When Doesn't a Will Need to Be Probated?

Probate is the legal process a will undergoes in a court that deals with estate planning. An executor of the estate is appointed to take the estate through the probate process. All the assets that are to be distributed under a will must go through the probate process. In some instances, however, it is possible to transfer property upon death without going through probate.

Living Trusts

• Trust property is not considered part of your estate, so it is exempt from the probate process. Having an irrevocable living trust means that a trustee owns the trust property, not just you as an individual. Therefore, upon your death, the trustee can transfer the trust property to the family or friends you named in your will without having to undergo probate.

Pay-on-Death Bank Accounts

• By filling out a special form in which you name a beneficiary, you can convert your bank and retirement accounts to payable-on-death accounts. Upon your death, the accounts transfer directly to your beneficiary without having to undergo probate.

Joint Ownership

• Several forms of joint ownership are exempt from undergoing probate. The determining factors of joint ownership vary by state. However, it basically means that when one of the owners passes away, the property transfers to the other joint owner without undergoing probate.

Giving Gifts

• The absolute easiest way to avoid probate is by giving your property away to your beneficiaries while you're still alive. Simply put, if you don't own it at the time of your death, then it is not part of your estate that has to go through probate.