When someone passes away and you are appointed as the Executor of their estate, it can be overwhelming. Not only are you legally responsible for ensuring that the terms and conditions of their estate plan are fulfilled, but you’re also still grieving the loss of a loved one. As such, familiarizing yourself with the different aspects of Probate, including the inventory and appraisal processes, is critical. The following blog explores what you should know about these matters, including what assets have to go through this process, and the importance of working with a Medina County, Ohio Probate lawyer to help you navigate these complex matters.
What Does “Inventory and Appraisal” Mean in the Probate Process?
When someone passes away, one of the most important parts of the Probate process is inventorying and appraising of their assets. This entails keeping a comprehensive list of everything the person owned, including their financial accounts, investments, real estate, and even their personal belongings like clothing, books, or artwork. Each asset will be assigned a fair market value so the Beneficiaries of the estate understand how much the estate is worth.
Establishing the value of the estate is critical to ensure that you have a clear idea of how much you owe any creditors with a claim on the estate, and helps ensure full transparency during the Probate process. In addition, getting the value of these items can help reduce family conflict if a family member disputes the true value of an asset.
Under Ohio law, the Executor must file the inventory and appraisal with the Probate Court within three months of assuming this role.
Do All Assets Undergo This Process?
It’s important to understand that not all assets will undergo this process. Assets that go through this process are generally titled only in the name of the deceased with no Beneficiary Designation.
There are a number of common assets that may be held outside of the estate, meaning they do not have to be inventoried or appraised. For example, assets held in most Trust Funds, life insurance policies and retirement accounts with a Beneficiary designation, and jointly owned property with right of survivorship do not have to be taken into consideration during this process. However, if you are the Executor, it’s still in your best interest to make note of these assets as they can impact the estate taxes.
It’s also important to ensure you consider the value of assets often forgotten during this process, like digital assets, family heirlooms, and collections. Even if you do not think something is worth money, it must be inventoried and appraised.
As you can see, the Probate process can be incredibly difficult to navigate, which is why it’s in your best interest to connect with an experienced attorney with Krause Law. Our firm understands how difficult these matters can be, especially when you’re still grieving. That is why our team is committed to making this process as simple as possible. Contact us today to learn how we can represent you.
