Probate: Is it Worth it?

“What is probate anyway?” Most of the people that I meet with only know that they want to avoid probate, but a recent client asked about the probate process itself. What does it do? Why is it necessary? Is it ever a good thing?

Probate is the court-supervised process of identifying a decedent’s assets, paying any of the decedent’s debts during a statutorily prescribed timeframe, and then distributing what is left of the assets to beneficiaries. Probate assets are assets that were owned by the decedent alone, for example, bank accounts, property, or life insurance policies. If the decedent had a valid Will, it would be submitted to the court and serve as the roadmap for where assets go. If the decedent did not leave a valid Will, then the Florida Statutes dictate which heirs the decedent’s assets would pass to.

Probate assets that can be subject to the probate process include bank accounts, life insurance policies, and real estate. According to the Florida Statutes, probate is necessary to transfer ownership of probate assets from a decedent’s estate to the beneficiaries and wind up the decedent’s financial affairs. A circuit court judge oversees the proceedings to ensure that everything is carried out properly. Depending on the assets subject to the proceedings, the average probate can take anywhere from six months to one year.

So, what are the benefits of probate, if any? Surprisingly, there are a few. If a person passes away and doesn’t leave a will, the court appoints a personal representative to settle the estate. Because the court is involved and monitors the various probate steps, it is a trustworthy procedure to ensure the decedent’s legal heirs obtain any assets.  Additionally, it may free up assets that were otherwise “locked” or “frozen” when the decedent passed away, allowing the personal representative to finalize certain financial affairs. Finally, because there is a statutory window of time allotted for creditors to file claims (and those claims must be filed properly and timely) it may mean some debts are forgiven or excused.

Probate is avoidable. We can discuss your specific assets, family situation, and how you want your assets to be protected. We can develop a strategy to fit your needs and ensure your wishes are followed. We’re also here to answer questions you have about probate or probate avoidance.  Let us help protect your family and preserve your legacy.