When Is Probate Required in California?
Planning for what happens after you’re gone is understandably overwhelming, but it’s important to ensuring your loved ones are taken care of.
One area that often confuses people is probate—especially in California, where the rules can feel a little tricky. If you’ve heard the term but aren’t exactly sure when probate is necessary, you’re in the right place.
At Desert Law Group, we’ve been helping families in the Coachella Valley, Indian Wells, and Palm Springs area for about 25 years with estate planning and probate services. Although these legal matters can be complex, we clarify the process and guide our clients every step of the way.
In this article, we’ll break down the basics to help you understand when probate might be required and why it matters.
What is the Probate Process in California?
Probate is essentially the legal process of handling someone’s estate after they pass away. It’s a court-supervised procedure that ensures everything is handled according to the law.
Here’s a simple breakdown of what probate typically involves:
- Validating a will (if there is one)
- Identifying and valuing assets of the estate
- Paying off debts and taxes
- Distributing the remaining property to heirs or beneficiaries
Key Roles in Probate
Two main roles are important during probate: the executor and the administrator.
- Executor: An executor is named in the will to manage the estate. Their job is to carry out the wishes outlined in the will.
- Administrator: If there is no will, the court appoints an administrator to handle the estate, following California’s laws of intestacy (rules about who inherits property when there’s no will).
California Probate Code
California follows specific rules, known as the California Probate Code, which governs how probate works. These laws outline everything from how to start the probate process to distributing assets.
Probate is a lengthy process, and understanding the law helps keep things on track.
Timeline
One thing many people don’t realize is how long probate can take. It’s not always a quick process—it can sometimes drag on for a year or more, depending on the size and complexity of the estate.
That’s why it’s crucial to know when probate is required and when it might be avoidable.
When Is Probate Required in California?
In California, probate is not always necessary, but certain situations do call for it. Probate is generally required when the estate’s value exceeds a specific monetary threshold or when certain types of assets are involved.
Estate Value Threshold
Currently, if the combined value of assets for someone who died on April 1, 2022 or later, is less than $184,500, the estate will typically need to go through probate. This threshold only applies to probate assets (not everything the person owned).
If the estate is under this value, there may be simpler procedures to settle the estate without full probate.
Assets Subject to Probate
Not all assets need to go through probate. Here’s a quick look at which assets usually do:
- Real estate that is solely owned
- Bank accounts without a payable-on-death (P.O.D.) beneficiary
- Stocks and bonds held only in the deceased person’s name
- Personal property, such as vehicles, jewelry, or furniture
When Probate May Be Avoided in California
The good news is that probate isn’t always required. There are several scenarios where you might be able to avoid probate altogether.
Small Estates
As noted, California offers a simplified process for estates valued at $184,500 or less (as of 2024). This means you won’t have to go through the full probate court process. Instead, there are shortcuts, like filing an affidavit to transfer certain assets.
Assets Not Subject to Probate
Certain assets don’t need to go through probate. These typically include:
- Living Trusts: If the deceased created a living trust, the assets placed in the trust are managed according to its terms and skip probate entirely. This both speeds up the process and keeps things private, as trusts aren’t part of public records. This also protects your privacy.
- Joint Ownership: Assets held jointly with the right of survivorship, such as homes owned by spouses with survivorship, would transfer to the surviving owner without probate.
- Assets With Designated Beneficiaries: Things like life insurance policies, retirement accounts, and payable-on-death (P.O.D.) bank accounts transfer directly to the named beneficiary, avoiding probate.
- Community Property with Right of Survivorship: Property that is jointly owned by spouses often passes directly to the surviving spouse without court involvement.
- Transfer on Death (T.O.D.) Deeds: Real estate can be transferred directly to a beneficiary upon death by using a Revocable Transfer on Death Deed, which allows the property to bypass probate.
- Vehicles and Boats: In California, vehicles and boats can be transferred to a named beneficiary using a Transfer on Death Registration, avoiding probate entirely.
- Assets Held as a Trustee: Assets held in trust for someone else are managed by the trustee and aren’t subject to probate. The trustee follows the terms of the trust to distribute these assets to beneficiaries.
- Spousal Property: California offers a simplified confirmation process through the court, which allows assets to pass directly to a surviving spouse without full probate.
Special Circumstances Requiring Probate
Even in cases where probate might not usually be required, there are some special situations that can trigger the need for probate.
- Outstanding Debts: If the estate has debts that exceed the value of exempt assets, probate may be needed to settle those debts.
- Minor Beneficiaries: When beneficiaries are minors, probate ensures that their inheritance is properly managed until they’re old enough to handle it themselves.
- Will Contests: If there’s a dispute over the will or how assets should be distributed, the probate court will get involved.
- Ancillary Probate: This occurs when the deceased owns property in another state. The property would need to go through probate in that state. If you have real property in multiple states, there will be multiple probate processes.
4 Reasons to Avoid Probate in California
While probate serves a purpose, there are a few reasons people aim to avoid it:
- Cost: Probate can be expensive, with court fees, legal fees, publication cost, and executor fees taking a chunk out of the estate.
- Time: As mentioned earlier, probate can take months or even years to complete, causing delays in distributing assets.
- Public Nature of the Process: Probate is public, meaning the details of the estate, including asset values and beneficiaries, are open to anyone who wants to look.
- Loss of Control: During probate, the Judge at probate court ultimately has the final say in how things are handled.
Benefits of Seeking Legal Guidance
The probate process can be confusing and, at times, frustrating. It’s often helpful to have an experienced attorney guide you through it. Here are a few reasons why:
Complexity of Probate:
Probate isn’t always straightforward. It becomes more complicated when you’re dealing with larger estates, multiple beneficiaries, or unique circumstances like disputes over assets.
An attorney will help manage these complexities, ensuring that all legal obligations are met and deadlines are followed.
Avoiding Mistakes:
Probate involves paperwork, court filings, and specific procedures must be followed. A single mistake, like missing a deadline or improperly valuing an asset, can slow everything down. An attorney ensures everything is done correctly, reducing the chances of costly errors.
Peace of Mind:
Losing a loved one is hard enough without the added stress of legal matters. A veteran probate attorney can take much of the burden off your shoulders, offering you peace of mind during a difficult time.
They handle the legal details so you can focus on healing and supporting your family.
Need Help with Probate in California? Contact Desert Law Group
If you’re dealing with probate or have estate planning questions, reach out to Desert Law Group at 760-239-5661. We’ve been serving families in Coachella Valley, Indian Wells, and Palm Springs area for about 25 years, and we’re here to help guide you step by step through the process.
