Every adult should take the time to create an estate plan. A vital part of the estate planning process is considering whether you would like your estate to go through the process of probate. A recent article discusses the pros and cons of probating an estate.
One benefit of probate is that, through probate, the executor of a decedent’s will is given proof of their authority to show to third parties. This is an important part of estate administration, as the executor of a will necessarily needs to collect assets from third parties. Moreover, through probate, time limits are imposed on any outstanding claims against the estate. Without a grant of probate, claims against a decedent’s estate may never expire.
Although the process of probate has several benefits, many choose to avoid probate altogether. A major reason for this avoidance is privacy. Whereas the process of probate is public, asset transfers outside of probate are private. Another common reason for probate avoidance is to avoid fees and taxes related with probate.
The decision of whether or not to create an estate plan that utilizes probate should be made on an individual basis, based on the nature and size of the estate to be administered, as well as the goals of the person creating the plan.