Avoiding Probate in Nebraska: When and How It’s Possible

The word “probate” often brings to mind piles of paperwork, court delays, and mounting legal fees—and honestly, that’s not too far off. Probate is the legal process of settling a person’s estate after death. In Nebraska, it’s often required, but it isn’t inevitable. With some thoughtful planning, you can save your family a lot of time, stress, and money by avoiding probate altogether.

Whether you’re working on your own estate plan or trying to navigate a loved one’s affairs, understanding when probate is required—and how to avoid it—can make a significant difference.

When Probate Isn’t Required in Nebraska

In many cases, estates in Nebraska don’t have to go through probate. That depends largely on how much the estate is worth, how the assets are titled, and what legal tools were in place before death.

For example, Nebraska allows small estates to bypass probate entirely using a small estate affidavit. As of July 19, 2024, this applies if the estate subject to probate is valued at $100,000 or less, and no probate case has been opened. If real estate is involved, the assessed value (minus any taxes due) also needs to fall under this cap. There’s also a very simple affidavit process in place for transferring vehicles directly to a named heir.

Some assets are considered non-probate property and pass directly to beneficiaries without ever involving the court. These include jointly owned real estate or bank accounts with right of survivorship, assets with named beneficiaries like life insurance or retirement accounts, and accounts that are payable-on-death (POD) or transfer-on-death (TOD). Nebraska law also allows real estate to pass outside probate if a Transfer on Death Deed (TODD) has been filed prior to death under Neb. Rev. Stat. §§ 76-3401 to 76-3422.

Another widely used tool to avoid probate is a revocable living trust. When assets are titled into the name of the trust during a person’s lifetime, those assets don’t go through probate. Instead, they’re managed and distributed by the successor trustee privately and without court oversight. However, this only works if the trust is properly funded. If someone creates a trust but forgets to retitle their assets into it, probate will still be necessary for those untitled items.

Why You Might Want to Avoid Probate

There are several reasons families in Nebraska prefer to steer clear of probate.

First, it’s public. Probate filings are court records, which means anyone can access information about your assets, debts, and beneficiaries. That lack of privacy can lead to unwanted attention or conflict.

Second, it’s slow. Even straightforward probate cases can take months. Complex or contested cases often take years.

Third, it’s expensive. Filing fees, publication costs, attorney fees, and other administrative expenses add up quickly—especially when the process drags out.

And finally, it can stir up conflict. When everything is out in the open and people start to disagree, emotions tend to run high. Probate opens the door for disputes, challenges to the will, and difficult family dynamics, especially if someone feels left out or surprised.

When Probate Is Required in Nebraska

Probate becomes necessary when there is no will, when assets are titled solely in the deceased person’s name, or when those assets don’t have beneficiaries or joint owners. Probate is also required if the estate exceeds the $100,000 threshold for small estates, or if there’s a dispute among heirs or creditors.

Still, not all probate is the same. If there’s a valid will and no major disputes, Nebraska allows for a simplified version called informal probate (Neb. Rev. Stat. § 30-2401 et seq.). This streamlined process still involves court filings, but it’s faster, less complicated, and often handled without hearings.

Planning Ahead to Avoid Probate in Nebraska

The best way to avoid probate is by planning while you’re alive and well. That means setting up your accounts, property, and legal documents so that your loved ones aren’t stuck in court after you’re gone.

To do that in Nebraska, you’ll want to consider creating and properly funding a revocable living trust, using POD and TOD designations for your bank and investment accounts, and making sure your real estate is either jointly titled or has a valid Transfer on Death Deed recorded with the county. Keeping assets organized and your plan up to date ensures your wishes are carried out and avoids legal confusion.

It’s also important to review your plan regularly. Life changes—people get married, divorced, have children, buy property, and accumulate new accounts. Beneficiary designations, titles, and trust provisions should all be reviewed every few years or after major life events to make sure everything still aligns with your current wishes.

Final Thoughts

Avoiding probate isn’t just about simplifying legal processes—it’s about making things easier and more private for the people you care about. A well-designed estate plan that avoids probate can save your loved ones months of waiting, thousands of dollars in legal fees, and the emotional strain that often comes with drawn-out court cases.

If you’re unsure whether probate will be required in your situation—or you’d like help building a plan that avoids it—I’d be happy to walk you through your options and make sure everything is set up properly. Contact me at 402-259-0059 or zach@zandersonlaw.com.