Probate & Estate Administration Attorneys in Pittsburgh, Pennsylvania 

Losing a loved one can be a harrowing, gut-wrenching experience. When someone passes away — with or without a last will and testament in place — you may be unsure of your next steps.  You do know that you may need to go through estate administration, but what does the process look like for you and your family? 

If you find yourself needing to understand or go through the estate administration or probate process, you may have a lot of questions: What is the probate process? How do I appoint an executor or administrator? What do I do if I’ve been named as an executor or administrator? What happens when someone dies without a will? All of these questions are valid. At Luvara Law Group LLC, our estate administration attorneys are more than prepared to help you answer these questions. Once they’re answered, we’ll guide you through the process every step of the way. If you live in Pittsburgh or anywhere in the state, including Greensburg, Washington, Waynesburg, Uniontown, and New Castle, set up a consultation with our team. 

Estate Administration 

Estate administration is, essentially, what happens to someone’s assets and finances from the time a person passes to the time everything is distributed. The steps may include: 

• Closing out the estate 

• Wrapping up estate issues 

• Accounting for all parts of the estate, including money, property, objects such as jewelry, and any other asset, as well as appointing beneficiaries to receive said assets 

• Distributing those assets to the appointed beneficiaries 

Estate Administration vs. Probate 

Estate administration is the umbrella term that may include the probate process. Whether there’s a will in place or not, a deceased person’s assets still need to be distributed. When there’s a will, the will needs to be verified to ensure its validity, beneficiaries need to be identified, and an executor needs to be named in accordance with the will. If there’s no will in place, then the state will determine where assets are distributed, as well as who becomes the executor.  

The Probate Administration Process 

Probate includes authenticating the last will and testament, appointing an executor, notifying creditors, locating assets, paying debts, filing tax returns, and distributing the estate. 

Appointing an Executor or Administrator 

Generally, the deceased individual will have appointed an executor. However, if there was no will (or they didn’t name an executor in the will), then a court will determine who will become the administrator. The person appointed as executor is generally the person closest to the deceased individual.  

The Executor’s Role  

An executor proves the validity of the will and presents the court with all of the assets from the will. They find, secure, and manage those assets. The process can take as little as several months, but it can also take as long as a year.  

Assets That Go Through Probate 

Some assets require probate, while others do not need to go through probate. Probate is only necessary for any property that either the deceased person owned without anyone else’s name on it or shared property that was owned as “tenants in common”, which essentially means that property was named to be shared between two people with a certain percentage shared.   

Assets that do not need to go through probate may include the following: 

• Retirement accounts 

• Life insurance proceeds 

• Property held in a living trust 

• Any kind of fund or securities registered in a payable-on-death (POD) or transfer-on-death (TOD) form or account 

• Many more kinds of assets 

Your attorney can help you determine whether the asset needs to go through probate and what the best steps you should take regarding the estate in question. 

Basic Steps to Opening a Pennsylvania Probate Estate

So how do you begin when you’re called upon to be the personal representative for someone’s estate? Most people are overwhelmed by the idea of probating an estate in Pennsylvania. For good reason, no two estates are alike and not all will even require the formal probate process. Reducing worry and stress is best achieved by knowing what the probate process typically entails. Gaining an overview does help.

 The following steps explain what you will need to do to open the probate process here in the state of Pennsylvania.

Hire a Lawyer to Help You

 Your best option for handling the estate administration and probate process efficiently and effectively is to hire an experienced probate and estates attorney to guide you instead of going it alone. Pennsylvania allows individuals to open and work through the entire probate process without legal representation: yet the sheer amount of paperwork, reporting, and management of resources required can be almost too much to bear for most people. And if you encounter disputes with family members over particular assets and other common issues, consulting a lawyer for assistance and support right from the very beginning is in one’s best interest and the interest of the estate.

Don’t face the complex process of estate administration alone. From our office in Pittsburgh, Pennsylvania, our probate and estate administration attorneys proudly serve the surrounding areas of Greensburg, Washington, Waynesburg, Uniontown, and New Castle. For detailed guidance, reach out today, and schedule a meeting.     

Gather Documentation

Gathering documentation throughout the entire estate administration process. It needs to be comprehensive. An experienced probate and estates attorney will need to receive as many of the following items as you can locate for your initial consultation, preferably within a few days or weeks following the funeral:

• Original Will (if one exists) – Note that if your family member or friend worked with an attorney to create their will, that attorney’s office should have the document on file. One is not obligated to work with that original attorney.

