Why Does Everyone Want to Avoid Probate?

If you’ve ever heard the word “probate” come up in a conversation about estate planning, you’ve probably also heard a collective groan follow right behind it. And honestly? That groan is well-earned. Avoiding probate is one of the most common goals we hear from clients at Oak Road Wealth Management in Lee’s Summit — and once you understand what probate actually involves, you’ll understand why.

Let’s break it down in plain English: what probate is, why it’s such a headache, and — more importantly — what you can do about it.

Executive Summary

Probate is the court-supervised legal process of settling a deceased person’s estate. It is time-consuming (often 9–18 months), expensive (typically 3–7% of the estate’s gross value), and entirely public record. Most people want to avoid probate because it delays asset distribution to their heirs, drains estate resources through fees, and exposes private family financial matters to anyone who wants to look. The good news: beneficiary designations, Transfer-on-Death (TOD) and Payable-on-Death (POD) accounts, and revocable living trusts are proven, accessible strategies to bypass probate entirely.

What Is Probate, Exactly?

Probate is the legal process a court uses to validate your will (if you have one), pay your debts, and distribute your remaining assets to your heirs. Even if you have a will, your estate may still have to go through probate. The court oversees the whole process — which means the court’s timeline, the court’s fees, and the court’s rules govern what happens to everything you spent a lifetime building.

Here in Missouri, probate is handled at the county circuit court level. In Jackson County, that means your family could be navigating a bureaucratic process while simultaneously grieving your loss. Not exactly the gift you’d want to leave behind.

Why Is Probate Such a Problem?

How long does probate actually take?

Probate typically takes 6 to 12 months — and that’s for a straightforward estate. If there are disputes among heirs, creditor claims, or complex assets involved, it can drag on for years.

Think about that from your family’s perspective. Your spouse or children may need access to funds to pay bills, a mortgage, or living expenses — but those assets are frozen in court limbo while the process grinds forward.

How much does probate cost?

Probate is expensive. In Missouri, executor fees, attorney fees, court costs, and administrative expenses can easily consume 3% to 7% of your estate’s gross value — not net value, gross. That means if you have a $500,000 estate, you could be looking at $15,000 to $35,000 in fees before a single dollar reaches your heirs.

Attorney fees, court filing fees, appraisal costs, and executor compensation all come out of the estate. And here’s what makes it sting even more: many of these fees are based on the total value of assets, not how much debt is attached to them. A $400,000 home with a $350,000 mortgage is still a $400,000 asset for fee calculation purposes in many cases.

We’re not trying to scare you — we’re trying to make sure you understand what’s at stake when people say probate is “costly.” These aren’t hypothetical concerns. They are real dollars leaving your estate and not going to your family.

Does Everyone Know My Business When an Estate Goes Through Probate?

Yes. And this one surprises a lot of people.

When an estate goes through probate, it becomes public record. That means the court filing — which includes the inventory of your assets, your debts, and who receives what — is accessible to anyone who wants to look it up. Your neighbors, distant relatives, business competitors, or anyone else with curiosity and a few minutes can review the details of your estate.

For most families, this feels like a real violation of privacy. Your financial life is personal. The idea that a difficult, grieving time for your family could also be a window for public scrutiny is, frankly, uncomfortable.

Probate also creates an opportunity for creditors and disgruntled parties to contest your estate. Once it’s in the public record, the door opens. Keeping your estate out of probate keeps it private — and that’s a meaningful protection for your family.

How Can You Avoid Probate?

Are beneficiary designations a simple way to avoid probate?

Yes. Beneficiary designations are one of the easiest and most overlooked tools available. When you name a beneficiary on a retirement account (like an IRA or 401(k)), life insurance policy, or annuity, that asset passes directly to the named individual — completely outside of probate.

This is low-hanging fruit, and yet we regularly see clients who haven’t updated their beneficiary designations in decades. An ex-spouse, a deceased parent, or simply a “none” left in that field can create major problems. Keeping your beneficiary designations current is one of the simplest, highest-impact steps in any estate plan.

