You may have heard many negative sentiments about the probate process. However, many people do not actually understand the specifics about why people try to avoid probate. Proper planning ahead of time can help ensure that your estate will not need to go through probate at all or will, at least, substantially avoid it.
Why Would You Want to Avoid Probate?
There are several main reasons why you would want to avoid probate. These reasons include:
- The expense: There are many fees associated with the probate process that quickly add up. First, there are court costs that will need to be paid. There may also be an executor fee for services rendered by the executor of the estate, although this fee is often waived by the executor. If your estate goes through probate, there is also a bigger chance of attorneys being involved and, thus, attorneys’ fees will also need to be paid.
- The delay: Probate can take a long time. The exact length of time will vary depending on the size and complexity of the estate as well as whether or not there are any will contests or other issues to resolve. Even small estates, however, can take 6 months or a year to resolve. During this time, the property of the estate may be tied up and inaccessible to your beneficiaries. The delay in estate property distribution can take a serious toll on family members who may depend on access to the money that is stuck in probate. It is likely that your loved ones will not have any immediate access to estate funds until probate has officially begun and, even then, access will be limited and usually won’t happen without a court order. This means beneficiaries will be stuck paying for household expenses, funeral expenses, property insurance, and paying taxes all on their own.
- The lack of privacy: Nearly everything that goes through the court system is a matter of public record. This includes probate proceedings. When your estate is probated, a family associated with the estate as well as your financial information will become publicly accessible. While courts do take steps to reduce the risk of identity theft such as redacting account numbers and social security numbers, almost everything will be accessible to the general public. This means that things such as the value of your assets as well as any creditors of the estate and the identities of your beneficiaries will show up in the public record. What most people would want to keep private will now be out there for the world to see.
Trusted Estate Planning Attorneys
Given all of the reasons to avoid probate, it is imperative to begin the estate planning process as soon as possible. There are tools that can be used to eliminate the need for probate or, at a minimum, significantly reduce the amount of property that needs to go through the process. Monk Law estate planning attorneys will build a comprehensive estate plan with your best interests in mind. Contact us today.