• Death certificates – You may need many copies of the death certificate as “proof” to have certain assets released. Funeral directors can help you obtain these.

• Real estate deeds, if the residence or other real property were owned.

• Appraisals for real property – This could be for real estate assets like homes, as well as for particularly valuable possessions like original artwork, jewelry, and other collections.

• Copies of financial account statements – Brokerage or bank-based checking and savings accounts are some examples.

• Copies of investment account statements/documentation – Some examples are stock certificates, dividend statements, certificates of deposit, and savings bonds.

• Copies of life insurance policies that include beneficiary information

• Outstanding bills and invoices for personal debts owed – This includes everything from home utility bills and property taxes to credit card statements and loan payments that are due.

• Bills for funeral and medical expenses for taking deductions

• Prior income tax returns

• Names and current contact information for all beneficiaries/heirs named in the will

Determine Assets that Can Skip Probate

An experienced probate and estates attorney can help you separate probate assets from non-probate assets. Determining whether an asset must go through probate is often a question of whether it was owned by your friend or family member only in his or her name, and no one else is a co-owner or beneficiary of the asset. These types of assets will need to go through probate, while many other assets can typically bypass the process. For example, if the deceased person owned a home together with a spouse as in joint tenancy or as tenancy in the entireties), that real estate asset would be considered non-probate property, and can generally be transferred to the co-owner without the need for probate court.

Another example of assets that can skip probate would be accounts or policies that have a designated beneficiary in place. Designated beneficiaries will receive a particular asset without probate. Other assets may skip probate and be passed along to a surviving spouse, children, or more distant relatives based on specific rules in Pennsylvania, including:

Bank accounts – Up to $10,000 may be released from financial institutions to a surviving spouse or other family member with proper “proof” to the institution that holds the account. A copy of the death certificate and a receipt for paid funeral expenses are necessary.

Wages – Employers may pay up to $5,000 in compensation (wages, salary, bonuses, etc.) to the employee’s surviving spouse or other family member.

Life insurance – Up to $11,000 in benefits, if not claimed by the personal representative of the estate within 60 days of the insured’s death, can be paid out to the surviving spouse or another close family member.

File the Will and Petition for Probate

After you’ve determined what assets are exempt from probate, other assets may not be and may still require probate, and it’s time to actually open probate on the estate. The good news is that if the estate is small the process may likely will be limited. Pennsylvania offers a simplified probate process for estates with assets totaling less than $50,000, when it does not include real estate values. Determining whether the simplified process can be used instead of the regular formal process will be made when you file your deceased friend or family member’s will with the court in the county where that individual was legally domiciled (made their home) at the time of death. If granted, you may be permitted to distribute your loved one’s assets to heirs named in the will without going through all of the stages of formal probate, which will save time and expense.

Officially beginning probate, whether the simplified or regular formal process, one will need to provide an Estate Information Sheet and completed petition for probate and grant of letters along with the original will to the local probate court. Many Pennsylvania counties now utilize the Supreme Court of Pennsylvania’s standardized Register of Wills and Orphans’ Court forms instead of their own proprietary forms, though many individual counties do provide instructions and guidance on completing and submitting forms.

If deceased person had an existing will, then they died testate. But is there is not a will, then a person died intestate, so that there was not a named executor/executrix. Probate permits a grant of permission via Letters of Administration in a specific order beginning with the surviving spouse, then the intestate heirs, such as the children and other family members, principal creditors, and other fit persons. There is a filing fee that must be remitted to receive Letters, and that is based on the value of the estate.

After the probate case has been opened and Letters Testamentary or Letters of Administration have been issued, there will be several stages and steps that you will need to work through over the course of months. Determining if the will is self-proving, meaning that you do not need to get further information from witnesses. This usually means that the persons signing as the decedent and the witnesses had their signatures notarized at the time of the execution of the will. The next steps are briefly, as follows:

1. Giving notice that probate is beginning --Advertising

2. Gathering and inventorying assets

3. Selling estate property, as applicable

4. Determining tax liability for the estate and planning payments to tax authorities

5. Distributing assets and preparing the final accounting

6. Discharging the estate

IRS Liability and the Selling of a Decedent’s Real Property

When selling real property of a deceased person’s estate, the Personal Representative need the IRS may need to remove or discharge that property from an IRS lien in order to permit the purchaser to take title to the property free and clear of the lien. The failure to do so would run the risk of transferring the property with a cloud on the title and inure liability to the Personal Representative; whether an Executor or Administrator. When dealing with these tax issues, it is highly advisable that the Personal Representative find a lawyer to assist with these more complicated legal issues.

