Probate is a
legal process that takes place after someone dies and usually involves
several steps. It is generally overseen and accomplished by the executor if there is a will, or by a court appointed representative if there
is not. Though state laws vary, probate typically includes:
| 1. |
Identifying
and inventorying the deceased person's property. |
| 2. |
Accounting
and appraisal of the property.
|
| 3. |
Payment
of taxes and creditors. |
Prior
to paying taxes and creditors, the surviving spouse and/or children
are usually allowed an specific amount under state law. Typically
that amount is paid first. After that, the claims against the estate
are paid.
| 4. |
Formal
distribution of the remaining property as the will directs,
or by the state laws of intestate succession, if there is no
will.
|
In
most states, smaller estates may fall within a probate exemption
which allows a certain amount of property to pass free of probate,
or through a simplified procedure. |
