Probate in Alabama is the court-supervised process of proving a will, paying the deceased person’s debts and taxes, and transferring what’s left to the right people. It runs through the Probate Court in the county where the person lived, and it follows the same basic sequence whether or not a will exists: file a petition, get a personal representative appointed, inventory the assets, handle creditors and taxes, then distribute. Most formally administered estates take nine to eighteen months from the first filing to final distribution. Here is how Alabama probate works, step by step, and what each stage requires of the person managing the estate.
When Probate Is Required
Probate is necessary whenever the person who died owned assets titled solely in their name with no built-in way to transfer ownership at death. Real estate held only in the decedent’s name, bank accounts without a payable-on-death designation, and investment accounts without a transfer-on-death beneficiary are the usual triggers. If no one can legally claim the asset without a court order, it has to go through probate.
Some assets skip the process. Property held in joint tenancy with right of survivorship passes automatically to the surviving owner. Life insurance and retirement accounts with named beneficiaries pay directly. Assets titled in a revocable living trust stay out of court because the trust, not the individual, holds them.
The Small-Estate Shortcut
Alabama offers a summary distribution procedure for estates small enough to qualify. The entire personal property estate must be valued at no more than a threshold that started at $25,000 and adjusts yearly for inflation; for 2025 the figure is $37,075, effective through February 28, 2026.1Alabama Comptroller. Small Estate Memorandum 2025 The surviving spouse, or the other heirs if there is no spouse, can petition for summary distribution as long as no one has already petitioned for a personal representative and funeral expenses are paid or arranged.2Alabama Legislature. Alabama Code 43-2-692 – Petition for Summary Distribution This shortcut only reaches personal property. If the decedent owned real estate, full administration is generally required regardless of value.
Filing the Opening Petition
The correct venue is the Probate Court in the county where the decedent legally resided at death. If the decedent lived outside Alabama but owned real property in the state, the petition goes to the county where most of that property sits.
Which petition you file depends on whether there is a will. With a valid will, the petitioner files a Petition for Probate of Will and Letters Testamentary, which asks the court to accept the will and appoint the named executor. Without a will, a Petition for Letters of Administration asks the court to appoint an administrator. Either way, the filing needs the original death certificate, an estimate of the estate’s total value, and a complete list of heirs and beneficiaries.
When there is no will, the court works down a statutory priority list to pick an administrator. The surviving spouse has first priority, followed by the next of kin who would inherit under Alabama’s intestacy rules, then the decedent’s largest in-state creditor. If none of those people can or will serve, the judge chooses someone.
The Personal Representative’s Appointment
After reviewing the petition, the judge issues an order appointing the personal representative and grants Letters Testamentary (for a named executor) or Letters of Administration (for a court-appointed administrator). Banks, title companies, and other institutions will demand to see these letters before releasing or retitling estate assets.
Bond
Alabama courts generally require the representative to post a fiduciary bond to protect the estate against mismanagement. The default amount equals the value of estate property under the representative’s control, plus one year of estimated income, minus securities held under court-ordered deposit and any real property the representative cannot sell without further court authorization.3Alabama Legislature. Alabama Code 43-2-851 – Bond A well-drafted will can waive bond for the named executor and save the estate the premium, but the court keeps the power to require one anyway if circumstances warrant.
Who Can Serve, and What They’re Paid
Alabama does not disqualify someone from serving simply because they live in another state. The individual must be a U.S. citizen, at least 19 years old (Alabama’s age of majority), and free of any felony conviction. No local co-representative or resident agent is required.
Representatives are entitled to reasonable compensation, but Alabama sets no fixed percentage. The court weighs the complexity of the estate, the skill required, the time spent, customary local fees, and the results achieved.4Alabama Legislature. Alabama Code 43-2-848 – Compensation of Personal Representative A straightforward estate with a house and a couple of bank accounts justifies less than one with business interests or litigation.
Inventory and Creditor Notice
The first job is to find, secure, and value everything the decedent owned. The representative must file a formal inventory with the Probate Court within two months of appointment, listing each asset separately with its fair market value at the date of death, and also identifying every debt owed to the estate, including who owes it, how much, and when it’s due.5Alabama Legislature. Alabama Code 43-2-312 – Contents of Inventory A will can waive the inventory for the named executor, though this is less common than waiving the bond.
