Completing a Small Estate Affidavit in Arizona

Completing a small estate affidavit in Arizona can speed up and simplify the process of managing a deceased person’s estate without the need for formal probate. It can be used only for estates with a relatively low total value, and also has to meet other criteria. When it is allowed, this process can save significant time and also reduce costs.

If you need help managing and distributing assets in Arizona, a financial advisor can work with you to create an estate plan.

What a Small Estate Affidavit Is and How It Works

A small estate affidavit is a legal document that facilitates the settlement of a deceased individual’s estate without the need for formal probate proceedings . This document serves as an efficient means of transferring assets to the rightful heirs and beneficiaries, provided the estate meets specific criteria established by Arizona state law. This process is designed to simplify asset distribution for smaller estates, reducing both time and expenses for surviving family members.

The procedure for using a small estate affidavit involves submitting a sworn statement verifying that the estate qualifies as a small estate according to Arizona law. This affidavit enables the designated affiant, who is often a close relative or legal representative, to collect and distribute the deceased's assets.

How to Know If You Can Use a Small Estate Affidavit in Arizona

In Arizona, only qualified individuals can claim and distribute the deceased’s assets appropriately using a small estate affidavit. If you plan on taking this approach, you must meet the following criteria:

• Relationship to the deceased: The person filing the affidavit, called the affiant, must be a legal heir, beneficiary or designated representative of the deceased. This may include spouses, children or other family members with a direct interest in the estate. The affiant must have a legitimate claim to the estate as well as the authority to act on behalf of other beneficiaries.
• Proof of eligibility: The affiant must provide documentation proving their relationship to the deceased and their right to claim the estate. This may include, for instance, a death certificate or a will . Proper documentation helps ensure that the affidavit process is conducted legally and minimize disputes.
• No pending probate: There must be no ongoing probate proceedings for the estate. If probate has already been initiated, the small estate affidavit process cannot be used. This requirement ensures that the estate is not subject to conflicting legal processes.

What Qualifies for a Small Estate Affidavit in Arizona

In Arizona, certain criteria must be met for an estate to qualify for a small estate affidavit. Here are the qualifications:

• Estate value limit for personal property: To qualify for a small estate affidavit for personal property in Arizona, the total value of the deceased’s personal property must not exceed $75,000. This includes bank accounts, stocks, bonds, vehicles and other personal assets such as jewelry. The value is calculated based on the date of death and excludes any debts owed on the property. If the estate’s personal property exceeds this limit, a formal probate process may be necessary.
• Estate value limit for real property: If real property is part of the estate, the estate’s total value must not exceed $100,000. This includes any real estate owned by the deceased, such as land or a house, minus any outstanding mortgages or liens. Estates exceeding this threshold require a different legal process to transfer ownership. The property value is assessed based on its fair market value at the time of death.
• Waiting period: In Arizona, there is a mandatory waiting period of at least 30 days after the deceased’s death before a small estate affidavit can be used. This waiting period allows time for creditors to make claims against the estate and ensures that the affidavit process is conducted fairly and legally.

The following situations for not qualify for a small estate affidavit:

• High-value estates: Estates with personal property exceeding $75,000 or real property over $100,000 do not qualify for a small estate affidavit in Arizona. They must go through formal probate.
• Pending legal issues: If there are unresolved legal disputes or claims against the estate, a small estate affidavit cannot be used. Formal probate may be necessary to address these issues and ensure a fair resolution.
• Real property with encumbrances: Estates with significant liens or encumbrances on real property may not qualify for the affidavit process, as these financial obligations need to be settled before transferring ownership.

Bottom Line

Arizona's provision for a small estate affidavit can offer a practical solution for managing a deceased person’s estate without having to undergo probate. This method provides a simplified, cost-effective way to transfer assets when estates meet the requirements. By understanding the qualifications and criteria for using a small estate affidavit, individuals can determine whether this option is suitable for their circumstances.

Estate Planning Tips

• A financial advisor can help you create an estate plan for Arizona or another state. Finding a financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to three vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you're ready to find an advisor who can help you achieve your financial goals, get started now .
• If you inherit property you can find out the property tax on your new asset by using SmartAsset's property tax calculator .

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