Probate is something to be aware of when you are engaged in the process of estate planning. Property that is in your personal possession when you die is considered to be probate property. As such, it is not immediately distributed to the heirs to the estate.
The estate must first pass through a legal proceeding called probate. The probate court in the jurisdiction that is local to the decedent is going to supervise the administration of the estate.
Why is there a probate process? Think about the complexity of the matter. If someone passes away in possession of a considerable store of personal property and multiple heirs, a somewhat complicated situation exists. There are multiple different interested parties, and the property is probably not all going to be liquid.
There are other interested parties beyond the heirs to the estate. If the decedent had any outstanding debts of any kind, these creditors could come forward seeking satisfaction. Tax responsibilities must be addressed as well.
There is also the matter of possible challenges to the estate. Challenges would be heard by the probate court.
The Cost of Probate in Campbell California
There are significant costs that can go along with the probate process. The executor is entitled to a fee for his or her time and effort. In most cases of any magnitude, the executor is going to retain the services of a probate attorney.
The probate attorney is entitled to a fee for his or her efforts. The specific fees that the executor and the probate attorney are entitled to are spelled out in Section 10810 of the California Probate Code.
The extent of the legal and executor expenses will be directly tied to the overall value of the estate.
The executor may also need to engage the services of other professionals. Since taxes will be a factor, an accountant may be necessary. The appraisal of property may be required, and liquidation expenses could accumulate as well.
Ultimately, the cost of probate is going to depend on the circumstances, so there is no one answer to the question of cost.
When you hear about all of the expenses that can pile up during the probate process, you may wonder if it is possible to arrange for the transfer of assets to your loved ones outside of probate.
The answer is yes, you can indeed employ probate avoidance strategies. There are various different ways that you can arrange for the transfer of monetary resources outside of the process of probate.
If you would like to discuss probate avoidance strategies with a licensed Campbell CA estate planning lawyer, we would be glad to assist you. Simply take a moment to contact our firm to request a free consultation.