Tips on Avoiding Probate

It seems like everywhere we turn, people are talking about avoiding probate.

Avoiding probate in Kentucky is a common goal for residents who want to save their families time, money, privacy, and unnecessary stress after they’re gone. Probate—the court-supervised process of validating a will, paying debts, and distributing assets—can drag on for months, open the estate up to creditors, and cost thousands in fees, even for modest estates. Fortunately, Kentucky law provides several effective strategies to bypass probate.

This article outlines the main ways to avoid probate in the Commonwealth, along with practical tips for Louisville-area folks and others across the state.

What Triggers Probate in Kentucky?

Probate typically applies to assets titled solely in your name with no automatic transfer mechanism. Click here to learn more about assets that pass through probate.

Non-probate assets pass directly outside court supervision. Kentucky follows the Kentucky Revised Statutes, and recent form updates from the Administrative Office of the Courts have streamlined some procedures—but the core ways to sidestep probate remain consistent.

If you own real estate outside of Kentucky, you will likely need to file probate in Kentucky and probate in the state where the property is located. This can be extremely expensive and cumbersome.

1. Revocable Living Trusts: The Gold Standard for Comprehensive Avoidance

A revocable living trust (also called an inter vivos trust) remains one of the most powerful and flexible tools to avoid probate entirely. Click here to learn more about trusts.

For many Kentucky families, especially those with real estate outside of Kentucky, blended families, or privacy concerns, this is the go-to solution.

2. Beneficiary Designations and POD/TOD Accounts

Simple, no-cost tools for financial accounts:

• Payable-on-Death (POD): Add to bank accounts, CDs, or savings. Funds transfer directly to named beneficiaries upon death.

• Transfer-on-Death (TOD): Available for brokerage/investment accounts and some securities.

• Retirement accounts and life insurance: Name beneficiaries directly (e.g., on IRAs, 401(k)s, life policies).

These pass outside probate automatically. Review and update them after life events like divorce or births.

Naming minors - Be careful! Naming minors as beneficiaries on accounts can lead to more headaches than going through probate. Minors will require court-appointed guardians to handle their inheritance. This means annual inventories with the court and permission from the court to use the assets.

3. Joint Ownership with Right of Survivorship

Assets held as joint tenants with right of survivorship (JTWROS) or, for married couples, tenancy by the entirety transfer automatically to the surviving owner, no probate required.

• Common for homes, bank accounts, and vehicles.

• Caution: This gives the joint owner immediate rights (they could sell or encumber the property), so use it thoughtfully. It also may trigger gift tax issues or expose assets to the co-owner’s creditors.

4. Real Estate: No TOD Deeds in Kentucky

Unlike many states, Kentucky does not allow transfer-on-death (TOD) or beneficiary deeds for real property (confirmed under current law, KRS statutes). To avoid probate on a home or land:

• Place it in a revocable living trust (record a new deed with the county clerk).

• Use joint ownership with survivorship.

• Rely on a will (but this triggers probate).

Failing these, Kentucky real estate almost always requires probate if solely owned.

5. Small Estate Affidavit: Simplified for Modest Estates

If the probate estate (excluding non-probate assets like those above) is $30,000 or less, spouses or adult children can often file a dispense of administration (small estate petition) instead of full probate. This skips formal court oversight and speeds things up significantly—ideal for straightforward cases without real estate complications.

Additional Considerations

• Taxes: While there are ways to avoid probate, the inheritance tax applies whether you go through probate or not. Click here to learn more about federal estate tax and inheritance tax in Kentucky.

• Professional Help: DIY mistakes (especially unfunded trusts or improper deeds) can force probate anyway. Consult a Kentucky estate planning attorney, particularly in Jefferson County (Louisville), where local rules and clerks’ offices handle high volumes.

Bottom Line for Kentuckians

There are many solutions to avoid probate. A well-funded revocable living trust often provides the broadest protection, while beneficiary designations and joint ownership handle simpler assets efficiently. Start by inventorying what you own, how it’s titled, and who should receive it—then build a plan that fits.

This isn’t legal advice—estate laws and your situation are unique. Contact the English Law Group, and our experienced attorneys will work to tailor strategies that protect your legacy and give your family the smoothest possible transition. In Kentucky, thoughtful planning today means far less burden tomorrow.