In California, probate is the court-supervised process that settles a deceased person’s estate. It involves proving the will (if any), appointing an executor, inventorying assets, paying debts, and distributing the remainder to heirs or beneficiaries. Probate is generally required if the total estate exceeds California’s small-estate threshold (roughly $184,500 for deaths after April 1, 2022). However, not all assets go through probate in California. Many assets pass directly to heirs or beneficiaries outside of court. These non-probate assets bypass formal probate and transfer immediately by operation of law or beneficiary designation. Understanding the California probate process and which assets require court involvement versus those that pass outside probate in California is key to efficient estate planning and quick distribution of inheritances.

Probate can be lengthy and public. In California it often takes 9–18 months (or even up to 2 years for complex estates). The process typically includes filing a petition with the court, notifying creditors and heirs, taking inventory of the decedent’s assets, paying taxes and debts, and distributing what remains to beneficiaries as per the will or California law. Because this is time-consuming and may incur legal fees, it helps to know which assets can avoid probate. In short, only property owned solely by the decedent without alternative transfer provisions generally requires probate. Assets held jointly or with named beneficiaries typically avoid probate.

California Probate Process

The California probate process starts when someone dies leaving assets that must be settled. An executor (if there is a will) or administrator (if no will) files a petition in court. The court then officially appoints that person to manage the estate. Key steps include: (1) collecting and securing the decedent’s assets, (2) filing an inventory and appraisal, (3) giving notice to creditors, (4) paying valid debts and taxes, and finally (5) distributing the remaining assets to heirs or beneficiaries.

Probate is required in California under certain conditions. As noted, if the net estate value exceeds the small estate threshold (around $184,500 for most cases), formal probate is generally needed. Also, probate is usually required when the decedent owned real property or substantial assets solely in their name and no other legal transfer (like a trust or beneficiary designation) covers those assets. If the estate is small, California law allows simpler procedures. For example, a surviving spouse or heirs can use a small estate affidavit or spousal property petition to transfer property without full probate.

During probate, the estate’s assets become “probate assets.” These are assets that the court must oversee. The court’s involvement can ensure debts and taxes are paid, but it also means the estate inventory becomes public record and the process can be slow. On average, the entire probate process takes nine months to two years, depending on complexity and whether disputes arise. Knowing which assets automatically transfer outside of court can save time and legal expense for your heirs.

California Probate Assets List (What Goes Through Probate)

California law says that any property owned only by the decedent is subject to probate. In other words, assets with the deceased’s name only (and no beneficiary or joint owner) will usually be on the California probate assets list. Common examples of probate assets include:

• Real estate (land and homes) titled solely in the decedent’s name. If the property deed does not name a surviving co-owner or beneficiary, the estate must clear title through probate.
• Bank and brokerage accounts in the decedent’s name. Savings, checking, CDs or investment accounts owned only by the decedent (with no payable-on-death beneficiary) are probate assets.
• Stocks, bonds, and securities held individually. Securities not registered as transfer-on-death (TOD) go through probate.
• Personal property like cars, boats, furniture, jewelry, artwork, and household items owned solely by the decedent. Even bank safe deposit box contents fall into probate if owned individually.
• Business interests such as sole proprietorships, partnership shares, or privately held company stock that are solely owned.
• Intellectual property and collectibles registered to the decedent’s name.
• Life insurance proceeds if no beneficiary is named, or if the policy names the estate as beneficiary. (By contrast, life insurance with a living beneficiary is non-probate.)
• Other titled assets like vehicles, boats, or planes registered only to the decedent.

In short, a typical probate assets list in California includes nearly all property that has no automatic transfer provision. If the decedent died with a will, that will is filed in court, and then the assets listed above are collected into the probate estate. From there, after debts and taxes, the court can distribute them per the will or California’s intestacy laws.

Under California law, property solely in the deceased’s name generally must go through probate. For example, a family home owned only by the deceased or bank accounts without co-owners or beneficiaries are probated. The court inventory often includes real estate, personal items, bank/investment accounts, vehicles, jewelry, and more. Essentially, assets titled only in the decedent’s name become part of the probate estate and require court handling. Once probate is opened, the executor inventories these assets, pays any valid claims or taxes, and ultimately the court approves the transfer of what’s left to heirs.

