Alabama Probate Guide
If you've just lost someone and are facing the Alabama probate process — this guide walks you through what it costs, how long it takes, the exact filings Alabama requires, and whether you can avoid formal probate entirely.
Typical Timeline
6–12 months
Uncontested formal probate
Small Estate Threshold
$47,000
Summary Distribution
Court
Probate Court
Filing fee: $50–$400
Executor Commission
Statutory scale
~$50,000 on a $1M estate
Probate is required when the decedent owned solely-titled real estate or personal property exceeding the small-estate threshold. Assets passing outside probate include jointly-titled property with survivorship rights, POD/TOD accounts, life insurance and retirement plans with named beneficiaries, and assets held in a living trust.
Alabama's six-month creditor claim period (running from the grant of letters or five months from first publication, whichever is later) is the primary bottleneck — the estate generally cannot close until that window expires.
Alabama's Summary Distribution allows qualifying estates to skip formal probate.
| If the death occurred… | Small estate threshold |
|---|---|
| Deaths March 1, 2026 – February 28, 2027 (current) | $47,000 |
| Deaths March 1, 2025 – February 28, 2026 | $37,075 |
Available under the Alabama Small Estates Act for estates of personal property only (no real estate). The threshold is reset every March 1 for inflation; the figure of $47,000 applies to deaths between March 1, 2026 and February 28, 2027.
Personal representatives may receive up to 2.5% of money received and 2.5% of money disbursed, for a combined maximum of roughly 5% of the estate, subject to court approval.
Example: An estate valued at $1,000,000 would yield an executor commission of approximately $50,000.
Attorney fees:
Attorney fees in Alabama are not statutory — they are negotiated with the personal representative and must be approved as reasonable by the probate court (Ala. Code § 43-2-848). Typical fees are hourly or a negotiated percentage.
Multiple co-executors:
Co-executors share a single statutory fee; the court allocates between them based on services rendered rather than awarding separate full commissions.
Statute: Ala. Code § 43-2-848 (compensation); § 43-2-371 (priority of administrative expenses)
A personal representative must furnish bond in an amount equal to the value of personal property plus one year's income from real property, unless the will waives bond or all distributees consent in writing (with court discretion to require bond anyway).
Statute: Ala. Code § 43-2-851
Alabama has no state estate tax or inheritance tax (the state estate tax was eliminated for deaths after December 31, 2004). Only the federal estate tax applies, with a 2026 exemption of $15 million per individual / $30 million per married couple under the One Big Beautiful Bill Act.
Alabama is a separate-property (not community-property) state. A disinherited surviving spouse may claim an elective share of one-third of the augmented estate under Ala. Code § 43-8-70, in addition to homestead allowance, exempt property, and family allowance.
The Alabama Medicaid Agency recovers benefits paid for long-term care services from the probate estates of recipients age 55 and older. Under Act 2019-489, personal representatives must give written notice of the estate proceeding to the Alabama Medicaid Agency — including in small-estate filings.
The full Alabama executor checklist has 25 milestones: 15 specific to Alabama law (shown below — filings, forms, and court interactions tied to Alabama statutes) and 10 universal duties that apply in every state (expandable at the end of the list). The same item never appears in both groups.
Obtain certified death certificates
Order at least 10-12 certified copies of the death certificate from the Alabama Department of Public Health, Center for Health Statistics. These are required by the probate court, financial institutions, insurers, and government agencies throughout the estate administration.
Locate and review the will
Search for the decedent's original will and any codicils. Under Alabama Code Section 43-8-160, any person having custody of a will must deliver it to the probate court of the county where the decedent was domiciled. Alabama follows a modified version of the Uniform Probate Code (UPC), which provides streamlined procedures for uncontested estates.
Determine administration type and file petition
Alabama probate runs in the elected county Probate Court, which is supervised throughout administration (Alabama is not a UPC state, so there is no informal/unsupervised track). Routine estates proceed via Letters Testamentary (with will) or Letters of Administration (without). Qualifying small estates can use the Summary Distribution affidavit instead. File the appropriate petition with the Probate Court in the county where the decedent resided.
