When someone dies in Montana, their family usually faces probate. It’s time-consuming, expensive, and adds stress during an already difficult period. But Montana law offers a simpler option for smaller estates: the small estate affidavit. This legal shortcut can save your family thousands of dollars and months of waiting. Here’s what you need to know.
What A Small Estate Affidavit Is
A small estate affidavit is a sworn legal document that allows heirs to claim a deceased person’s property without going through formal probate. Instead of court supervision, family members complete paperwork, sign under oath, and present it to banks, title companies, or other institutions holding the deceased person’s assets. Montana created this process specifically for estates that don’t justify the time and expense of traditional probate. It’s faster, cheaper, and significantly less complicated.
How Your Family Estate Qualifies
Montana sets specific requirements for using a small estate affidavit. The total value of the estate must not exceed $50,000. This includes:
- Bank accounts
- Vehicles
- Personal property
- Real estate equity
Some assets don’t count toward this limit. Life insurance proceeds, retirement accounts with named beneficiaries, and jointly owned property with rights of survivorship transfer automatically outside of probate. Additionally, at least 30 days must pass after the person’s death before anyone can use this process. There’s also a time limit on the other end. You must file within three years of the death, or the opportunity expires.
How The Process Actually Works
The process starts with gathering information about the deceased person’s assets and debts. Someone needs to confirm that the total estate value falls under Montana’s threshold. Next, an heir or family member completes the small estate affidavit form. This document requires specific information:
- The deceased person’s full legal name and date of death
- A description of all property in the estate
- Names and relationships of all heirs
- Confirmation that debts and taxes have been addressed
- A sworn statement that the estate qualifies
The person signing the affidavit must swear under penalty of perjury that all information is accurate. This isn’t a casual form. False statements can result in legal consequences. Once notarized, the affidavit gets presented to whoever holds the property. Banks release funds. The DMV transfers vehicle titles. Real estate changes hands with a recorded affidavit and a death certificate.
Why This Matters For Montana Families
Traditional probate in Montana typically takes six months to a year, sometimes longer if complications arise. Billings wills lawyers often see families waiting months just to access funds they need for immediate expenses. The small estate affidavit changes that timeline dramatically. In many cases, families can access bank accounts or sell vehicles within weeks instead of months. Cost differences are equally significant. Formal probate involves court filing fees, legal notices in newspapers, potential attorney fees, and executor compensation. These expenses easily reach several thousand dollars. The small estate affidavit requires only notarization and minimal filing fees.
Common Mistakes To Avoid
People run into trouble when they miscalculate estate values. Working with experienced Billings wills lawyers means getting the process right the first time. That classic car sitting in the garage? It counts. The cabin up north? That counts too. Underestimating property values can invalidate the entire affidavit. Another frequent problem involves unpaid debts. Creditors still have rights even when using a small estate affidavit. Heirs who receive property remain responsible for legitimate claims against the estate, up to the value of what they received. Some families also miss the deadline. Three years sounds like plenty of time, but it passes faster than you’d think. Once that window closes, formal probate becomes the only option.
When You Need Professional Help
The small estate affidavit works well for straightforward situations. But certain circumstances call for legal guidance. If multiple people claim rights to the property, if substantial debts exist, or if you’re uncertain about asset values, mistakes can create problems that cost more to fix than probate would have cost initially. Silverman Law Office, PLLC helps Montana families determine whether the small estate affidavit makes sense for their situation. Sometimes it’s the perfect solution. Other times, formal probate actually protects everyone’s interests better. We review your specific circumstances, confirm eligibility, and help you complete the necessary paperwork accurately. Reach out today to discuss your family’s options.