Having a will does not eliminate the need for your loved ones to go through the process of probate. In Florida, there is a process loved ones must go through unless you have a trust or a lady bird deed.
So what is the process of probate in Florida and is it a big deal?
Probate is the process of administering a will. Depending on multiple variables, it can take two to six months to complete all the legal paperwork and court approval.
- Petition for Administration – This is the first step. It involves submitting all the required paperwork to the Courts, including the will. When this is completed, the Courts will give a “Letter of Administration.” This will include who the “Personal Representative” is according to the will. This position acts on behalf of the estate and the beneficiaries. All beneficiaries are notified that the estate has been opened.
- Notify Creditors – The second step is for the Personal Representative to notify all creditors that the estate has been opened. This typically includes publishing notices in a newspaper to follow Florida laws. Many times, Personal Representatives prefer to use a professional Legal Council to continue, to keep the process as short as possible.
- Inventory – The third step involves the Personal Representative taking inventory of anything your loved one owned. This stage of probate can be very simple and easy to complete or it could be time consuming and take months. Many variables determine the length of time for probate. When inventory is completed, it must be submitted to the Courts to proceed with the process of probate.
- Closing and Paying Claims – Deadlines are given with probate claims. Once the required time has passed, all claims must be paid in cash or closed. This section of probate can be very complicated for the Personal Representative. All claims must be completed legally in order to continue on in the process of probate.
- Paying Estate Taxes – After claims are paid and completed, estate tax must be paid on the inherited home. Many people do not realize this can cost a lot of money! In Florida, any home over $75,000 requires a 8% property tax. For example, if your villa is worth $200,000, the property tax would be $16,000! Some of our loved ones might have a difficult time getting these estate taxes paid!
- Distribution – When all of the accounting has been approved by the Courts, the sixth step of probate is distribution of all the assets. This included property, bank accounts, specific items such as jewelry or a car and other less common items. The Personal Representative must follow exactly as the will is stated.
- Closing the Estate – The final step required is for the Personal Representative to close the estate by petitioning the Courts to remove them as the Personal Representative. Although it sounds like an automated step, it is critical because it shows the Courts that all has been completed as the will stated and the Personal Representative is no longer obligated to do anything else. This then allows the Courts to close the Estate and any further claims will be rejected.
If this sounds like something you would like your loved ones to avoid, there is another option for them! Read another article titled, “Why Should You Avoid Probate?“
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