Probate Avoidance: Is It Right For You?
Hollywood’s depiction of Estate Administration leaves the impression that a last
will is something that is read by an attorney and then the assets are handed out
to the family members after a relative passes away. In reality, when you use a last
will to express your final wishes your estate is going to have to pass through a
process called probate. During this period of time the probate court will examine
the will and supervise the administration of the estate.
Probate provides a certain level of transparency as the executor or personal
representative goes about business on behalf of the estate. This is positive, but at
the same time there are some aspects of probate that can make you consider
employing strategies that avoid probate.
One of these is the fact that probate stands in the way of the quick and efficient
distribution of assets to your heirs. Depending on the complexity of the matter in
question, the caseload in the relevant jurisdiction, and whether or not all
interested parties are seeing eye to eye it can take anywhere from several months
to several years for an estate to be probated. Until the court closes the estate no
bequests will be issued to the heirs.
Aside from the time involved there are expenses that go along with the probate
process. Once again, depending on the size and scope of the estate and the
complexities involved the exact cost is going to vary. But it is not uncommon for
the value of an estate to be reduced by as much as 5% and sometimes even more
as it passes through the probate process.
There are a number of ways to avoid probate, and one of them would be through
the creation of a revocable living trust. This is a very popular option and it can be
useful even for people who do not consider themselves to be wealthy.
If you're interested in exploring the options that are available to you beyond the
creation of a last will, don't hesitate to pick up the phone and arrange for a
consultation with a licensed and experienced estate planning attorney.
Experienced estate planning attorneys Reno NV of the Anderson Dorn & Rader
Ltd offers estate planning and business planning resources to residents of Reno
NV. To learn more about these free resources, please visit