How Long Does It Take to Probate a Will in Alabama?
Probate, by definition, means to establish the validity of a will. In other words, it's a legal process of settling an estate after the testator's passing.
In the state of Alabama, when an individual passes away, the probate court appoints the executor named in the will. If an individual dies intestate—without a will—the probate court will appoint an administrator to handle the estate.
Whatever the case, it's likely that the loved ones you leave behind will have to deal with probate. This can become quite complex, costly, time-consuming, and stressful if they're not prepared or knowledgeable about the official process.
Having said that, we're going to cover the amount of time it actually takes for the probate process to conclude. We'll also cover what to expect during the process, who's responsible for what, and how to prevent the entire event from dragging on.
How Long Does It Take to Probate Wills in Alabama?
By law, a full estate administration in Alabama cannot close sooner than six months after the court appoints the personal representative. That is because creditors have that long to file claims for any unpaid debts. It also gives the executor of the estate enough time to review any wills and trusts left behind, locate the named beneficiaries, and create a complete inventory of the estate, if required, and carry out any unresolved issues.
Of course, the actual length of time for the probate process to conclude will vary based on several factors. For example, an estate with real estate to sell, significant debts, or tax issues will usually take longer than six months. Or, if someone decided to contest any part of the will, there will be more uncertain delays.
Additionally, suppose complicated claims have been involved that need to be litigated. In that case, probate can take up to a year or several years to finish processing.
Lastly, assets you place in a living trust during your lifetime bypass probate. A trust created by your will does not, because its property passes through probate first. The actual will, however, must be probated.
How Does the Probate Process Work?
The probate process involves several stages from start to finish. Here's a quick overview of each part of the process:
First, the executor named in the will or the court-appointed administrator must contact banks, insurance companies, utility providers, pension companies, and any other institutions collecting payments from or holding assets for the deceased. Asset holders may be asked for each asset's value at the date of death, which goes into the estate's inventory.
Next, if the individual left a will, the executor asks the probate court to admit the will to probate and issue letters testamentary. If there is no will, the person seeking appointment petitions for letters of administration instead. After letters are issued, a notice to creditors is published.
Now it's time to ensure that the assets will be released promptly. For this to happen, the executor must send an official copy of the letters testamentary or letters of administration to the asset holders in addition to a request for the funds to be released. Once these assets are resolved, the executor must pay any debts of the estate before they can move forward. This could include funeral costs, tax bills, credit card balances, loans, and other bills.
Once the above debts have been paid, the rest of the estate can be distributed appropriately among the named beneficiaries. However, suppose there are no wills or trusts left behind by the deceased. In that case, the asset distribution will be handled accordingly with the Alabama Intestate Succession laws.
The personal representative is also expected to keep estate accounts. Estate accounts entail documents confirming how the assets and money were distributed from the estate. Details and records of any debts paid must also be included. At final settlement, the personal representative usually files a sworn account with the probate court, and interested persons receive notice.
These records need to be adequately maintained.
Is There a Specific Time to File for the Probate of an Estate?
Under the Alabama Probate Code, a will generally must be filed for probate within five years after death, or it cannot take effect. Probate can be filed by the named executor, any beneficiaries named in the will, or anyone with a financial interest in the estate.
If the will is not filed within that period, Alabama law will treat the estate as intestate. In other words, it will be treated as if there were no will (even if one exists), and the distribution of assets will follow the state's succession laws. This could result in a different distribution of assets from what the deceased had intended when planning for their estate.
Do All Estates Have to Go Through Probate?
Technically, not all estates will have to go through a lengthy probate process. There are several instances when complete probate won't be necessary, including when the property or assets pass straight to another person in a trust or when the estate falls under the "small estates" rule.
In Alabama, an estate is considered small if it doesn't include real estate that must go through probate. Its personal property must also be worth no more than the current small-estate amount ($47,000 through March 31, 2027, and $51,175 after that), and the decedent cannot leave a minor child who is not also the surviving spouse's child. In this case, the family may be able to use Alabama's simpler summary distribution procedure.
Additionally, heirs can collect small-estate assets once the probate court enters its distribution order, which cannot happen until at least 30 days after the notice is published and Medicaid is notified.
Common Probate Fees
Probate costs will vary from estate to estate, but the most common fees you can expect to pay include the following:
Court fees
Filing fees
The Alabama attorney fees
Compensation for the personal representative (a reasonable amount, generally capped at 2.5 percent of the property handled plus 2.5 percent of disbursements)
Other professional fees such as accountant, appraiser, and land surveyor fees
A probate bond, which the personal representative usually must post unless the will waives it (even then, the court can require one if the estate appears at risk)
Miscellaneous fees
All of the above fees and general costs revolving around estate probate are expected to come out of its total value before the distributions are made to its beneficiaries.
Are There Ways to Avoid Probate in Alabama?
In most cases in Alabama, some form of a probate process will have to take place to ensure the validity of the deceased's last will and testament and the estate's overall value. In addition, of course, probate is also necessary to ensure that debts are paid accordingly.
However, there are many ways where probate can be avoided or limited. These instances include the following:
The estate's value is below the small estate threshold (as mentioned above).
There are trusts present along with the will. A living trust keeps the assets you place in it during your lifetime out of probate. After your death, your successor trustee manages and distributes those assets under the trust's terms, though assets in a revocable trust still count for estate tax purposes.
Accounts and assets have been made into a Transfer/Payable on Death (TOD; POD). This technically works as living trusts do. However, only the estate owner still has full ownership of their accounts until they pass. Once they pass on, whoever is named on the account immediately becomes the acting owner.
If you have a sizable estate and wish to avoid probate as much as possible, a funded living trust and TOD or POD designations on your accounts may help.
Who Should Probate a Will?
Generally speaking, the named executor in the will of an estate is the person who should probate the will. In most cases, the executor is someone the estate owner trusts, such as a family member or close friend.
Of course, if there isn't a will or if the will fails to name an executor, the probate court will name an administrator to handle the probate process.
The probate process in Alabama can be lengthy and costly. That's why it's crucial to plan your estate appropriately so that you can save the loved ones you leave behind a lot of time, money, and frustration.
If you have been named executor in a loved one's will, or you have questions about the probate process, contact us today to schedule a consultation with Ty Shepard, who handles probate and estate administration. If you are planning your own estate, Sarah S. Shepard can help you choose an executor and decide whether a living trust makes sense.