Probate is the legal process through which a deceased person's estate is administered. While it serves a necessary function in settling debts and distributing assets, it can also be time-consuming and expensive. In Ohio, probate can take anywhere from several months to over a year, and costs can include court fees, attorney fees, and other administrative expenses. By understanding these implications, you can take steps to avoid the probate process altogether.
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Transfer on Death vs. Payable on Death
Many families choose to include a payable-on-death (POD) or transfer-on-death (TOD) designation in their estate plan. Both these designations allow the assets in the account to pass to a chosen beneficiary when the original owner dies. POD and TOD accounts have many benefits.