Does it cost money to go through probate in Georgia? Yes. It will cost money to go through probate in Georgia.
How much? It depends.
The cost of going through probate in Georgia can vary widely depending on several factors, such as the complexity of the estate, the value of the assets, the time involved, and whether there are disputes among heirs.
Here’s a breakdown of typical costs associated with probate:
- Probate Filing Fees
To start the probate process, you must file a petition with the probate court. The filing fees vary by county but generally range from $100 to $300. Some counties may have additional fees for filing other documents, such as the petition for the appointment of the executor or the notice to creditors.
- Executor or Administrator Fees
In Georgia, the executor (or personal representative) of the estate is typically entitled to compensation for their time and work. If you have a Will, you can state that the Executor is not entitled to compensation. But if you don’t say it, they are entitled to receiving compensation to do the work.
The amount is set by state law and is based on a percentage of the estate. In Georgia, the law provides that 2.5% of money in and money out of the estate. Again, if you have a Will you can set the compensation and the Executor would have to ask the court for more and prove why (high burden).
These fees are meant to cover the executor’s time spent administering the estate, including tasks like filing paperwork, notifying creditors, distributing assets, and other administrative duties. The total amount will depend on the size and complexity of the estate.
- Attorney Fees
To be clear, you are NOT required to have an attorney to go through probate in Georgia. Some states, like Missouri, do require you to hire an attorney in most circumstances. But not here in Georgia.
But, probate usually involves hiring an attorney to help with the legal aspects of the process. Attorney fees can either be charged by the hour or as a flat fee. On average, hourly rates for probate attorneys in Georgia range from $350 to $450 per hour. If the attorney charges a percentage-based fee, it could be 1% to 3% of the estate’s value.
Atlanta Wills + Trusts Law Group generally charges a flat fee, which is common for attorneys helping families through most routine administrations, and like other firms, charges between $3,000.00 to $8,000.00 for most estates.
The total attorney fees will depend on how complicated the probate process is (e.g., if there are disputes, challenges, or complex assets).
- Court Costs
Court costs can include:
- Publishing Notices: Georgia law requires that notice be published in a local newspaper to inform creditors and interested parties about the probate proceedings. The cost of publishing varies by county but generally ranges from $50 to $150.
- Probate Court Hearing Costs: If the court requires hearings (e.g., for will contests or other issues), there may be additional costs for filing and court appearances.
- Bonding Costs
If the executor or personal representative is required to post a bond (usually if they are not if they are a family member), the cost of the bond will be based on the value of the estate and can range from $100 to $1,000 or more. The bond serves as insurance in case the executor mismanages the estate.
If you do not want your family member to even be remotely at risk for having to post a bond, then you should waive that requirement in your Will. It must be explicitly stated.
**You may want to also make it clear that they have all powers to do what they need to do to probate your will, also. Because that isn’t a given here in Georgia unless you put it in your Will.
- Other Administrative Costs
There can be other costs associated with the probate process, such as:
- Appraisal fees for valuing real estate or other significant assets.
- Accounting fees for preparing an estate tax return, income tax returns, and for providing financial reports to the court.
- Costs to settle debts such as funeral expenses, medical bills, and credit card debt, which will need to be paid before distributing the estate to heirs.
- Taxes
Although not a direct cost of probate itself, you will need to be aware of any taxes that need to be paid:
- Estate taxes: Georgia does not have a state estate tax, but the estate may still be subject to federal estate taxes if it exceeds the federal estate tax exemption. This is pretty high right now and likely won’t impact most people. But it is KEY to talk with a qualified certified accountant to know what you do and do not need to do to protect your exemption.
- Income taxes: If the estate generates income (e.g., interest, dividends), the estate will need to file tax returns, and taxes may be due on that income.
- Disputes and Litigation Costs
If there are disputes among heirs, creditors, or others, the probate process can become more expensive. Litigation fees can quickly add up, as the probate court may need to resolve issues such as will contests, disagreements over the validity of documents, or disputes about asset distribution.
Estimated Total Cost
The total cost of going through probate in Georgia can vary, but for a straightforward estate, it may range from 3% to 7% of the estate’s total value. For a larger or more complicated estate, the costs can be higher, potentially reaching 10% or more of the estate’s value if disputes or complexities arise.
Avoiding Probate Costs
In some cases, setting up a living trust or using other estate planning tools (like joint ownership or payable-on-death accounts) can help avoid or minimize probate, which can save time and money.
Conclusion:
The cost of probate in Georgia depends on the estate’s value, complexity, and whether there are legal issues or disputes. On average, probate costs can range from a few hundred dollars to several thousand dollars, with most expenses related to court fees, executor compensation, attorney fees, and administrative costs. It’s important to plan ahead and consult with an estate planning attorney to minimize probate costs if possible.
Do you want to avoid probate and the fees associated with probate? Call Atlanta Wills and Trusts Law Group, we help women protect who they love the most, and we also help people avoid probate!