Do IRAs, 401(k)s, Keogh plans, pension plans, profit-sharing plans, and other retirement accounts proceeds avoid probate? The answer is yes, and the reason for that is there’s a designated beneficiary. It is akin to a life insurance policy that designates a beneficiary. Each one of these particular plans would, by contract, say, “Well, upon your death, this is …” You designate who you would like to receive these benefits, and so these assets do not go through probate, nor do life insurance policies, since there’s a contract and it designates the beneficiary.
The exception to that is if, for some reason, there is no beneficiary designated. Then, the assets would then pass to the estate of the deceased. If you have any questions about this, give me a call at 727-847-2288. Thank you.