If you are creating a will for your estate, there are many elements to consider to ensure that your assets and beneficiaries are fully addressed. From household items to shared property, there are many assets that will go through the probate process upon your passing. In addition to the items that will be passed on to beneficiaries through the probate process, it is important to know which items and property will not require probate. As experts in estate and personal planning, the team at Sidhu & Associates understands how complex wills can be. That is why we have compiled some information to help you understand what assets pass through a will and what assets do not.
Learn when to update your will.
Common Assets that go Through Probate
The probate process is crucial as it ensures that the will is valid and was truly written by the deceased. Once a will has been determined to be valid, the following types of property and possessions can start to be distributed to beneficiaries:
- Property that is solely owned by the testator and registered in their name. This can be real estate, household items, vehicles, and other property as outlined by the will.
- Shares/portions of property owned as “tenants in common”. For example, the testator may own a share of a business or part of an industrial property.
What Assets do not Pass Through a Will?
Most assets do not need to pass through a will, especially if the testator wrote their will to minimize the amount of probate required. The following assets typically do not pass through a will and are distributed to beneficiaries via other processes:
- Real estate located outside of the province the testator lived in.
- Real estate that was converted to land titles after purchase by the deceased owner.
- CPP death benefits.
- RPPs, RRSPs, RRIFs, and TFSAs with a beneficiary designation or beneficiary declaration.
- RDSPs to which the deceased subscribed but was not a beneficiary.
- Debts owing by the deceased. This can include debts such as credit cards, car loans, or lines of credit that are unsecured.
To learn more about wills, estates, and assets, get in touch with the experts at Sidhu & Associates. We can be reached through our online contact form and will be happy to answer any questions you may have regarding our services.
