Estate Planning 101: What is Probate?
There are two aspects of probate and the probate courts.The most common aspect deals with the administration of a decedent’s affairs, if the decedent died without any estate planning (intestate) or if the decedent had a valid Will (testate). In this sense, probate refers to the legal process which validates your Will, if you have one, and appoints an executor or administrator to wrap up your affairs. As part of the probate process, your creditors can set forth their claims against your estate, and your valid debts and expenses are paid. Thereafter, your remaining assets are valued and are divided among your legatees, if you have a valid Will, Otherwise, your remaining assets are divided among your heirs-at-law as required by the Probate Act.
The second aspect of probate is sometimes called “Living Probate,” because the powers of the probate court are used to determine what’s in the best interests of someone who’s still alive but has been incapacitated. In the words of the probate courts, an individual who can’t make reasonable decisions about his or her physical care or finances is found to be disabled. Depending on the circumstances, one or more guardians will be appointed to make decisions for the individual. The probate court will review all such decisions, until the individual proves that he or she no longer needs the guardians.
- What is Estate Planning?
- Objectives of Estate Planning.
- When is Estate Planning Important?
- Does Everyone Need Estate Planning?
- When Should I Do My Estate Planning?
- What’s Included in My Estate?
- What is Probate?
- Common Estate Plans.
- The Problems with Doing Nothing.
- The Problems with Joint Ownership.
- The Problems with Giving Away Assets.
- The Problems with Beneficiary Transfers.
- The Advantages of a Will.
- Revocable Living Trusts.
- Powers of Attorney for Property.
- Controlling Medical Decisions.
- Estate and Gift Taxes.
- Ways to Reduce Your Estate Taxes
Lessons in Estate Planning 101:
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