You should have at least a basic understanding of the probate process when you are planning your estate in Indiana. When you know some of the facts, you may decide to take actions that you would not have taken if you knew nothing about probate.
Probate is a legal process. If you use a last will to arrange for the distribution of property that you own personally after you die, the estate must be probated before the heirs receive their inheritances.
When you draw up your last will you name an executor or personal representative. This is the individual who will conduct the business of the estate. When you choose an executor you should select a person with a good bit of business savvy who has the time to complete these tasks.
If you failed to include the selection of an executor within your last will, the Indiana probate court would be forced to appoint a personal representative to act as your estate administrator.
After you pass away, the executor admits the will to probate, and the wheels are set in motion.
Cost of Probate in Indianapolis IN
There are considerable costs that can add up during the probate process. Think about all the tasks that must be completed during this interim. In many cases the decedent was in possession of various forms of property. There can be real property, valuable collections, securities, business holdings, etc.
If there are multiple different heirs and they are all receiving different portions of the overall value of the estate there is a lot of work that must be done.
Appraisals will be necessary, and property liquidation will come into play. As the executor is preparing assets for distribution to the heirs expenses are going to accumulate.
During probate creditors have the opportunity to come forward seeking satisfaction, including tax collectors. Because of the tax responsibilities and other accounting needs, the executor will often require the assistance of a certified public accountant.
The executor may know little about the process at first. Probate is a legal matter, so a probate attorney is probably going to be necessary as well.
The executor is entitled to payment for his or her time and effort. In addition to this, the court is going to charge a filing fee.
As you can see, the process of probate comes along with a number of different expenses. The exact amount of the expenditures will vary on a case-by-case basis. Clearly, the complexity of the case in question is going to have a lot to do with the extent of the costs.
There are ways to arrange for asset transfers outside of probate in Indianapolis IN. If you would like to discuss these strategies with a licensed professional, contact our firm to schedule a free consultation.
Mr. Kraft assists clients primarily in the areas of estate planning and administration, Medicaid planning, federal and state taxation, real estate and corporate law, bringing the added perspective of an accounting background to his work.