Court” part is what many people wish to avoid, but why?
First, the probate process is expensive. Most families must hire a lawyer in order to help them understand how the process works and what they need to do. There are also filing fees and other associated expenses.
Second, the probate process can be slow. Court action might be necessary before a family can take an important step, such as selling the deceased person's house, and delays often happen.
Third, the probate process lacks privacy. If there is a Will, it must be filed in Probate Court where it becomes part of the public record. Anyone who appears at the Probate Court and requests the file can review the Will, along with other paperwork filed with the Court that may describe the deceased person’s assets and what those assets are worth.
Finally, the probate process may leave an estate more vulnerable to claims by discontented parties and creditors.
So how can your family avoid probate? The probate process is necessary only when a person dies owning property in his or her individual name only. The right combination of trusts, joint ownerships and death beneficiary designations can help families avoid the need for probate, but to avoid missteps, this type of planning should be done with the help and advice of a qualified estate planning attorney.
Over the years, I have met people who tell me they have no idea what probate is, but they’re pretty sure they’re supposed to avoid it. So what is probate and why is it so scary?
The term “probate” simply refers to the court-supervised process of administering a deceased person’s estate (i.e. paying debts and distributing property). There might be a Will, or there might not be a Will, but either way the process is supervised by the Probate Court. The “supervised by the Probate Court” part is what many people wish to avoid, but why?
First, the probate process is expensive. Most families must hire a lawyer in order to help them understand how the process works and what they need to do. There are also filing fees and other associated expenses.
Second, the probate process can be slow. Court action might be necessary before a family can take an important step, such as selling the deceased person's house, and delays often happen.
Third, the probate process lacks privacy. If there is a Will, it must be filed in Probate Court where it becomes part of the public record. Anyone who appears at the Probate Court and requests the file can review the Will, along with other paperwork filed with the Court that may describe the deceased person’s assets and what those assets are worth.
Finally, the probate process may leave an estate more vulnerable to claims by discontented parties and creditors.
So how can your family avoid probate? The probate process is necessary only when a person dies owning property in his or her individual name only. The right combination of trusts, joint ownerships and death beneficiary designations can help families avoid the need for probate, but to avoid missteps, this type of planning should be done with the help and advice of a qualified estate planning attorney.
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