In addition to ensuring that the decedent receives an appropriate funeral, his or her affairs will need to be placed in order. If there is a written estate plan, this process can be greatly streamlined. A personal representative will need to determine both the assets and the liabilities of a decedent. The personal representative will then need to satisfy the liabilities and ensure that the assets are distributed to the appropriate parties. Whether the person died with or without an estate plan will determine who and what steps need to be taken. The personal representative will also need to ensure that all appropriate tax returns are filed.

Probate (or "estate administration") is the court proceeding that allows all of your debts to be settled and the remaining property to be distributed to your heirs. A probate will be necessary if a person dies without a will or with a will and owns property in his individual name. A will always requires probate. However, a probate is only effective to transfer property owned by a person at his or her date of death. Therefore, if an asset either passes through joint tenancy, beneficiary designations, pay on death designations or was owned by a trust, a probate would not be necessary as to that property.

By law, estates cannot be closed sooner than six months from the date of death. In practice, non-taxable estates are typically concluded within seven to nine months. A taxable estate requires a tax return to be filed within nine months of death. The estate cannot be closed until the IRS releases the estate, which can take several months. Of course, disagreements among the beneficiaries, disputed creditor claims, tax issues or complicated assets can slow down the process.

If someone who owed you money died, you must act promptly in order to recover your funds. If a probate is opened, you may receive actual notice in the mail or may see a notice to creditors in the newspaper. It is important that a claim is filed with the probate court showing the court the amount and type of debt the decedent owed you.

If the decedent had a revocable living trust, it is important for you, as soon as you learn of the death, to contact the trustee and present your claim. At such time, you will have to go through the judicial steps necessary to collect a debt if the trustee is not willing to pay.

No. All powers of attorney, regardless of type, are terminated by law at death.

Yes. A will only becomes effective if a court proceeding is timely instituted to prove the will is valid and to appoint a personal representative to administer the estate.

7.    What assets go through probate?

The probate estate includes assets that were owned by the individual on his/her date of death. It also includes the IRAs, 401k's, and life insurance policies that show the owner's estate as the beneficiary. Assets such as joint tenancy accounts, pay on death accounts and life insurance policies paid to a beneficiary other than the decedent's estate would pass outside of probate and not go through the court process.

Rev. 4/06