Probate
The probate process can take some time and expertise to complete. Usually the personal representative will consult with an attorney to assist them. An attorney can also help determine if a probate is necessary.
Not all estates require a probate. Certain estates with a value below a certain amount may not need to be probated. Property may pass directly to beneficiaries of specific estate assets. Assets in a trust are also not subject to the estate process.
Probate is a legal procedure for settling the estate of someone who dies owning property. The Will is filed with the Court. The personal representative named in your Will takes control of your assets.
Some of the duties of the personal representative are:
- Review the Will
- Give Notice to Persons named in the Will and Heirs
- Prepare an Inventory and Valuation of the assets
- Publish Notice to Creditors in a Newspaper
- Pay Valid Claims and Debts of the Decedent
- Prepare Final Tax Returns and Pay any Taxes
- Prepare a Final Accounting
- Distribute Assets According to the Will
- Close the Estate No Sooner than 6 Months after the Probate was Opened
Trust Administration
Like a personal representative of a will, a trustee has certain duties upon your death. Some may be:
- Review Trust
- Give Notice to Named Beneficiary in the Trust and Others, if required
- Prepare Inventory and Valuation of the Trust Assets
- Pay Debts and Claims
- Prepare Final Tax Returns and Pay any Tax
- Prepare Final Accounting
- Distribute Trust Assets
When a trust is created assets are placed in the trust and are managed by the trustee during your lifetime. You can be the trustee of your trust during your lifetime. Upon your passing, if you were the trustee, then your successor trustee administers and distributes the trust assets to the beneficiaries of the trust as directed by the trust.
Like the probate, the administration of the Trust can involve some complex issues. The Trustee can work with an attorney to assist with the administration.