The death of a loved one is always difficult, particularly if you're named as an estate executor. Unfortunately, the probate process is often tricky and lengthy to navigate if you're unfamiliar with the procedures and laws in your state. But how long does probate take in Tennessee, and are there ways to shorten the process?

When Is Probate Necessary in Tennessee?

Not every estate needs to go through probate, and even if the estate as a whole does, certain assets are exempt. These are:

• Joint assets. Anything the deceased owned in conjunction with another person, such as a spouse or partner, will revert to the ownership of the surviving co-owner.
• Payable-on-death bank accounts. If the deceased had a payable-on-death bank account, the balance passes straight to the named beneficiary without the need for probate.
• Life insurance proceeds transfer directly to the named beneficiary.
• Pension and 401(k) funds, if they have a named beneficiary, are not subject to probate.
• Living trust assets are no longer counted as the deceased's property upon death and automatically become the property of the named beneficiary.

Another case where probate is unnecessary in Tennessee is if the combined value of the estate’s assets does not exceed $50,000. In this case, it is counted as a "small estate," and the estate executor can choose a more straightforward procedure. To achieve this, the estate executor files an affidavit with the local probate court, which then authorizes the estate executor to immediately distribute the assets without further court intervention.

How Long Does Probate Take in Tennessee?

Like many legal processes, the answer to this varies considerably. Typically, the whole process of probate takes anywhere from six to twelve months. This starts with the 60 days that the estate executor is given to compile a list of assets and submit them to the court, as well as notifying creditors and requesting a release of any claims from the state's tax authorities and TennCare, Tennessee's Medicaid agency.

Creditors then have a four to twelve-month period to lodge their claims against the estate. As soon as this is completed, the estate executor can dispose of the estate's assets. Of course, all of this is usually a very stressful experience. It is a good idea to hire the services of an experienced probate lawyer to assist.

However, it is possible to speed up the process if the estate is classed as a small estate with a value below $50,000. Once the affidavit is filed, there is a 45-day waiting period, after which the estate executor can immediately dispose of any assets. An added benefit to this process is that it is very simple and can save you money in legal fees. However, bear in mind that, should someone contest the will or, in the event of the deceased being intestate, the administrator's decisions, full probate will begin.

Probate Shortcuts

The period for settling a small estate is far shorter than that for an estate that needs to go through the complete probate process. However, while $50,000 might seem like a large sum to many people, any real estate owned in sole name by the deceased is almost certain to pass this threshold.

But are there legal ways to circumvent this and bring the estate's probate value below the $50,000 threshold to qualify as a small estate? Fortunately, the answer is yes. Here are a few examples of how to accomplish this, although they do need execution prior to the death of the estate owner:

• Sign properties into joint ownership so they pass to the surviving co-owners after the estate owners' death.
• Move assets into living trusts. A living trust is an excellent way to retain the use of assets while you're alive and still have them pass automatically to a named beneficiary on death without the need for probate.
• Set up payable-on-death bank accounts. Again, these are exempt from probate, and you can still access the cash while alive and pass it onto the named beneficiary upon death.
• Move cash into pension funds. Pension funds require a named beneficiary and, as well as being tax-efficient, provide a convenient way to avoid probate.

So, if a loved one has mentioned to you that they are considering naming you as their estate executor, it could be worth having a discussion about some of these options. If their estate is particularly large and complex, it's probably worth consulting an attorney specializing in estate planning. However, if the estate is easily manageable, an attorney is not required and will only add unnecessary fees.

Need help with probate?

ClearEstate can help. We are estate professionals specializing in estate settlement in Tennessee - with decades of estate administration. We can guide you through the entire probate process, and help you get your peace of mind back. Schedule a free, no-obligation 30-minute consultation today!