There are several scenarios that you must consider to determine the correct action:

• If the IRS has filed a Notice of Federal Tax Lien, then there will be a notice in the public records.

• If you’re selling the deceased person’s property and the sale proceeds fully pay the deceased persons liability shown on the lien, then the Personal Representative should contact the IRS Lien for a payoff.

• For the sale of real property of a deceased person, if the proceeds will not fully pay the tax liability, you’ll need to apply for a lien discharge.

• If there’s a Form 706 or Form 706-NA, United States Estate Tax Return, filing requirement, a federal estate tax lien attaches to all of the deceased person’s gross estate. The federal estate tax lien doesn’t have to be publicly recorded to be valid, and it’s only in effect for estates that are required to file Form 706 or Form 706-NA. If the estate you’re administering has a Form 706 or Form 706-NA filing requirement, and the property is administered by an executor or administrator appointed, qualified, and acting within the United States, apply for a discharge of the estate tax lien by submitting Form 4422, Application for Certificate Discharging Property Subject to Estate Tax Lien.

If the estate’s administration has a Form 706 or Form 706-NA filing requirement, and the property is not administered by an executor or administrator appointed, qualified, and acting within the United States, apply for a transfer certificate for the estate of a nonresident not a citizen of the United States or transfer certificate for estate of a nonresident citizen of the United States

Pennsylvania Has Special Rules for Smaller Estates: 

The laws governing Smaller Estate may exist in various states. The states may either provide or enable heirs to obtain property of the deceased without probate, or, in others which shortened probate proceedings if certain conditions are met. The benefit is that if an estate qualifies, then the small estate can be administered in less time and the cost may be significantly reduced. For example, if the deceased had conveyed most property to a trust but there remains some property, small estate laws may also be available. Also, there may be a need for probate even though the deceased person did not own that much property. These special procedures may be applied whether there was a Will or in the absence of a Will. In general, the two forms of small estate procedures are recognized. Even if the estate is small, it is still advised that you contact an estate attorney to navigate these procedure.

Pennsylvania Small Estates:

Under Pennsylvania statute, if an estate is valued at less than $25,000, an interested party may petition the court and the court may grant, within its discretion, with or without appraisement, and with such notice as the court shall direct, and whether or not letters have been issued or a will probated, direct distribution of the property.

Pennsylvania Requirements:

DECEDENTS, ESTATES AND FIDUCIARIES (Title 20) Pennsylvania requirements as are set forth in the statutes below.

Chapter 31. Dispositions Independent of Letters; Family Exemption; Probate of Wills and Grant of Letters.

Dispositions Independent of Letters. § 3101. Payments to family and funeral directors.

(a) Wages, salary or employee benefits.

Any employer of a person dying domiciled in this Commonwealth at any time after the death of the employee, whether or not a personal representative has been appointed, may pay wages, salary or any employee benefits due the deceased in an amount not exceeding $5,000 to the spouse, any child, the father or mother, or any sister or brother (with the preference being given in the order named) of the deceased employee.

Any employer making such a payment shall be released to the same extent as if payment had been made to a duly appointed personal representative of the decedent and he shall not be required to see to the application thereof. Any person to whom payment is made shall be answerable therefor to anyone prejudiced by an improper distribution.

(b) Deposit account.

Any bank, savings association, savings and loan association, building and loan association, credit union or other savings organization, at any time after the death of a depositor, member or certificate holder, shall pay the amount on deposit or represented by the certificate, when the total standing to the credit of the decedent in that institution does not exceed $10,000, to the spouse, any child, the father or mother or any sister or brother (preference being given in the order named) of the deceased depositor, member or certificate holder, provided that a receipted funeral bill or an affidavit, executed by a licensed funeral director which sets forth that satisfactory arrangements for payment of funeral services have been made, is presented. Any bank, association, credit union or other savings organization making such a payment shall be released to the same extent as if payment had been made to a duly appointed personal representative of the decedent and it shall not be required to see to the application thereof. Any person to whom payment is made shall be answerable therefor to anyone prejudiced by an improper distribution.

(c) Patient’s Care Account.