Assets That Avoid Probate in California (Non-Probate Assets)

Not all assets need probate. California law provides many ways for property to pass directly to others without court intervention. Such non-probate assets or transfers “outside of probate” include anything that passes by operation of law or by beneficiary designation. Common non-probate assets in California include:

• Joint Tenancy or Community Property with Right of Survivorship: Property (real estate or bank accounts) owned jointly with another person immediately belongs to the surviving co-owner when one dies. For example, if spouses hold a house as community property with right of survivorship, the surviving spouse automatically receives full title. Joint tenancy real estate or bank accounts likewise transfer to the survivor without probate.
• Living Trusts (Inter Vivos Trusts): Assets that the decedent placed into a revocable living trust are already owned by the trust, not the person. Therefore they are not part of the probate estate. At death, the successor trustee distributes trust assets directly to beneficiaries under the trust’s instructions. In practice, funding a living trust (retitling homes, accounts, etc. in the trust’s name) is a major way to avoid probate in California.
• Transfer-on-Death (TOD) or Pay-on-Death (POD) Accounts: Bank accounts, investment accounts, and some securities can be registered TOD/POD so that they automatically pass to named beneficiaries upon death. For example, a brokerage account designated “TOD to [daughter’s name]” bypasses probate and goes straight to that beneficiary. Similarly, naming a “POD” beneficiary on a bank account lets the funds transfer by bank direction. These forms of beneficiary designation are specifically designed to keep assets out of probate.
• Life Insurance and Retirement Accounts: Life insurance policies, 401(k)s, IRAs, annuities, and pensions typically pay out to whoever is named as beneficiary on the policy or account. When a beneficiary is listed (such as a spouse or child), the insurance proceeds or retirement funds pass directly to that person. This means the policyholder’s heirs do not need to probate that money. (If no beneficiary is named or the beneficiary predeceases the insured without alternative, then the proceeds may fall to the estate.)
• Small Estate Procedures: If the total estate is small enough, California allows simplified transfers. For example, if the estate’s probate assets are below the statutory limit (about $184,500 for most cases), heirs can use a “Small Estate Affidavit” or “Spousal Property Petition” to obtain assets without formal probate. This isn’t a type of asset per se, but it is a way an estate can bypass full probate.
• Other Contractual or Statutory Transfers: Some contracts or laws direct assets outside probate. For example, proceeds from a legal claim (like workers’ comp) or government benefits may transfer by beneficiary forms. California also recognizes certain multi-party account rules (CAMPAL) that ease transfer of jointly held funds.

In general, non-probate assets California refers to property outside the court’s control. As one source explains, these are assets where ownership “transfers automatically upon death”. For instance, a home held in joint tenancy will immediately go to the survivor. A life insurance payout goes to the named beneficiary. Retirement and pension benefits go to their beneficiaries. TOD and POD accounts go straight to those listed. Assets in trust are distributed by the trustee according to the trust document. All these pass outside probate in California, providing a direct, court-free transfer path.

Probate vs. Non-Probate Assets

The difference between probate vs non-probate assets is essentially whether the court must supervise the transfer. Probate assets (or “probate property”) are owned solely by the decedent and therefore must be probated for legal distribution. Non-probate assets, by contrast, pass outside court. According to estate law guidance, “[p]robate property consists of assets owned solely by the decedent at death, which require court supervision to transfer to heirs”. These include individually held bank accounts, vehicles titled only in the decedent’s name, and any personal belongings without designated beneficiaries.

Non-probate assets transfer immediately to others without judicial process. As one guide puts it, these are “assets where title transfers automatically upon death”. Examples of non-probate transfers include life insurance policies with named beneficiaries, retirement accounts (401(k), IRA, etc.) with beneficiaries, jointly owned property with rights of survivorship, and payable-on-death accounts. For example, if a decedent had a bank account held jointly with their spouse, the spouse automatically inherits that account as a surviving joint tenant no probate needed.

Understanding this contrast is important. Probate assets (which do require court involvement) are typically items the deceased owned outright. Non-probate assets pass outside the court by law. The key difference is the method of transfer: probate assets pass under court orders, while non-probate assets transfer directly through beneficiary or joint-ownership arrangements. For estate planning, the goal is often to maximize non-probate assets, so that more of the estate can avoid lengthy court administration.

In practice, probate assets require court supervision and a legal proceeding, whereas non-probate assets “transfer smoothly and quickly to intended recipients” by law. For instance, an investment account with a “transfer-on-death” beneficiary will go directly to the designated person. This distinction helps California families plan effectively: assets titled correctly or placed in a trust will not get caught up in probate, freeing loved ones from delays.

How To Avoid Probate In California?

