When you lose a loved one, you may have to handle their final affairs. This could mean having to follow their estate plan, which may involve having to go through the probate process.
In Florida, probate may be needed when assets are owned in the decedent’s name, but don’t have a beneficiary designation, joint ownership or other owner transfer methods in place. However, not all assets have to go through probate.
What assets bypass probate?
Checking, savings, investment and retirement accounts that are held in financial institutions may bypass the probate process if they have a payable on death designation. This designation names the person who will receive the contents of the account when the account holder dies. Jointly owned property with survivorship rights and assets that are held in trusts will also bypass the probate process.
What are the types of probate administration?
Florida uses summary administration for smaller estates or when a decedent has been dead for more than two years. This is often a faster process than the more formal administration process. Even though this is often simpler, the court still has to approve the estate. In very limited cases, very small estates can bypass this process.
Florida also has a formal administration process for larger or more complicated estates. This process requires the appointment of a personal representative, notice to creditors, gathering of assets, paying of approved claim and distribution of remaining property.
Dealing with probate in Florida can be complex and time consuming. This might be difficult for the loved ones of a decedent to deal with while they’re still trying to cope with their loss. Working with someone familiar with the estate and probate process may be beneficial as a result.