Estate Administration
Upon a person’s passing, the decedent’s estate must be administered either by following the instructions provided in the decedent’s trust agreement, or as provided in a Will in Probate Court when no trust exists. A Probate Court proceeding is generally required when a person dies without a trust. Regardless of the type of administration that is necessary, our extensive experience enables us to anticipate and handle problems that a layperson would likely not know how to handle. When a family member is serving as the administrator of a loved one’s estate, we will also work to reduce the potential for family strife.
What is Probate and why should it be avoided?
Probate is a court proceeding that supervises the transfer of a decedent’s assets . The Probate process can take up to two or more years to complete and the average Probate costs 10% of the gross value of the estate (these fees come from probate court expenses, filing fees, Executor’s fees and attorney’s fees). Additionally, Probate is a public proceeding and all of the decedent’s assets and debts become public record. Enormous expenses and lengthy delay in distribution can be avoided if a decedent’s assets are transferred by a private family trust without a Probate proceeding. Current California law requires a Will to be Probated (administered by the court) if the value of the non-real estate assets subject to the Will exceeds $150,000.00 (Probate Code Section 13151), or if the decedent owned real estate, subject to the Will, which exceeds $50,000.00 in value (Probate Code Section 13200); these values are applicable to estates of decedents dying in 2013 and will likely change from year to year.
What happens if I have no Will?
If you die without a Trust and without a Will, your estate is still subject to Probate, but the Probate is much more expensive and much more time consuming because you have not provided distribution instructions to the court. If you die with no Trust and no Will your estate will be distributed to the heirs determined in accordance with state law, which may not be in accordance with your wishes.