Probate in Texas: Which Assets Go Through the Process

If you think you are too young to create an estate plan, you are not alone. But experts recommend making this plan as early as possible. Estate planning can relieve confusion and make things easier for your loved ones when you die. Also, you may want to help your loved ones avoid the stress associated with the probate process. You should consult an attorney who can walk you through the estate planning process and help you create a valid plan.

If you die without an estate plan in place, the court decides how to divide your assets and who gets what. If you have wishes for how your money is distributed among your beneficiaries and heirs, you must speak with an attorney. Your lawyer can help you make a legally binding plan that executes your wishes.

Assets that Go Through Probate

Without an estate plan, nearly all your estate assets need to go through probate. If an account or asset does not have a designated beneficiary, a judge needs to determine who must get it after your death. In general, priority goes to the closest family members. Often, the judge will prioritize your spouse and kids. If you have a spouse but no children, your entire estate goes to your spouse. Things can get complicated if you have a spouse and children.

Assets that Do Not Go Through Probate

Below are assets that automatically avoid probate.

• Assets in a trust. Any assets placed in a trust are exempted from probate.
• Property owned by several individuals with a right of survivorship. When one of the owners of this property dies, the other owners automatically own it. Thus, this property avoids any type of probate litigation.
• Transfer-on-death accounts. Some types of bank accounts can be set up in a way that they can be transferred to another individual when the account owner passes away. But before the death of the owner, such accounts need to be designated as transfer-on-death accounts.
• Insurance policies. These include life insurance policies which let a deceased person pass insurance payouts to a beneficiary upon their death.

What If You Want a Charitable Cause to Get Some of Your Assets?

In probate, this is not an option. To continuously support an important cause or charity, speak with your attorney about setting up a foundation or trust. You can explore different options to support causes with some of your assets after your death. An attorney can help you understand more about estate planning and how they can help you and the people you love.