While you may have heard many individuals talk about the hideous probate process and the desperate need to avoid them, your Largo estate planning attorney can explain the advantages as well as disadvantages of the probate process. Being more informed on this topic can help you construct a more effective estate plan with your Largo estate planning attorney.
Disadvantages of Probate
Your Largo estate planning attorney can explain that the most significant disadvantage of probate is that it takes too much time. While life insurance proceeds may go to the beneficiary shortly after the necessary forms and proof of death are completed or a property may immediately transfer if there is a right of survivorship attached to it, probate can take many months or even years. This means that the beneficiaries may not receive needed assets until well after the decedent dies. Another disadvantage that your Largo estate planning lawyer may discuss with you is the cumbersome characteristic of probate. Probating a will can involve the need to file numerous documents with the court.
How to Avoid Probate
Due to these disadvantages, your Largo estate planning lawyer may recommend attempting to avoid probate. This can be accomplished through several avenues, such as by providing inter vivos gifts, adding a transfer on death characteristic for bank accounts, joint tenancies with the right of survivorship for certain bank accounts and real property, trusts and life insurance policies.
Advantages of Probate
Probate offers some advantages. For example, it usually provides greater protection to your beneficiaries. Additionally, it has an established set of rules to help handle creditor claims of the estate.
While many individuals have the goal of avoiding probate, they may be unaware of the consequences that can occur when this route is taken. For example, if a person is added to an account so that the account can pass automatically at death, that individual may make charges that the original owner did not authorize. Likewise, a person may use up their gift tax and have their beneficiaries liable for estate tax.
If you would like more information on the probate process, contact the Coleman Law Firm at 727-461-7474.