Some estates in Illinois can avoid probate court through the use of a small estate affidavit. The time after a loved one passes can be stressful and costly, and a small estate affidavit can help simplify the transfer of certain assets and resolve an estate more quickly. If you are unsure if your loved one’s estate qualifies for this affidavit, talk with an experienced Springfield estate planning attorney.
There are several benefits to avoiding probate, but there are specific guidelines for a small estate affidavit. Comprehensive estate planning during your lifetime can help your loved ones avoid probate and manage your estate more effectively without having to qualify for the affidavit.
Why Is It Helpful to Avoid Probate Court in Springfield?
The probate process is how the state administers, inventories, and distributes the assets and debts in a deceased individual’s estate. All estates go through probate court unless they have comprehensive estate planning. Even if an individual dies with a will, their estate still goes through probate. The probate court determines if the will is valid and provides the named executor or a personal representative with administration authority. This individual follows an in-depth process for paying creditors and distributing assets.
Until assets and debts have been inventoried, known and unknown creditors have been paid, and any disputes have been resolved, beneficiaries cannot receive the assets provided to them in the estate. Probate is a long and complex legal process, and it is also expensive. This can cut into the benefits from an estate.
The process of probate is particularly stressful because it occurs when family members are mourning the loss of their loved one. Avoiding probate can save beneficiaries and loved ones time, stress, and money. They can also recover their assets more quickly and privately. However, the estate must meet specific criteria to avoid probate.
What Is a Small Estate Affidavit?
A small estate affidavit allows you, as a beneficiary or executor, to collect or distribute the assets of a deceased person without going through probate. This allows the near-immediate transfer of these assets at a much lower cost. In Illinois, the affidavit is prepared and then presented to the party who holds the deceased’s assets, along with the death certificate. There is no need to file the affidavit in court. As long as the affidavit is complete and the estate qualifies for the process, the assets will be transferred.
Some of the basic requirements for a small estate affidavit in Illinois are:
- The estate’s gross value is $100,000 or less.
- There are no open letters of office or petitions for letters of office.
- All debts and expenses have been paid.
- There are no known disputes regarding the will or heirship of the deceased.
The property that is valued includes all property in the estate, including assets passing to heirs under intestacy or a will. The party that completes the affidavit must state that, to their knowledge, all creditors have been paid, and there are no disputes with the estate distribution. This makes them personally liable for inaccuracies or unpaid creditors and heirs after the affidavit is complete.
What Are the Advantages and Disadvantages of an Affidavit in Springfield?
The biggest advantage of a small estate affidavit is the saved expenses and faster process. You may have to pay a fee for the form, but these costs are much lower than those of probate. Unfortunately, not many estates qualify for the process, and any errors can reduce the amount of benefits for the heirs. It’s important to consult an attorney to ensure that everything is done properly and to avoid the high risks of personal liability.
FAQs
Q: What Are the Risks of Using a Small Estate Affidavit in Illinois?
A: Some risks of using a small estate affidavit in Illinois to collect on inheritance is that you may be personally liable if other heirs or creditors that were previously unknown come to claim the debt or inheritance they are owed. Going through the probate process can avoid this liability. Small estate affidavits are also only applicable to a certain type of estate, and many do not qualify.
Q: How Does a Small Estate Affidavit Work in Illinois?
A: A small estate affidavit in Illinois allows an estate’s executor or beneficiaries to collect and transfer assets without going through probate. By using this option, beneficiaries and family members do not have to initiate a lengthy and costly probate process, and they can recover the benefits from their inheritance more quickly. The individual can bring the affidavit and a copy of the death certificate to the party that holds the asset, such as a bank, to recover the assets.
Q: Can an Estate Be Settled Without Probate in Illinois?
A: Yes, there are situations where an estate can be settled without the full probate process in Illinois. Estates valued under set amounts may qualify for a small estate affidavit, which allows heirs to transfer assets outside of court. Other estates may qualify for summary administration, which is a simplified process. A more certain way to avoid probate is to create a comprehensive estate plan by using trusts. Trusts can keep assets from entering probate, and you don’t have to worry about meeting the estate value qualifications.
Q: What Is the Dollar Limit for a Small Estate Affidavit in Illinois?
A: The dollar limit for a small estate affidavit in Illinois is the gross value of $100,000. Only estates at this amount or less can qualify for the affidavit and thus avoid probate. There must be other requirements met, including:
- No disputes between heirs about the estate or will
- No real estate owned in the estate unless it was transferred upon death
- Not having already begun the probate process
Family members must actively prepare and execute a small estate affidavit.
Contact Stange Law Firm in Springfield, IL
A small estate affidavit can benefit loved ones who have to administer their deceased family member’s estate. However, family members can also plan ahead and protect their loved ones from the lengthy probate process without having to qualify for this affidavit. If you are interested in using trusts and other estate planning tools to keep your loved ones from dealing with the probate process, contact Stange Law Firm today.
