Writing a will is an important part of estate planning. Yet, it’s also the departure point for the estate administration process that begins after your passing. Probate is the process in which a court reviews the contents of a will and provides legal authority for the named personal representative or executor to act on behalf of the estate. Most estates will need to send the will through probate in Alberta, depending on the size and contents of the estate assets. For example, any estate with real property that was not jointly owned (such as with a spouse) will need to face this probate process.

This process can be a stressful experience for families, even with a probate lawyer in Edmonton supporting them. Many wish to find ways to minimize the necessity of probate on their estate. Let’s briefly review a few strategies you may choose to employ to reduce the potential future burdens of the probate process.

Confirm Beneficiaries for Primary Assets

If you have life insurance policies or registered assets, such as savings or retirement accounts, beneficiary designations can allow you to keep these assets away from the estate entirely and thus away from the probate process. It is best for you to complete beneficiary paperwork for these assets to ensure you have named an individual to receive the proceeds in the event of your death. Registered assets that allow you to designate beneficiaries include RRIF, TFSA, RRSP, and other investment accounts. Beneficiary payouts from these do not form a part of your estate and thus can bypass probate.

Create a Living Trust

A living trust is one of the most popular ways to keep some assets away from the probate process. A living trust is an agreement created during your lifetime in which another individual (the trustee) holds specific assets for distribution to beneficiaries later. Living trusts can contribute to distributions that better align with your wishes. However, proper timing for the transference of assets into the trust is important. Working with a lawyer can help you understand when to transfer control of your assets without undue impacts on one’s quality of life.

Gift Property During Your Lifetime

Some individuals choose to begin gifting assets to children to remove the asset from the estate’s control. However, this process is not as simple as it seems. The legal principle of the presumption of resulting trust means that the law does not see these transfers as gifts, but rather as a means of holding the asset in trust for the estate. Thus, such assets would still be subject to probate. There must be clear, strong evidence of the intention to provide an asset as a gift. Consider discussing this issue with a lawyer before granting any gifts.

Establish Joint Ownership of Real Property

The right of survivorship principle determines that property jointly owned by two individuals passes directly to the surviving owner upon the other’s death. Spouses with joint ownership of all assets may avoid probate under this principle. Establishing joint ownership can simplify the transference of real estate assets, including land, rental properties and one’s home. However, joint ownership can lead to conflict with the other party during one’s lifetime and so it is important to make these decisions carefully.

Find Advice and Insight for Your Estate Today

As we’ve seen, there are ways to mitigate some of the complexity of putting a will through probate in Alberta. When considered and carried out with care, these efforts can provide peace of mind and flexibility for you and your family. However, as we’ve seen, there are complexities and nuances to the law that can make the process more complex.

Collaborating with an experienced wills and probate lawyer in Edmonton can provide access to insight, advice and strategies to minimize how the probate process impacts your family. Explore the options available today when you connect with the team at Lypkie Henderson for a consultation on planning your estate.