When a descendant passes away, the distribution of their property can be determined by a will or by the laws of Descent and Distribution if no will is left behind. The probate court plays a crucial role in ensuring that the property is distributed correctly. The laws governing probate have been a topic of discussion and reform since the 1960s.
Understanding Probate Process
The probate process is essential for properties solely owned by the deceased individual, such as real estate or vehicles, as well as shared properties. These assets, known as probate estates, may require court proceedings overseen by an executor. It is common to hire a lawyer to navigate the legal requirements and fees associated with probate.
Assets Requiring Probate vs. Those That Don’t
While most assets in an estate do not need to go through probate, certain assets like retirement accounts, life insurance proceeds, and living trust properties are exempt. Some states offer simplified probate proceedings for small estates, making the process more efficient for heirs. Joint ownership in an estate can also impact the probate process, with survivorship rights transferring property automatically to the surviving owners.
Types of Assets Subject to Probate
Individually owned assets, tenants-in-common assets, and assets without designated beneficiaries may need to go through probate. Individual assets with a single owner, shared ownership with specific interests, and assets without named beneficiaries can complicate the probate process.
Planning for the Future
It is crucial for individuals to plan for the distribution of their assets to ensure a smooth transition for their heirs. Proper financial planning can benefit both the owner and their beneficiaries in the long run. By understanding the probate process and the assets involved, individuals can make informed decisions to protect their estate.