Although probate is necessary in many cases, careful planning can avoid probate in California for much of an estate. Key strategies include:

• Create a Revocable Living Trust. One of the most powerful probate-avoidance tools is a living trust. By transferring your assets (such as your house, bank accounts, and investments) into a revocable trust, those assets become trust property. At death, the successor trustee can distribute trust assets privately according to your instructions, without court involvement. A living trust keeps your estate private and out of probate. (Of course, you must formally “fund” the trust during your lifetime by retitling assets into its name.)
• Hold Property Jointly with Survivorship Rights. As noted, joint tenancy or community property with the right of survivorship lets property pass automatically to the co-owner. For example, many spouses hold their home as community property with the right of survivorship. When one spouse dies, the other becomes sole owner by operation of law no probate needed. The same applies to joint bank accounts. This is a simple way to keep assets out of probate, though it may not suit everyone’s estate plan.
• Use Payable-on-Death (POD) and Transfer-on-Death (TOD) Designations. You can name beneficiaries on financial accounts so they receive funds directly. A POD bank account or TOD brokerage account will transfer to the named beneficiary automatically after death. Retirement accounts and life insurance already use this concept by naming beneficiaries. These designations are quick and easy to set up, and they ensure that the asset in question bypasses probate. It is important to periodically review and update these beneficiary designations to avoid mistakes (for example, if a beneficiary has passed away).
• Take Advantage of California’s Small Estate Procedures. If the entire estate (or certain parts of it) is below the limit (about $208,850 for deaths on or after April 1, 2025), heirs can use a Small Estate Affidavit to collect personal property without probate. Likewise, under Assembly Bill 2016, if the decedent’s primary residence in California is valued at $750,000 or less, a spousal property petition (or other summary petitions) can transfer the home without full probate. These procedures require less paperwork and cost than formal probate, so they are useful for modest estates.
• Keep Beneficiaries Up-to-Date. Review all beneficiary forms on retirement plans, life insurance, annuities, and TOD/POD accounts every few years or after major life events. Since those designations control where the money goes, outdated information can accidentally force an asset into probate. For example, if a beneficiary dies without a successor named, the account may fall to the estate. Maintaining current beneficiaries ensures assets go outside probate as intended.
• Consider Lifetime Gifts. Giving assets away during your lifetime can reduce the size of your probate estate. Gifts to family or trusts remove property from your estate, potentially saving both probate costs and estate taxes. (Keep in mind gift tax rules for large gifts, and get legal advice for complex situations.)

In summary, a combination of trusts, joint ownership, beneficiary designations, and small-estate rules can greatly reduce what goes through the court. A knowledgeable estate attorney can help coordinate these strategies for your situation.

Understanding which assets require probate and which pass outside court can help California families plan for a smoother transition of wealth. By maximizing non-probate assets through trusts, beneficiary designations, and other tools more of the estate avoids California probate altogether. This spares loved ones unnecessary delay, expense, and public proceedings, allowing inheritances to move directly to heirs as intended.

Take the Next Step With Confidence

Probate and asset transfer questions often involve real estate decisions that affect families for years. Whether a home is part of California probate, held in a trust, or passes outside court, the way property is handled matters.

Jack Ma Real Estate works with homeowners, heirs, trustees, and families dealing with probate and non-probate property situations across California. If you are facing questions about selling, transferring, or managing real estate connected to an estate, having the right guidance can reduce delays and avoid costly mistakes.

If you are unsure whether a property must go through probate, qualifies as a non-probate asset, or can be sold during the probate process, now is the time to get clear answers.

Connect with Jack Ma Real Estate to discuss your probate or non-probate property options and move forward with clarity.

FAQ’s

1. Do all assets go through probate in California?

No. Many assets pass outside court. While assets that go through probate in California include property owned solely by the deceased, non-probate assets California law recognizes—such as trust assets, jointly owned property, and accounts with beneficiaries—transfer without court involvement.

2. What passes outside probate in California?

Common examples include assets held in a living trust, life insurance with a named beneficiary, retirement accounts, payable-on-death bank accounts, and property held in joint tenancy or community property with right of survivorship. These assets are not part of the California probate process.

3. Is real estate always subject to probate in California?

No. Real estate only goes through probate if it is titled solely in the decedent’s name and not held in a trust or with survivorship rights. Many estates use trusts or joint ownership so property qualifies as one of the assets that avoid probate in California.

4. What is the difference between probate vs non-probate assets?

Probate assets require court supervision to transfer ownership. Non-probate assets transfer automatically by law or by beneficiary designation. Understanding probate vs non-probate assets helps families know which property requires court approval and which does not.

5. How can someone avoid probate in California?

Common methods include creating a living trust, adding transfer-on-death or payable-on-death designations to accounts, holding property with survivorship rights, and qualifying for California’s small estate procedures. These options reduce the number of assets subject to the California probate assets list.