Small Estate Administration

Do all Estates go Through Probate?

No, not necessarily. Smaller estates - those valued under $100,000 (excluding homestead and exempt property) - may qualify for a simplified process, known as Small Estate Administration. Additionally, assets that are held jointly between the deceased and another individual, and/or assets designated to a beneficiary (such as life insurance and/or retirement accounts) may pass outside of the probate process.

How does Small Estate Administration work in Arkansas?

Some smaller estates may qualify for a simplified process. In Arkansas, if the estate is worth $100,000 or less (excluding the homestead and certain exempt property), and no valid claims from creditors exist, it may be handled through a Small Estate Affidavit. This process is quicker and less expensive than a formal probate. However, if real estate needs to be transferred or there are disputes among heirs, a formal probate is usually required.

What is probate exempt property?

Not all assets are required to go through probate when someone passes away. In Arkansas, certain types of property are considered exempt, meaning they can pass directly to heirs or beneficiaries without the need for court involvement. Understanding what property avoid probate can help simplify the estate administration process and reduce the time and cost involved for your loved ones.

 

Some common examples of exempt property include assets that have a designated beneficiary. Life insurance policies, retirement accounts such as IRAs and 401(k)s, and financial accounts with “payable on death” (POD)) or “transfer on death” (TOD) designations will transfer automatically to the named beneficiary and are not subject to probate. Similarly, jointly owned property with the right of survivorship, such as joint bank accounts or real estate held as tenants by the entirety (a form of joint ownership), will pass directly to the surviving co-owner without going through probate.

 

Assets held in a properly funded revocable or irrevocable trust are also exempt from probate. A trust allows you to control how your assets are managed and distributed while keeping your estate private and out fo the court system. Additionally, Arkansas law allows for a simplified process for small estates. If the total value of the estate is $100,000 or less (not including exempt property and real estate), your heirs may be able to use a small estate affidavit to collect and distribute assets without a formal probate proceeding, provided at least 45 days have passed since your death.

​

What is the “homestead” in Arkansas?

In Arkansas, the term “homestead” refers to a person’s primary residence and the land surrounding it, which is given certain legal protections under state law. These protections are designed to help safeguard your home from being forcibly sold to pay off most types of debts. The Arkansas Constitution and state statutes provide that your homestead is generally exempt from creditor claims, meaning that, in most cases, creditors cannot force the sale of your home to satisfy unsecured debts like credit cards or personal loans.

 

Additionally, the homestead exemption offers protections for surviving spouses and minor children. If a person passes away, the surviving spouse may be entitled to continue living in the home—even if the property was only titled in the deceased spouse’s name—without it being subject to immediate sale or division during probate.

 

To qualify as a homestead, the property must be your primary place of residence, and there are acreage limits depending on whether you live inside or outside a city. For urban homesteads, the exemption applies to up to one-quarter acre; for rural homesteads, it can cover up to 80 acres.

What is probate?

Probate is the legal process by which a deceased person’s estate is administered. This includes identifying assets, paying off any debts or taxes, and distributing what remains to heirs or beneficiaries. If the deceased had a will, the probate court ensures it’s carried out according to their wishes. If no will exists, Arkansas intestacy laws will determine who recieves the estate.

How long does small estate probate take?

The timeframe can vary, but most small estate cases in Arkansas are generally completed within about three (3) months. That said, the duration can depend on several factors, which may include whether or not there is any real property in the estate and/or that the value of the estate does not exceed $100,000.

Can Probate be avoided?

Yes. With proper planning, it’s possible to avoid the probate process for many assets. Common ways to avoid probate include:

• Creating a revocable living trust and placing assets into it during your lifetime

• Creating a last will and testament and placing less significant assets into it during your lifetime.

• Naming beneficiaries on retirement accounts and life insurance policies

• Using payable-on-death (POD) or transfer-on-death (TOD) designations for financial accounts

• Holding property with someone else in joint tenancy with rights of survivorship

 

Each method has pros and cons depending on your individual goals and family situation.

​

What happens if someone dies without a will?

When a person dies without a valid will—called dying “intestate”—their estate is distributed according to Arkansas law. This often means assets pass to the surviving spouse and children. If there are no surviving close family members, the estate may eventually pass to more distant relatives or, in rare cases, escheat to the state.

 

The court will also appoint someone to manage the estate, typically a surviving spouse or adult child. In some cases where there may not be a family member or other relative to be appointed as personal representative/executor/administrator or there is a familial conflict resulting in contesting the decedent’s will, the court may appoint a third-party to distribute the assets of the estate as specified by the instructions of the will or by Arkansas laws of intestacy.

What are the typical costs of probate in Arkansas?

Costs vary depending on the size and nature of the estate. Common probate expenses include:

• Court filing fees

• Attorney fees

• Publication costs (required for notifying creditors)

• Appraisal fees (if needed for certain assets)

• Personal representative compensation (which may be waived or accepted depending on the situation)

Do I need a lawyer for probate?

While you’re not legally required to hire a lawyer for probate in Arkansas, it’s often advisable—especially if the estate involves real estate, multiple heirs, or any disputes. A probate attorney can guide you through the process, ensure deadlines are met, and reduce the risk of costly mistakes.

An attorney works closely with personal representatives and families to simplify the probate process and help them meet all legal obligations.

Is there anything I should do now to make probate easier for my family?

Yes. Proactive estate planning can greatly reduce stress and legal expense later on. A few steps to consider:

• Draft a legally valid will

• Consider a trust if you have significant assets

• Keep your beneficiary designations up to date

• Title property in a way that reflects your estate planning goals

• Make a clear list of your accounts, insurance policies, and digital assets.

​

Even a few simple steps can make a significant difference for your loved ones during a difficult time.