While every person should have a Last Will & Testament to determine what will happen to their estate, there are steps to take to reduce the chance that their estate will require probating after they pass.
Real Estate:
The need to transfer title to real estate is one of the most common reasons that the probate process is necessary. However, there is a simple step you can take to transfer real estate automatically upon your death. Here in Georgia, title to real estate can be held as joint with right of survivorship, which means if one person listed on the title passes away, the remaining person(s) on the deed automatically receives full title to the property. It is fairly common for spouses to hold title as joint with right of survivorship, but this can also be used to transfer title to other heirs. Review your current deed and determine how your real estate title is held and if any changes are necessary.
Retirement Accounts:
Generally, retirement accounts are not included in the probate estate. Be sure to review the beneficiaries of your retirement accounts and update them if there any changes in your family.
Bank Accounts:
Bank accounts can also be held as joint with right of survivorship and pass automatically to the surviving account holder. Additionally, many accounts have a payable on death option, so you can designate a beneficiary to receive the account upon your death without having that person as a joint account holder.
Personal Belongings:
Any personal property that has a title or registration will likely require probate of the estate in order to transfer the title or registration. Just like with real estate or bank accounts, you can add another person so that they will receive full title upon your death. As far as other personal belongings, one option is to give any special items to your loved ones before you pass away, or leave a list with instructions on how you want your personable belongings to be handled.
While these steps can certainly help manage your estate and plan to avoid the estate having to be probated, you should consult with an attorney, review all of the assets in your estate, your plans for how those assets should be distributed upon your death, and determine the best strategy to accomplish your goals.
This guest post was written by Jeanne O’Halleran, Esq.