Estate Administration
Estate administration is what is meant by many people when they talk about "going through probate"
or "the probate process." In some circumstances, this process can be lengthy. Although
statutory limits may be less, this process rarely finishes in less than six months.
Sometimes, the proceedings can take as long as two to three years. There may be several
reasons for this, including delays involved with obtaining appraisals and filing tax returns,
mandatory waiting periods (during which time creditors can make claims), and further delays
awaiting required approvals from the probate court. All of these events must occur before
the personal representative can distribute anything to the beneficiaries of the will.
There are also expenses involved with the probate process. In addition to court
costs, these may include attorney's fees and personal representative's fees. These
fees may be assessed either as a flat rate, an hourly rate or a percentage of the
estate's total assets. Furthermore, wills, like any other legal document, are subject
to contest. If someone chooses to contest the will, expenses could rise dramatically
due to the costs involved in representing the legal interests of the estate.
Another aspect of estate administration that concerns some people is the public
nature of the process. Generally, estate administration cases are public proceedings
just like any other court case. Only a few states (for example, New Jersey) make
probate proceedings private. This means that, in most states, anyone may request
and view any document in an estate administration that is not hidden by a special
court order "sealing" the document and protecting it from public view. This lack
of privacy is of substantial concern to some, especially those with sizable estates
or secret relationships (such as an illegitimate child.) In this era of financial
fraud and identity theft, the issue of privacy is substantial reason many people
seek non-probate methods for distributing their assets upon death.
This Web site is intended for general information purposes only. It does not nor is it intended to constitute legal, tax or investment advice. United Financial Systems, Corporation is not a lawyer, registered investment advisor or investment advisor representative, and is not engaged in the practice of law or the business of investment advice.