Mourning a loved one is tough on its own, but having to go through the legal process of it all can make you feel lost. While this step can be challenging to proceed with, understanding how it works can be a helpful tool for your family as they begin probate.
What is probate?
Probate is the official, court-supervised process of validating a deceased’s last will and testament. This involves collecting any remaining asset that the deceased owns and distributing it to their rightful heirs.
What property goes through probate?
A decedent’s estate is all assets owned by an individual at the time of death. This includes real estate, bank accounts, stocks and bonds, personal property and financial accounts. These assets will go through probate.
Some assets might not go through probate. For example, if the person who passed away placed assets in a trust, those assets would belong to the trust and would not go through probate as a result.
What is an executor?
In Pennsylvania, one or more people act as executor during the probate process. The main role of an executor is to settle the deceased’s estate on behalf of the beneficiaries. This includes submitting and interpreting the will (if there is any), communicating with the heirs, notifying the creditors, appraising the estate’s value, paying the funeral bills, submitting a death certificate and more.
If there is a will, that document will name the executor. Without a will, the family members will each nominate an executor. If the family cannot agree, they will need to file a petition with the probate court.
What happens if there is no will?
Without a will, the state determines who will inherit what someone leaves behind when they pass away. Pennsylvania’s order of inheritance follows a specific hierarchy. This can vary depending on the case of the deceased.
- Spouse and the descendants: If survived by a spouse and their children, the spouse will receive the first $30,000 of the estate and half of the remaining assets. Their children will receive the other half.
- Spouse and parents: If there are no children but the deceased is survived by a spouse and their parents, the spouse will receive the first $30,000 of the estate and half of the remaining assets. The parents will receive the other half.
- Children only: If there is no surviving spouse, the children will inherit equal portions of the estate.
- Parents only: If there is no surviving spouse or children, the parents will inherit equal portions of the estate.
- Siblings and their descendants: If there are no surviving spouse, children or parents, the entire estate will be inherited by the deceased’s siblings or their descendants.
The law continues through the family to distant relatives including grandparents, aunts, uncles and cousins. If the court cannot identify any eligible heirs, the estate becomes subject to transfer to the commonwealth.
Do heirs have to pay an inheritance tax?
Inheritance tax is imposed by the Commonwealth of Pennsylvania as a percentage of the value of a decedent’s estate. The tax rate will vary depending on the relationship of the heir to the decedent.
You are not alone on this journey
Understanding probate can be a challenging thing to do while still mourning from a recent loss. The right guidance can provide answers and make the process more manageable on your end.