Dealing with probate and administering an estate can be quite technical. Here is a glossary of some of the most commonly used terms.
Administration
The process carried out by the Executor/Administrator of collecting in all assets, paying any debts and distributing the estate in accordance with the Will or under the Rules of Intestacy.
Administrator
Person appointed under Letters of Administration (where there is no Will)
Assets
Anything the deceased owned of value. Typically this includes: savings, property and land, investments, cars, antiques and jewellery.
Beneficiary
Person named in the Will to receive a gift or the whole/part of an Estate
Contentious Probate
This involves challenging the validity of a Will or where someone feels they have been excluded or not left enough from Estate, amongst other things.
Crown
Another name for the government or state. If someone dies without leaving a will and there are no family, then the Estate will pass to the Crown.
Deed of Variation
This has the effect of varying the terms of a Will or intestacy. It can have inheritance tax advantages but to do so must be made within 2 years of death
Distribution
When all debts have been paid and all assets collected in, the Estate is then distributed to the beneficiaries
Estate
The Deceased’s entire property and belongings – everything accumulated throughout their life, including any debts
Executor
Person(s) (male) appointed under the Will to deal with the administration of the Estate
Executrix
Person(s) (female) appointed under the Will to deal with the administration of the Estate – although these days everyone tends to be referred to as an Executor
Grant of Probate
Official document issued and sealed by the Probate Registry which confirms the Will is valid and the identity of the Executors
Inheritance Tax (IHT)
Tax payable on a deceased’s estate if it exceeds a certain amount, currently £325,000.00
Intestate
Where a person has died without leaving a Will or a valid Will. The Estate is then dealt with according to the Rules of Intestacy.
Issue
Old fashioned word for children, grandchildren or adopted children of the deceased
Legacies
These are gifts left to individuals
Letters of Administration
Official document issued by the Probate Registry when there is no Will
Liabilities
Money owed by the deceased to others. Such as a mortgage or loan, credit card bill or utility bills
Nil Rate Band
The personal Inheritance tax allowance the maximum of which is £325,000.00
Pecuniary Legacy
A gift of cash
Personal Representative
A general term for both Executor(s) and Administrator(s) after a Grant has been issued.
Probate Registry
The Probate Registry issue Grants of Probate and Letters of Administration
Prove
Will is checked by the Probate Registry and if valid a Grant of Probate is issued
Residue or Residuary Estate
This is what is left in the Estate after payment of any debts, funeral and testamentary expenses and the legacies
Residence Nil Rate Band
The Inheritance tax allowance relating to property the maximum of which is £175,000.00
Rules of Intestacy
Strict rules on who can inherit a deceased’s Estate based on bloodline
Specific Bequest
These are specific items left under the Will
Statement of Truth
Document signed by Executors/Administrators that the information given about the Estate is true and accurate to the best of their knowledge
Statutory Declaration
Document sworn in front of a Solicitor confirming that information given is correct
Testamentary Expenses
These are the expenses incurred in connection with the administration of the Estate
Testator / Testatrix
The person who wrote the Will (whose Will it is)
Trust
A Trust can be created by the Will and puts property and/or cash into trust to be held on behalf of beneficiaries by Trustees