Many families in Michigan believe that a will automatically avoids the probate court. Unfortunately, this is the most common misunderstanding in estate planning. While a will is the most important document in estate planning, it does not necessarily avoid probate in Michigan.
At the People’s Firm PLLC, we help our clients understand how probate works and how estate planning can help protect their assets and loved ones. In this blog post, we will answer the most asked question, “Does a will avoid probate in Michigan?” and explain how probate and estate planning work in Michigan.
Understanding the Michigan Probate Process
The Michigan probate process is a legal procedure that settles and distributes a deceased person’s estate. The probate process ensures all debts of the deceased person is paid and the estate is distributed according to Michigan inheritance laws. When the deceased person does not have a will, the probate court may supervise:
- Appointment of a personal representative
- Inventory of estate assets
- Payment of debts and taxes
- Distribution of assets to beneficiaries
The Michigan probate process is naturally complex and lengthy depending on the size of the estate, credit claims or family disputes. However, when you have a proper estate plan and a will, your estate is distributed on your wishes, meaning the probate process becomes less complicated and lengthy.
What Happens During Probate?
In Michigan, the probate process begins when an interested party files a petition with the probate court of the deceased person’s county. If an estate plan exists for the deceased person, their will is submitted to the court for validation. The court may then appoint an executor named in the will as a personal representative responsible for managing the deceased person’s estate.
If there’s no will. The probate court appoints a personal representative and distributes the estate according to Michigan intestate succession laws.
The personal representative must then:
- Identify estate assets
- Notify beneficiaries and creditors
- Pay debts and taxes
- Handle estate administration
- Distribute remaining assets to heirs or beneficiaries
How to Avoid Probate in Michigan
One of the most common estate planning questions is, “How can I avoid probate in Michigan?” While some estates may still require probate proceedings, several estate planning strategies can help minimize court involvement, simplify asset transfers, and speed up the distribution process for your loved ones.
Potential legal tools to avoid or reduce probate in Michigan include:
- Revocable living trusts
- Joint ownership with rights of survivorship
- Payable-on-death (POD) bank accounts
- Transfer-on-death (TOD) investment accounts
- Beneficiary designations for retirement accounts and life insurance policies
- Transfer-on-death deeds for real estate
- Small estate affidavits for qualifying estates
Revocable Living Trust
A revocable living trust is the best way to avoid probate in Michigan. When assets are transferred to a trust, legally owns the properties. After death, the successor trustee becomes responsible for all the assets under the trust’s name. The successor can then distribute assets directly to the beneficiary without probate involvement.
Trusts are commonly used for;
- Bank accounts
- Business interests
- Real estate
- Investment accounts
At The People’s Firm, we educate our clients on the benefits of establishing a trust as it offers greater privacy and simplifies asset transfer to loved ones.
Wills vs Trust in Michigan
Understanding wills vs trust can help you communicate your requirements better with an estate planning attorney. While both legal tools help in transferring your estate to your loved ones, they serve different purposes.
Feature | Will | Trust |
Goes through probate | Usually yes | Usually no |
Public record | Yes | No |
Effective during lifetime | No | Yes |
Controls incapacity planning | Limited | Yes |
Court supervision required | Often | Usually avoided |
When Does a Will go Through Probate Process in Michigan
A will goes through the probate process when the deceased person owns all the assets under their name as a sole owner. Even if a valid will exists, the probate court may still need to oversee asset distribution and debt payments.
In most cases, the probate court becomes necessary when there is no clear asset distribution mechanism. This may include properties without beneficiary designations, real estate titled solely in the deceased person’s name and individual bank accounts. To avoid probate, we often advise our clients to establish a revocable living trust – especially for real estate.
A will commonly goes through the probate process when the estate includes;
- Individually owned real estate
- Bank accounts without payable on death designations
- Vehicles titled solely in the deceased person’s name
- Personal property and valuables
- Investment accounts without transfer on death beneficiaries
- Business interests owned individually
Key Takeaways
So does a will avoid probate in Michigan? Not in most cases. Unless you have a trust established under your name, the probate court of the deceased person’s county will evaluate the will for legitimacy. At the People’s Firm PLLC, we guide our clients through estate planning and ensure they create a plan that best fits their requirements and asset value.
For Michigan families, proper estate planning involves more than simply setting up a will. There are other legal tools that either minimize or avoid probate court if drafted carefully by an estate planning attorney. We make sure our clients understand estate planning before they get into its process.
Our methodology is to explain complex legal terms and ideas into simple language helping our clients create customized estate plans to safeguard their loved ones. For more information, you can call (313) 914-7783 for Dearborn and (517) 258-0368 for Lansing.
