8 Ways to Avoid Probate In Virginia

To address these probate avoidance techniques in Virginia and the applicable laws, let's break down each technique:

1. Set Up Payable-on-Death (POD) Accounts:

   • Virginia Law: Virginia Code § 6.2-604 allows POD accounts. The account owner can designate a beneficiary who will receive the funds upon the owner's death.
   • Process: Complete paperwork at your bank to add a POD designation. You can choose one or more beneficiaries.
   • Joint Accounts: Joint account holders can also add POD beneficiaries.
   • If a Beneficiary Dies: You can change the beneficiary if the original beneficiary dies before you.
   • Claiming the Money: Beneficiaries need to show identification and a death certificate to claim the funds.

2. Name a Beneficiary for Retirement Accounts:

   • Federal Law: Governed by the Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code for tax treatment and beneficiary rules.
   • Process: Designate a beneficiary using forms provided by your retirement account administrator.

3. Name a Beneficiary for Stocks and Bonds:

   • Transfer-on-Death Registration: Virginia's Uniform Transfer on Death Security Registration Act allows TOD registration for securities.
   • Government Bonds: Federal laws govern the registration of government bonds, typically through the TreasuryDirect system.

4. Name a Beneficiary for Your Vehicles:

   • Virginia Law: Virginia allows Transfer on Death (TOD) vehicle registration.
   • Process: Complete the necessary forms with the Virginia Department of Motor Vehicles (DMV).

5. Name a Beneficiary for Your Real Estate:

   • Transfer on Death (TOD) Deeds: As of my last update, Virginia does not recognize TOD deeds for real estate. You may need to explore other options like a living trust or joint ownership.

6. Hold Property in Joint Ownership:

   • Types of Joint Ownership: Includes joint tenancy and tenancy by the entirety (the latter is typically for married couples).
   • Virginia Law: Governed by Virginia property and estate laws. Property held in these forms typically passes to the surviving owner(s) without probate.

7. Create a Living Trust:

   • Avoiding Probate: A living trust can hold your assets, and upon your death, these are transferred to the trust beneficiaries without probate.
   • Virginia Law: Trusts are governed by the Virginia Uniform Trust Code.
   • Creating a Trust: You need a written trust document, signed and notarized. It's advisable to seek legal assistance.

8. Small Estates:

   • Virginia Law: Virginia Code § 64.2-600 et seq. provides for the handling of small estates.
   • Process: This involves simplified procedures for transferring assets of the deceased, often without full probate.

Remember, while this information provides a general overview, it's important to consult with a qualified attorney for specific legal advice and to ensure compliance with all relevant Virginia and federal laws. Probate and estate laws can be complex, and professional guidance is crucial in estate planning.