Receive Letters Testamentary or Letters of Administration
After the probate court appoints the personal representative, Letters Testamentary (testate) or Letters of Administration (intestate) are issued. The personal representative must take an oath and may need to post bond unless waived by the will. Obtain multiple certified copies for use with financial institutions and other parties.
Publish notice to creditors
Publish a Notice to Creditors in the newspaper of general circulation in the county where the estate is being administered, once a week for three successive weeks, as required by Alabama Code Section 43-2-60. Creditors have six months from the date of first publication to present their claims. Also mail notice to all known or reasonably ascertainable creditors.
Notify financial institutions
Send certified copies of the death certificate and Letters Testamentary or Letters of Administration to all banks, brokerage firms, insurance companies, and retirement account custodians. Request date-of-death valuations for all accounts and begin marshaling estate assets.
File inventory and appraise estate assets
Prepare and file an inventory of all estate assets with the probate court within two months of appointment, as required by Alabama Code Section 43-2-310. The inventory must list all real and personal property with date-of-death fair market values. The court may appoint appraisers for real estate and other assets requiring professional valuation.
File final personal income tax return (Form 1040 and Alabama Form 40)
File the decedent's final federal income tax return (Form 1040) and Alabama individual income tax return (Form 40) for the period from January 1 through the date of death. Alabama imposes a graduated state income tax. A surviving spouse may file jointly for the year of death.
File estate income tax return (Form 1041 and Alabama Form 41) if applicable
If the estate earns more than $600 in gross income during the administration period, file federal Form 1041 and Alabama Fiduciary Income Tax Return (Form 41). The estate is a separate taxpayer from the date of death.
File estate tax return (Form 706) if applicable
If the gross estate exceeds the federal estate tax exemption, file federal Form 706 within nine months of death. Alabama does not impose a separate state estate or inheritance tax. Form 706 may still be filed to elect portability of the deceased spouse's unused exclusion amount.
Review and pay valid creditor claims
Evaluate all creditor claims filed within the six-month claims period. Allow or reject each claim per Alabama Code Section 43-2-350. Pay valid claims from estate funds in the order of priority established by Alabama law: costs of administration, funeral expenses, debts due the United States, debts due the state, and all other claims.
Distribute residuary estate to beneficiaries
After all debts, taxes, expenses, and specific bequests have been satisfied, distribute the remaining estate assets to the residuary beneficiaries as directed by the will or Alabama intestacy law (Alabama Code Section 43-8-40 et seq.). Alabama provides the surviving spouse a homestead exemption and exempt property allowance. Obtain signed receipts from all beneficiaries.
File final accounting with the probate court
File a final settlement and accounting with the probate court detailing all estate receipts, disbursements, and distributions. Under Alabama Code Section 43-2-500, the personal representative must file annual and final settlements. The court will review the accounting and may schedule a hearing for approval.
Petition for discharge and close the estate
After the final accounting is approved by the probate court and all distributions are complete, petition for discharge as personal representative. The court will enter an order closing the estate and releasing the personal representative from further liability.
Close the estate bank account
After all distributions are complete and the court has discharged the personal representative, close the estate bank account. Verify all outstanding checks have cleared and the balance is zero. Retain all financial records for at least five years.
Secure estate property and valuables
Immediately secure the decedent's residence by changing locks if necessary. Safeguard valuables such as jewelry, cash, important documents, firearms, and collectibles. If the home will be vacant, arrange for regular checks, maintain climate control, and notify the homeowner's insurance carrier of the vacancy. Secure vehicles, safe deposit boxes, and storage units. Document the condition of all property with photographs.
Notify the Social Security Administration
Report the death to the Social Security Administration at 1-800-772-1213 if the funeral home has not already done so. Any benefits received after the date of death must be returned. The surviving spouse and dependent children may be eligible for survivor benefits.
Cancel services, subscriptions, and forward mail
Forward the decedent's mail through USPS to the executor's address or a secure location to capture bills, tax documents, and creditor correspondence. Cancel or transfer utilities (electric, gas, water, internet, phone), streaming services, gym memberships, magazine subscriptions, and other recurring payments. Notify the landlord if the decedent rented. Cancel the decedent's driver's license, voter registration, and passport to help prevent identity theft.
