Probate is the process in which the estate of a deceased person gets resolved. In this process it gets probed that the testator's will is genuine and decides the executor as the personal representative of the estate. It gets interpreted what the decease person wanted to do with his state.
Probate usually takes several months and it can be quite expensive.
Some of the ways to avoid probate in the US are the following:
- Execute a living trust.
- Set up a POD or paid on death designations on bank accounts
- Set up of a TOD transfer on death on brokerage accounts.
- Placing the property in joint tenancies (the person that survives inhalers the other party estate). A life estate deed could be executed and a testator can add a named beneficiary to it.
Note that avoiding probate does not eliminate the estate taxes.
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