What is a Probate Asset?

When someone passes away, not all of their assets go through probate. A probate asset is any property or account that must go through the court-supervised probate process to be transferred to the rightful heir or beneficiary. Examples of common probate assets include:

• A house titled in the decedent’s name (even one titled with their spouse)

• A bank account that doesn’t have a payable-on-death (POD) beneficiary

• A vehicle titled only in the decedent’s name

• Personal property like jewelry, furniture, and collectibles

• Business interests held in the decedent’s name

These assets cannot be transferred to heirs or beneficiaries until a court authorizes someone (typically an executor) to manage and distribute them.

Not all assets are probate assets. Some assets pass outside of probate because they already have a legal mechanism for transfer. These are called non-probate assets. Examples of common non-probate assets include:

• Accounts with named beneficiaries (like IRAs, life insurance, and 401(k)s)

• Joint accounts with right of survivorship

• Property held in a trust

• Assets transferred via a Lady Bird Deed or Transfer on Death Deed (TODD)

Understanding which assets are probate assets is key to planning your estate. If avoiding probate is a goal (and for many families, it is), then working with an attorney to properly title your assets, update beneficiary designations, and create tools like trusts and Lady Bird deeds can make the process smoother and more private for your loved ones.