I'm Inheriting - What Should I Expect?

The timeline varies significantly based on the estate plan and assets involved. If assets bypass probate (life insurance, retirement accounts with named beneficiaries), you may receive them within 2-8 weeks. Trust distributions typically take 1-6 months. Probate estates usually take 6-18 months, sometimes longer for complex estates.

It depends on your state and relationship to the deceased. Only 5 states (Kentucky, Maryland, Nebraska, New Jersey, Pennsylvania) have inheritance taxes, and spouses are typically exempt. Most inheritances are not subject to federal income tax, though retirement account distributions are generally taxable.

Trusts generally allow faster distribution because they avoid probate court. The trustee can distribute assets after notifying beneficiaries and handling creditor claims, without court approval. Wills must go through probate, where a judge oversees the process. This adds time, cost, and public disclosure.

When someone dies without a will (intestate), their assets go through probate and are distributed according to state law. The court appoints an administrator to handle the estate. This process typically takes longer and costs more than when there is a valid will.

The executor or trustee must complete many tasks before distributing assets: inventorying all property, notifying creditors, paying debts and taxes, filing final tax returns, and potentially selling assets. Creditors typically have 3-12 months to file claims. The executor is legally required to follow this process.

Sometimes. Executors and trustees may make partial distributions once they are confident there are sufficient assets to pay all debts, taxes, and expenses. However, they must be cautious - if they distribute too much too early, they could be personally liable for unpaid claims.