What are TOD and POD accounts?

Transfer-on-Death (TOD) and Payable-on-Death (POD) designations work similarly to beneficiary designations but apply to bank and brokerage accounts.

• POD (Payable-on-Death) is used for bank accounts — checking, savings, CDs.
• TOD (Transfer-on-Death) is used for investment and brokerage accounts.

Missouri allows TOD designations on real estate as well, which can be a powerful way to transfer property to heirs without probate. You maintain full control of the asset during your lifetime. The designation only kicks in at your death. It’s simple, free to set up at most financial institutions, and keeps those assets out of the probate process entirely.

Is a revocable living trust the best way to avoid probate?

For many families, a revocable living trust is the most comprehensive solution. Here’s how it works: you create a trust, transfer ownership of your assets into the trust, and name yourself as the trustee (meaning you maintain full control during your lifetime). You also name a successor trustee — someone who will manage and distribute the trust assets after your death, according to your instructions, without any court involvement.

Because the assets are legally owned by the trust (not by you personally at the time of death), they do not go through probate. Your successor trustee can act quickly, privately, and without court approval. Your family doesn’t have to wait 12 months. The public doesn’t get to look at your financial inventory. And your wishes are carried out the way you intended.

A revocable living trust also helps if you become incapacitated during your lifetime — your successor trustee can step in and manage assets on your behalf without a court-appointed conservatorship.

We’ll be honest: trusts do require some upfront work and cost more to set up than a simple will. But for clients with meaningful assets, real estate, or a desire for privacy, we believe the investment may be worth it.

Putting It All Together: A Layered Approach

No single strategy covers everything. Here is a typical strategy that we see families use:

• Beneficiary designations on retirement accounts and life insurance
• POD/TOD designations on bank and brokerage accounts
• A revocable living trust to hold real estate and other significant assets
• A “pour-over will“ as a backstop for any assets that weren’t properly titled into the trust

This layered approach creates a comprehensive safety net that minimizes probate exposure for most families.

Frequently Asked Questions

What is probate and why do people want to avoid it?

Probate is the court-supervised process of validating a will and distributing a deceased person’s estate. Most people want to avoid probate because it is slow (often 6–12 months), expensive (3–7% of estate value), and completely public record.

Does having a will help you avoid probate?

No. A will does not avoid probate — it actually goes through probate to be validated. Wills are important documents, but they are not a probate-avoidance tool. Trusts, beneficiary designations, and TOD/POD accounts are the tools that bypass probate.

How much does probate cost in Missouri?

Missouri probate costs vary, but families can generally expect executor fees, attorney fees, court costs, and administrative expenses to total anywhere from 3% to 7% of the gross estate value. On a $400,000 estate, that’s potentially $12,000–$28,000 in fees.

Is a revocable living trust the same as a will?

No. A will goes through probate. A revocable living trust does not. A trust also provides for incapacity planning during your lifetime, whereas a will only takes effect at death. Most comprehensive estate plans include both a trust and a pour-over will.

Who can see my estate if it goes through probate?

Anyone. Probate is a public court process, meaning the filing — including your asset inventory, debts, and distributions to heirs — is accessible as public record to any individual who requests it.

How do I get started with avoiding probate?

Start with a review of your current beneficiary designations and account titling. Then, speak with a financial planner and estate planning attorney about whether a revocable living trust makes sense for your situation. At Oak Road Wealth Management in Lee’s Summit, Missouri, we help families build comprehensive estate plans that protect what they’ve worked hard to build. Reach out to our team to schedule a conversation.

Oak Road Wealth Management is a financial planning firm serving Lee’s Summit, Missouri and the greater Kansas City area. This content is for educational purposes and does not constitute legal advice. We encourage clients to work with both a financial planner and a qualified estate planning attorney.

Written by Andrew Matz, Financial Planner at Oak Road Wealth Management.