When the decedent was a qualified recipient of medical assistance from the Department of Public Welfare, 1 the facility in which he was a patient may make payment of funds, if any, remaining in the patient’s care account, for the decedent’s burial expenses to a licensed funeral director in an amount not exceeding $10,000 whether or not a personal representative has been appointed. After the payment of decedent’s burial expenses, the facility may pay the balance of decedent’s patient’s care account, as long as the payments, including the payment for burial expenses, does not exceed $10,000, to the spouse, any child, the father or mother or any sister or brother (preference being given in the order named) of the deceased patient. Any facility making such a payment shall be released to the same extent as if payment had been made to a duly appointed personal representative of the decedent and it shall not be required to see to the application thereof. Any licensed funeral director or other person to whom payment is made shall be answerable therefor to anyone prejudiced by an improper distribution.

(d) Life insurance Payable to the estate.

Any insurance company which upon the death of an individual residing in this Commonwealth owes his estate a total amount of $11,000 or less under any policy of life, endowment, accident or health insurance, or under any annuity or pure endowment contract, may at any time after 60 days following his death pay all or any part of that amount to the spouse, any child, the father or mother or any sister or brother of the decedent (preference being given in the order named) provided that at the time of the payment no written claim for that money has been received at the office of the company specified in the policy or contract for the receipt of claims from any duly appointed personal representative of the decedent. Any insurance company making any payment in accordance with this section to an adult may rely on the affidavit of any of the persons named in this subsection concerning the existence and relationship of these persons and shall be released to the same extent as if payment had been made to a duly appointed personal representative of the decedent and the insurance company shall not be required to see to the application thereof. Any person to whom payment is made shall be answerable therefor to anyone prejudiced by an improper distribution.

(e) Unclaimed Property.

1. In any case where property or funds owned by an individual who has died a resident of this Commonwealth have been reported to the Commonwealth and are in the custody of the State Treasurer as unclaimed or abandoned property, the State Treasurer, at any time after the death of the individual, shall be authorized under this section to distribute the property or to pay the amount being held in custody where all of the following conditions are present:

   • (i) The amount of the funds or the value of the property is $11,000 or less.

   • (ii) The person claiming the property or the funds is the surviving spouse, child, mother or father, or sister or brother of the decedent, with preference given in that order.

   • (iii) A personal representative of the decedent has not been appointed or five years have 2 lapsed since the appointment of a personal representative of the decedent.
     

2. Upon being presented with a claim for property owned by a decedent, the State Treasurer shall require the person claiming the property to provide all of the following prior to distributing the property or paying the amount held in custody:

   • (i) A certified death certificate of the owner.

   • (ii) A sworn affidavit under the penalties of 18 Pa.C.S. § 4904 (relating to unsworn falsification to authorities) setting forth the relationship of the claimant to the decedent, the existence or nonexistence of a duly appointed personal representative of the decedent and any other persons that may be entitled under this section to make a claim to the decedent’s property.

   • (iii) Other information determined by the State Treasurer to be necessary in order to distribute property or pay funds under this section to the proper person.
     (3) If the State Treasurer determines the claimant to be a person entitled to claim property of a decedent owner, the State Treasurer shall pay or distribute such property to the claimant and shall thereby be released to the same extent as if payment or distribution had been made to a duly appointed personal representative of the decedent and shall not be required to oversee the application of the payments made. Any claimant to whom payment is made shall be answerable therefore to anyone prejudiced by an improper distribution or payment.

§ 3102. Disposition by Settlement of Small Estates on Petition.

When any person dies domiciled in the Commonwealth owning property (exclusive of real estate and of property payable under section 3101 (relating to payments to family and funeral directors), but including personal property claimed as the family exemption) of a gross value not exceeding $50,000, the orphans’ court division of the county wherein the decedent was domiciled at the time of his death, upon petition of any party in interest, in its discretion, with or without appraisement, and with such notice as the court shall direct, and whether or not letters have been issued or a will probated, may direct distribution of the property (including property not paid under section 3101) to the parties entitled thereto. The authority of the court to award distribution of personal property under this section shall not be restricted because of the decedent’s ownership of real estate, regardless of its value. The decree of distribution so made shall constitute sufficient authority to all transfer agents, registrars and others dealing with the property of the estate to recognize the persons named therein as entitled to receive the property to be distributed without administration, and shall in all respects have the same effect as a decree of distribution after an accounting by a personal representative. Within one year after such a decree of distribution has been made, any party in interest may file a petition to revoke it because an improper distribution has been ordered. If the court shall find that an improper distribution has been ordered, it shall revoke the decree and shall direct restitution as equity and justice shall require.