Ways to Avoid Probate
Living trusts are probably the best-known way to avoid subjecting your family to the hassle and expense of probate court proceedings after your death. But there are many other good probate-avoidance techniques, which you can use in addition to or even instead of a living trust. What's right for you and your family will depend on your unique circumstances.
Here are some easy-to-use methods of avoiding probate for different kinds of assets. Best of all, many of these methods are absolutely free!
Avoiding Probate: The Big Picture
Avoiding Probate: The Big Picture
-
Learn the most popular ways of avoiding probate.
-
Most of us have heard that it's wise to avoid probate court, here's why.
-
What Probate Avoidance Can't Change
Avoiding probate is a smart strategy, but it doesn't avoid family obligations, taxes, or debts.
Ways to Avoid Probate
Ways to Avoid Probate
-
Adding a POD Designation to a Joint Account
Here's an easy way to avoid probate for a joint bank account.
-
Avoiding Probate: The Small Estate
If your estate is relatively small, you may not have to worry about probate at all. Almost every state now offers shortcuts through probate -- or a way around it completely -- for "small estates." Often, you can claim property by using affidavits and skip probate entirely. Or take advantage of many states' quick, simple procedures for small estates.
-
Avoiding Probate With Transfer-on-Death Accounts and Registrations
Leave property without probate using payable-on-death accounts, registrations, and deeds.
-
Avoiding Probate with Joint Ownership
Several forms of joint ownership provide a simple and easy means of avoiding probate when the first owner dies. In fact, many couples conclude that holding title to their major assets as joint owners is all the estate planning they want to engage in, at least while they are younger. To avoid probate by taking title as joint owners with someone else, you state on the paper that shows your ownership (a real estate deed, for example) how you want to hold title. Usually, no additional documents are needed.
-
Avoiding Probate With Joint Tenancy
Joint tenancy is unquestionably the most popular probate-avoidance device around. And why not? Property owned in joint tenancy automatically passes, without probate, to the surviving owner(s) when one owner dies. Setting up a joint tenancy is easy, and it doesn't cost a penny.
Questions About Avoiding Probate
Questions About Avoiding Probate
-
If I name beneficiaries for my bank accounts, should I include them in my will?
If I fill out a beneficiary form for my stock, IRA, or bank account (to avoid probate), should I name the beneficiaries in my will, too? Or will that only muddy the waters? Also, does naming beneficiaries for these accounts help with the overall estate taxes if they are not listed in the will?
-
How do I set up a payable-on-death account?
How do I set up payable-on-death accounts for my bank accounts? If I establish pay-on-death for my accounts and I die, can the person I have designated on the account get access to my money right away, or is the money frozen?
-
How the New Owner Claims Transfer-on-Death Real Estate
For those who inherit real estate through a TOD deed, getting title to the property is faster, simpler, and less expensive than going through probate.
-
How to Prepare a Transfer-on-Death Deed
If you want to leave behind real estate using a TOD deed, make sure it meets your state and county's requirements.
-
Naming a TOD Beneficiary for Your Car
If your state allows it, consider naming a transfer-on-death (TOD) beneficiary for your vehicles.
-
Payable-on-Death (POD) Accounts: The Basics
Payable-on-death bank accounts offer an easy way to keep money—even large sums of it—out of probate.
-
Adding a POD Designation to a Joint Account
Here's an easy way to avoid probate for a joint bank account.
-
If I name beneficiaries for my bank accounts, should I include them in my will?
If I fill out a beneficiary form for my stock, IRA, or bank account (to avoid probate), should I name the beneficiaries in my will, too? Or will that only muddy the waters? Also, does naming beneficiaries for these accounts help with the overall estate taxes if they are not listed in the will?
-
Estate Planning: IRAs and 401(k) Accounts
Retirement plans can be a significant part of your estate plan.
-
Required Minimum Distributions (RMDs) From Retirement Accounts
Eventually, you must take money out of your non-Roth retirement accounts every year—or pay hefty penalties.
-
Probate court proceedings (during which a deceased person's assets are transferred to the people who inherit them) can be long, costly, and confusing.
-
Avoiding Probate in California
Probate court proceedings (during which a deceased person's assets are transferred to the people who inherit them) can be long, costly, and confusing.
-
Probate court proceedings can be long, costly, and confusing. Learn how New York families can save time, money, and hassle
-
Probate court proceedings can be long, costly, and confusing. Learn how Texas families can save time, money, and hassle
More About This Topic
More Legal Topics
- Avoiding Family Disputes
- Charitable Gifts and Trusts
- Cryptocurrency and Estate Planning
- DIY Estate Planning
- Estate and Inheritance Taxes
- Estate Planning: An Overview
- Estates, Executors & Probate Court
- Financial Powers of Attorney
- Getting Your Affairs in Order
- Intestate Succession
- Living Trusts
- Living Wills & Medical Powers of Attorney
- Pets and Estate Planning
- Wills
- Avoiding Family Disputes
- Charitable Gifts and Trusts
- Cryptocurrency and Estate Planning
- DIY Estate Planning
- Estate and Inheritance Taxes
- Estate Planning: An Overview
- Estates, Executors & Probate Court
- Financial Powers of Attorney
- Getting Your Affairs in Order
- Intestate Succession
- Living Trusts
- Living Wills & Medical Powers of Attorney
- Pets and Estate Planning
- Wills