What to Do When a Loved One Dies Including Probate

WHAT TO DO WHEN A LOVED ONE DIES

         This post will give you a brief overview of what you should do when a loved one passes away.  If your loved one has passed away, I am sorry for your loss.  These are the things that are typically done when a loved one dies.

•  Make funeral arrangements

•  Order death certificates both with and without cause of death, typically five of each

•  Notify the newspaper with obituary information

•  Notify the Veteran's Administration if the decedent was a veteran

•  Notify the Social Security Administration to stop payments for the decedent.  Usually, the funeral home will do this automatically.  If Social Security was direct deposited, they will automatically withdraw any unearned payments.

•  If you are a surviving spouse, contact the county property appraiser’s office and apply for the $500 widow’s/widower’s tax exemption for your home.  This will lower your annual real estate tax bill.

•  If you are a surviving spouse, apply to Social Security for the $250 burial benefit.  Note that this is only available when there is a surviving spouse.

•  Determine the value of the net estate to determine if any estate taxes are due.  Estate taxes are also known as inheritance taxes or death taxes.  Estate tax exemptions are presently 15 million dollars for a single person and 30 million dollars for a married couple.

•  Obtain a written valuation of the decedent’s assets to prove to the IRS what the values were at the date of the decedent’s death to obtain the “step-up basis”.  The step-up basis is a good provision in the Internal Revenue Code which states that, when you inherit property, your basis for capital gains purposes is the value at the date of the decedent’s death.

•  Determine what tax returns need to be filed and retain a CPA if necessary.  Tax returns that may be due include the decedent's final income tax and intangible tax return, taxes on the decedent’s IRA's and retirement accounts and a 706-estate tax return

•  Determine which assets, if any, need to be probated. Keep in mind that many types of assets often do not go through probate such as IRA’s, retirement accounts and life insurance.  Also, joint bank accounts or accounts that were owned by the decedent POD (payable on death) for another person.  If you are unsure which assets, if any, need to be probated, Olsen Law Group would be pleased to assist you in making that determination.

•  The law requires that, if the decedent had a will, whoever has possession of the will shall put the original will on deposit with the probate court in the county where the decedent resided within 10 days of the decedent’s death.

•  For any real estate owned by spouses, record a certified copy of the spouse’s death certificate (without cause of death) in each county where they owned property.

•  I recommend that you leave the decedent’s name on at least one bank account so that, if any checks arrive that are payable to the decedent, the check can simple be endorsed “for deposit only” and deposited into the account without the decedent’s signature.

 WHAT SHOULD I DO NOW?

         Olsen Law Group offers a free initial consultation regarding doing probate for a loved one.  We can do that initial consultation by phone, zoom or in person (your choice.)  Call the Olsen Law Group at (407) 423-5561 to schedule your free estate planning consultation.