Probate query - is spouses pension/death in service part of the estate

TraceyB_2

My step father died recently and my Mum is trying to complete probate forms which dont seem straightforward.

My step father worked for a couple of companies that he had small pensions with and may pay my Mum a spouses payment also, his employers at the time of his death may pay out a death in service payment.

My query is - would these payments form part of my step fathers estate or, seeing as they are payments due to my Mum, are they exempt?

If they are exempt then obviously my Mum can at least get the probate papers out of the way.

We didnt even realise that it would still go to probate - I thought that was what wills were for!

Thanks in advance for any help.

localhero

No they don't form part of the estate.

Wills provide the authority for the executor(s) to administer an estate. Probate Will usually be necessary when the deceased owned assets worth £5000 or more.

Probate isn't always necessary where the deceased owned most of their assets jointly (ie joint bank account or property).

Debt_Free_Chick

In nearly all cases, any lump sum paid out on death, from a pension scheme/plan, is paid direct to the recipients and does not form part of the estate. In a very small number of cases, the payment is made to "the legal personal representatives" and it would need to be accounted for, within the estate. The payee on the cheque from the pension administrators tells you how the payment is to be treated, but their letter should confirm it too. If not, ask them to write and confirm.

Any spouse's pension is definitely not within the estate - it's the income of the recipient in the same way as their earnings from any job is income.

HTH

TraceyB_2

Many thanks for clarifying things - we can get on with filling the probate form in now then.

Thanks again.

northsouth

Would like to say thank you for this as I too have this problem.
Does my husband's car become part of his estate or is that like the house?
northsouth

SandC

The car would be part of the estate, as would the house. Even where the house is joint owned and goes to the spouse it still forms part of the estate. Basically it's any asset - a death in service payment is not an asset and pension is an income or income plan if it's not yet being drawn on.

DVardysShadow

Debt_Free_Chick wrote: »

In nearly all cases, any lump sum paid out on death, from a pension scheme/plan, is paid direct to the recipients and does not form part of the estate. In a very small number of cases, the payment is made to "the legal personal representatives" and it would need to be accounted for, within the estate. The payee on the cheque from the pension administrators tells you how the payment is to be treated, but their letter should confirm it too. If not, ask them to write and confirm.

Any spouse's pension is definitely not within the estate - it's the income of the recipient in the same way as their earnings from any job is income.

HTH

Agree with that for the most part. With Death payments, pensions administrators like you to sign away the rights of your estate over the money to the pensions trustees. This allows them to send the money according to an expression of wishes form, so that the money is not given over to the executors and never forms part of the estate.

If this is not done, the money would go to the executors, I believe, for them to deal with.

northsouth

Thanks to all people who have replied.
Unfortunately I am now totally confused after reading some of the further replies.. I presume I have to get a price for the house and the car and & enter those on the probate form. Also enter any savings in only my husband's name. But do not have to mention the private pensions which were his but now come to me in a reduced amount as these were arranged about 7/8 years ago.