What is the difference between intestate and non-probate assets?

Intestate succession law applies to the distribution of assets when a person passes away without leaving a will. Non-probate assets, on the other hand, are those that do not need to go through the probate process and can be passed directly to the intended beneficiary. The biggest difference between intestate and non-probate assets is the way they are handled when a person passes away. With non-probate assets, a person can designate a beneficiary and the asset will transfer directly to the beneficiary upon the person’s death with no need to go through the probate process. Intestate assets, on the other hand, must go through probate before they can be distributed to the rightful heirs. Non-probate assets typically include things like retirement accounts, life insurance policies, and bank accounts that have a designated beneficiary. These assets transfer directly to the designated beneficiary without having to go through probate court. Intestate assets, however, cannot be transferred to a beneficiary. Instead, they are distributed to the heirs according to the laws of intestacy. This means that the assets are often split among family members according to the state’s rules of inheritance. Both intestate and non-probate assets can be important resources when a person passes away. It is important to understand the differences between the two so that you can ensure your assets are handled in the way you want. Non-probate assets are often simpler and easier to manage, while intestate assets require more paperwork and time to transfer to the heirs.

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What is the difference between intestate and non-probate assets?

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