Sandra found her father's will within days of his passing. Relieved, she assumed the will would settle everything: the house, the car, and his savings account would pass directly to her and her brother.

Instead, she still had to file paperwork with the probate court and await a judge's approval before the home could be sold.

Like Sandra, many people believe a will keeps an estate out of probate. In Maine, the two often go hand-in-hand.

Is Probate Needed If You Have a Will?

Probate is the court process for settling an estate's debts and transferring assets to heirs.

A will guides probate by stating how the person who died wanted their estate to be distributed. Depending on the value and type of property, however, probate isn't always necessary. For example, an estate may avoid probate if all the assets can pass outside of it, such as:

• Jointly owned assets with right of survivorship
• Payable-on-death/transfer-on-death accounts
• Retirement and other financial accounts with named beneficiaries
• Life insurance proceeds paid directly to beneficiaries

Why Is a Will Not Enough to Avoid Probate?

Probate laws vary by state. Maine has established a dollar value threshold for what it considers a "small estate,” which includes assets like vehicles or other personal property.

In Maine, if the estate assets exceed $50,000 (adjusted annually for inflation), probate is often required.

Real estate needs some form of probate or planning unless:

• It's in a trust
• It has a valid transfer-on-death deed
• It's jointly owned with right of survivorship

If real estate is worth less than the threshold but was titled solely in the deceased person's name (without a transfer-on-death deed or joint owner), probate could be required to transfer ownership. For advice, talk to an attorney experienced with the probate process.

Should I Have a Trust in Addition to a Will?

For many small or simple estates, a will is enough. Factors like owning real estate, having minor children, a blended family, or more complex planning goals may call for the creation of a trust.

For instance, if you own property outside of Maine, like a winter home in Florida, without a trust, the estate may have to go through ancillary probate — court proceedings in two separate states. 

Compared to wills, trusts are generally more expensive and complex to set up. In many cases, a trust can reduce or remove the need for probate, keeping the transfer of your assets private. It lets you state when and how your heirs will inherit and who will manage those assets. 

Probate: What a Will Does and Doesn't Do

Because every situation is unique, having a will might not avoid probate entirely. But when you state your wishes within one, it eases the process.

And once you have an estate plan, it's not a “set it and forget it” solution. When your life changes, often your estate plan should change, too. Remember to review your estate plan every three years or whenever there's a birth, marriage, divorce, or another major transition.

An experienced attorney can suggest strategies to simplify the estate administration process. For a consultation, contact us online or call (207) 377-6966.