Five Ways to Reduce Probate Fees

 

What are Probate Fees?

Probate Fees or The Estate Administration Tax are taxes payable to the government based on the value of the assets in the estate. The cost of probate is determined by each province or territory

 

Five Ways to Reduce Probate Fees

  • Gifting assets to your beneficiary while you are alive
  • Naming a designated beneficiary (or successor annuitant) on your registered accounts
  • Naming a designated beneficiary (other than your estate) on your insurance policies
  • Transferring assets from sole ownership to joint tenants with right of survivorship
  • Transferring assets into an inter vivos trust during your lifetime

 

Beware of unintended consequences

  • Tax implications
  • The attribution rule
  • Inadvertent distribution of assets

 

To avoid these costly mistakes, be sure have a carefully crafted and well documented estate plan