Probate
Probate is a court-supervised legal proceeding that may be needed to settle debts and distribute assets after a death. The probate process is triggered when a person dies without a will, or dies with a will, but without any probate-avoidance mechanisms in place (e.g., a trust, joint tenancy agreement, or pay-on-death account). In California, an estate must go through probate if such assets total more than $184,500 or there is any real property worth more than $61,500 (see “Trusts vs. Wills”).
Probate can be expensive and time-consuming. It includes proving the validity of a will, identifying and inventorying the deceased person's property, appraising the property, paying the deceased's debts and taxes, and distributing the remaining property as the will indicates. If there is no will, then the court applies default distribution rules according to state law.
It is highly recommended that you contact an attorney before you begin the probate process.
In probating an estate, an attorney assisting the executor or administrator of the estate may help to arrange for the termination of joint tenancy asset(s) so that surviving joint tenant(s) can control the asset, file a petition for probate and appointment of executor of the estate, assist in collection of insurance policies, wage claims, and retirement benefits, and guide the executor in administering the estate. This often entails opening an estate bank account, locating and valuing assets, preparing tax returns, paying taxes and debts, and assisting in the continuation or liquidation of business interests.
Tax implications of probate and inheritances are often far-reaching, and can be difficult to fully understand. To assist our clients in understanding the long-term effects of probate and inheriting property, we work closely with CPAs to clarify and act on the tax aspects of decisions made in the probate process.
We know that bereavement is a difficult time. We work with the decedent’s family and friends to seek to act on the decedent’s wishes to the extent possible, and to help survivors to review the impact of the death on their own estate plans.