Do Estates Always Go Through Probate in New Jersey?
When a loved one passes away, family members are often left wondering how the estate will be handled under New Jersey law. Probate is the legal process of validating a will and overseeing the distribution of assets, but not every estate is required to go through the full probate process. At Poulos LoPiccolo PC, we have deep experience with estate planning and probate law. Here, our New Jersey estate planning lawyer highlights strategies that you can use to reduce your risk of probate.
Starting Point: Know When Probate is Required in New Jersey
Probate is the formal legal process through which a person’s estate is finalized and their assets are passed down to the proper heir. Probate ensures that the will is validated and that an executor has the authority to manage and distribute assets. In New Jersey, probate is often necessary when a person passes away leaving assets solely in their own name (without beneficiary designations or joint ownership).
An Overview of Assets that Can Avoid Probate in New Jersey
Not every asset must pass through probate. Indeed, certain categories of property automatically transfer outside the probate system. Here is an overview of the three most common examples:
- Jointly owned property with right of survivorship, which passes directly to the surviving owner.
- Life insurance policies and retirement accounts with properly designated beneficiaries.
- Payable-on-death (POD) and transfer-on-death (TOD) accounts, which go directly to the named person.
These assets can be distributed quickly and efficiently, offering loved ones some financial relief without waiting for the probate process to unfold. The key is ensuring that beneficiary designations are up to date and ownership structures are clear. A New Jersey estate planning attorney can help.
Small Estates May Be Able to Skip Probate Altogether
It should be noted that New Jersey has a simplified probate procedure that functions much like a “small estate affidavit.” It applies in certain limited situations where the estate is small and uncontested. Here are the two key times an estate may qualify:
- When there is a surviving spouse or domestic partner: If the decedent’s estate is valued at $50,000 or less, the surviving spouse or partner can file an affidavit with the Surrogate’s Court to collect the assets without going through full probate.
- When there is no surviving spouse or partner: If the estate is worth $20,000 or less, one heir may file an affidavit to receive the assets, provided they obtain written consent from the other heirs.
Speak to Our New Jersey Estate Planning Attorney Today
At Poulos LoPiccolo PC, our New Jersey estate planning attorney has the knowledge and experience that you can rely on when it matters the most. If you have any questions about estate planning and probate, we are here to help. Contact us today for a fully confidential initial case review. Our firm provides estate planning and probate representation throughout New Jersey.