Open an estate bank account
Obtain an EIN from the IRS using Form SS-4 and open a checking account in the name of the estate. All estate income, asset sale proceeds, and expense payments should flow through this account to maintain a transparent record for the court and beneficiaries.
File IRS Form 56 (Notice of Fiduciary Relationship)
File IRS Form 56 to notify the IRS that you are acting as the fiduciary (executor or administrator) for the decedent's estate. This establishes your authority to receive the decedent's tax information, file returns on their behalf, and correspond with the IRS regarding estate matters. File this form promptly after receiving Letters.
Maintain insurance and pay ongoing estate expenses
Review and maintain all insurance policies on estate property, including homeowner's insurance, auto insurance, and any umbrella liability coverage. Lapsed coverage during administration can expose the estate to significant liability. Continue paying ongoing obligations from the estate bank account: mortgage or rent, property taxes, HOA fees, storage unit fees, and essential maintenance. Keep detailed records of all payments for the final accounting.
Handle digital assets and online accounts
Identify and secure the decedent's digital assets, including email accounts, social media profiles, cloud storage, cryptocurrency wallets, online banking, and digital subscriptions. Most states have adopted the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA), which governs fiduciary access to digital accounts. Check the decedent's devices, password managers, and records for account credentials. Contact service providers to memorialize or close accounts as appropriate.
File claims against life insurance and benefits policies
File claims on all life insurance policies, accidental death policies, and any other insurance or death benefits payable to the estate or named beneficiaries. Provide certified death certificates and completed claim forms to each insurance carrier. Note that policies with named beneficiaries generally pass outside of probate directly to the beneficiary, but proceeds payable to the estate must be inventoried.
Manage and insure estate property
Ensure all real property, vehicles, and valuable personal property are adequately insured during the administration period. Maintain the decedent's homestead and other real property, paying ongoing expenses such as mortgage payments, property taxes, and utility bills from estate funds.
Distribute specific bequests
Distribute any specific gifts or bequests identified in the will, such as jewelry, heirlooms, specific dollar amounts, or particular assets to named beneficiaries. Obtain signed receipts from each beneficiary. Ensure adequate reserves are maintained for taxes, administration costs, and any pending creditor claims before making distributions.
When an out-of-state decedent owned Alabama real property, ancillary probate must be opened in the Alabama county where the property is located, typically after the domiciliary probate is underway in the home state.
Uncontested estates typically take 6 to 12 months. The six-month creditor claim period (running from the grant of letters or five months from first publication, whichever is later) is the primary bottleneck, and final distribution generally cannot occur until that period expires.
Court filing fees range from about $50 to $400 depending on the county. Personal representative fees are capped at roughly 5% of the estate by statute, and attorney fees are negotiated and must be approved by the court as reasonable.
For deaths between March 1, 2026 and February 28, 2027, the Summary Distribution threshold is $47,000. The cap adjusts every March 1 for inflation under the Alabama Small Estates Act, and applies only to estates with no real property.
Attorneys are not legally required for probate in Alabama, but most personal representatives hire one — particularly for estates with real estate, contested wills, creditor disputes, or Medicaid recovery claims.
Yes. Common probate-avoidance tools include revocable living trusts, joint tenancy with right of survivorship, payable-on-death and transfer-on-death account designations, and beneficiary designations on life insurance and retirement accounts. Alabama does not recognize TOD deeds for real estate.
There is no specific custodian-delivery deadline, but Alabama imposes a 5-year statute of limitations to admit a will to probate. After five years from the date of death, the will cannot be probated and the estate passes by intestate succession.
No. Alabama has no state estate or inheritance tax. Only the federal estate tax applies, with a 2026 exemption of $15 million per individual / $30 million per married couple under the One Big Beautiful Bill Act.
No. Alabama has not adopted the Uniform Real Property Transfer on Death Act. To avoid probate on real estate in Alabama, owners typically use a life-estate deed, joint tenancy with right of survivorship, or a revocable living trust.
This page is informational, not legal advice. Probate rules, thresholds, fees, and tax exemptions change. For your specific situation, consult a licensed Alabama probate attorney.