Next comes creditor notice. The representative must publish notice once a week for three consecutive weeks in a newspaper of general circulation in the county where letters were granted, and also send direct written notice to any creditor they know about or can reasonably identify.6Alabama Legislature. Alabama Code 43-2-61 – Manner of Giving Notice
That notice starts the claims clock. Creditors have to present their claims within six months after the grant of letters or within five months after the first published notice, whichever ends later. A creditor entitled to direct notice who did not get it gets an extra 30 days from the date of actual notice.7Alabama Legislature. Alabama Code 43-2-350 – Time and Manner of Filing Claims Late claims are generally barred. Get the publication done early and the window closes sooner, which is what lets the estate move toward distribution.
Paying Debts and Taxes in the Right Order
Alabama law fixes a strict order of payment. Funeral expenses come first, then the costs of administering the estate itself, then taxes and other government obligations, then general unsecured debts.8Alabama Legislature. Alabama Code 43-2-371 – Order of Preference A representative who pays out of order can be personally liable to higher-priority claimants for the shortfall. It is one of the most expensive mistakes in estate administration.
The estate is a separate taxpayer to the IRS. If it earns $600 or more in gross income during any tax year it is open, the representative files Form 1041, the federal income tax return for estates.9Internal Revenue Service. Instructions for Form 1041 and Schedules A, B, G, J, and K-1 Interest, dividends, rent, and gains from sales during administration are the usual sources. Estates above the federal estate tax exemption also file Form 706, due nine months after death; for deaths in 2026 the exemption is $15,000,000 per individual.10Internal Revenue Service. Whats New – Estate and Gift Tax Alabama imposes no separate state estate or inheritance tax.
Family Allowances That Come Off the Top
Alabama sets aside certain amounts for the surviving spouse and minor children, and these allowances take priority over almost all creditor claims. The homestead allowance goes to the surviving spouse, or to minor children if there is no surviving spouse. The family allowance provides ongoing support during administration. A separate exempt property allowance covers household furnishings, personal effects, and similar items up to a capped value.11Alabama State Treasury. CPI Information
All three adjust yearly for inflation. As of the most recently published adjustment, the homestead allowance is $18,800, the family allowance is $18,800, and the exempt property allowance is $9,400. They come off the top before general creditors receive anything.
Closing the Estate
Once the claims window has closed and all debts, taxes, and expenses are paid, the representative prepares a final settlement. This is a full accounting filed with the Probate Court showing every dollar in and every dollar out during administration.12Alabama Legislature. Alabama Code 43-2-550 – Final Settlement Required Following Death, Removal or Resignation of Executor or Administrator The court reviews it to confirm everything was handled properly.
If every heir and beneficiary is a competent adult and all of them agree on how to divide the remaining assets, the court may allow an informal settlement that streamlines the final hearing. Once the judge approves the accounting and enters an order discharging the representative, the remaining assets can be distributed according to the will or, if there is no will, Alabama’s intestacy rules.
How Long It Takes and What It Costs
The mandatory claims period alone runs at least five to six months, which sets the floor for even the simplest estate. Add asset gathering, property sales, dispute resolution, and tax filings, and most formally administered Alabama estates finish in nine to eighteen months. A will contest, a business interest, or a fight among heirs can push things past two years. The biggest factor the representative controls is speed on the early steps: file the inventory on time, publish the creditor notice immediately, and keep clean financial records from the first day.
Court filing fees to open an estate vary by county and estate size, generally in the range of a few hundred dollars. Other costs accumulate: certified copies of letters for banks and title companies, publication fees for the creditor notice, the bond premium if bond is required, and recording fees for transferring real property. Attorney fees are typically the largest expense; Alabama probate attorneys generally charge either hourly or a percentage of gross estate value, with flat fees sometimes available for straightforward, uncontested work. All of these are paid from estate funds as administrative expenses before any distribution to heirs.
Contesting a Will
Anyone with a financial interest in the estate can challenge a will, but the window is narrow. A contest must be filed either before the will is admitted to probate or within 180 days afterward.13Alabama Legislature. Alabama Code 43-8-215 – Contesting the Probate of a Will Miss that deadline and the will stands, almost regardless of what surfaces later. The most common grounds are lack of mental capacity at the time of signing and undue influence, which requires more than persuasion; it requires showing that someone overpowered the testator’s free will. Fraud and improper execution, such as too few witnesses, are also grounds. If a contest is filed, the court forms an issue for trial, and either side can request a jury.