When someone dies without an estate plan, they may unintentionally be putting their loved ones through the stress of probating an estate with no will or other planning documents. However, even with planning, there can be delays that are unavoidable. Probate, or the process of distributing someone’s assets after they die, goes through a specific process that can vary depending on the size and complexity of the estate. Delays during probate can create a significant burden on the family of the deceased.
What Causes Delays During Probate?
In most cases, settling an estate through probate in Arkansas takes between six months and two years. A variety of factors can impact the length of time it takes to complete probate and close an estate. As long as beneficiaries and assets exist, however, even estates with a valid will are required to go through the probate process; how that process looks, though, depends on how an estate was planned.
Contested Will
There are many reasons that a will can be contested, from a disagreement between beneficiaries to questions about the will’s validity. Taking the extra time to do an investigation can add a lot of time to the process. Avoiding beneficiary disputes isn’t always possible, but there are certain strategies you can take to avoid a delay. Otherwise, you may find that beneficiary disagreements can add significant time and expenses to the closing of the estate.
Property in Multiple States
While owning property in Arkansas means that you must abide by Arkansas laws, property owned in another state can be an entirely different matter. Owning property across multiple states means that each state’s laws must be followed, including going through that state’s probate process.
Multiple Beneficiaries
Naming several beneficiaries may be in line with your wishes, but it can also take extra time to handle in probate court. Each beneficiary must be notified at different steps of the process. Instead, look for methods to distribute your assets that can avoid probate.
Creditors
Many people die with debt. First, the executor must determine whether the debts are legitimate before sending out a notice to all valid creditors. Once notified by the estate, creditors have up to the six-month mark in order to file a claim, which further delays the closing of the estate. Then, the executor may need to get finances in order, including liquidating or combining assets, to ensure that all creditors are fully paid.
Taxes
Despite having no inheritance or estate taxes, residents of Arkansas may still be required to pay certain taxes – even after death. Some estates may be required to file federal income tax returns. These forms take months to process, and require the authorization of the IRS before closing the estate. Additionally, estates over a certain amount may be subject to other federal taxes.
Executor Choice
Choosing the wrong executor – or not choosing one at all – can have a negative impact on the way an estate is handled. Sometimes the chosen executor has other obligations, or Arkansas probate courts name an unwilling administrator. An executor or administrator has an important job in ensuring that probate runs smoothly, but the wrong choice can have the opposite effect.
Can Probate Be Avoided?
A well-planned estate is the most effective way to ensure that your family and loved ones don’t experience the frustrations, stress, and costs of delays. Although some assets may be required to go through probate, you can ensure that the process goes smoothly by speaking with an estate planning attorney at L. Jennings Law. We can help you find the right estate plan to reduce the impact of probate while preserving your legacy. Contact us today to learn more about our estate planning services in Arkansas.