How can I protect assets from probate?

When creating or updating your estate plan, one way to protect assets from probate in Pennsylvania is to create a living trust. A living trust is a legal document in which a person, known as the grantor, transfers ownership of their assets into a trust created during their lifetime. This trust is managed by a trustee, and it may allow the grantor to designate who will receive assets after their death. Additionally, a living trust allows assets to be transferred outside of the probate court, thus avoiding the court’s processes and fees. Creating a revocable trust is another way to protect assets from probate. Unlike a living trust, a revocable trust is revocable, meaning that it can be amended or terminated during the grantor’s lifetime. Revocable trusts are a popular way to manage assets both during the grantor’s life and after death. Transferring assets to a joint tenancy with right of survivorship is a third way to protect assets from probate in Pennsylvania. This type of ownership allows two or more people to own the same asset, and when one person dies, the other(s) automatically receive the deceased’s ownership. This is a simple and effective way to transfer ownership of assets to the surviving owner without going through the probate court. Finally, certain types of retirement accounts, such as IRAs and 401(k)s, are also not subject to probate, as they are generally passed directly to a beneficiary upon the death of the owner. Although most assets are subject to probate in Pennsylvania, these methods of protection may help you to keep your assets out of the court’s reach.

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How can I protect assets from probate?

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