Do All Beneficiaries Have to Be Paid at the Same Time After Probate is Granted?

When a loved one passes away, navigating through the administration of their estate can be both an emotional and legal challenge. One of the crucial stages in this process is probate or granting letters of administration if there was no will. A common question arises during this stage: do all beneficiaries have to be paid at the same time after probate or letters of administration have been granted in England and Wales? This blog aims to shed light on this topic and provide some insights into the expectations for beneficiaries.

Timing of Beneficiary Payments

Whether all beneficiaries receive their inheritance simultaneously depends on several factors. Here’s a closer look:

1. Completion of Estate Administration

The executor is responsible for numerous administrative tasks before making any disbursements. This includes obtaining valuations of assets, settling debts and calculating tax liabilities. These tasks ensure the estate is fully understood and can sometimes be time-consuming, possibly taking months or even years for complex estates.

2. Partial Distributions

Executors have the discretion to make interim payments to beneficiaries before the final settlement of the estate. This might occur if a significant portion of the estate has been liquidated and most debts and taxes have been paid, leaving a clear picture of the remaining assets. However, these partial distributions involve a level of caution to ensure that there are sufficient assets to cover any remaining liabilities.

3. Specific Bequests

Some beneficiaries may receive specific bequests as detailed in the will before others. For example, a beneficiary might be bequeathed a particular item, such as a piece of jewellery or a sum of money, which can sometimes be distributed earlier than the residue of the estate.

4. Summary and Residual Beneficiaries

After settling specific bequests, the residuary beneficiaries (those entitled to the remainder of the estate) will receive their share. This process typically happens once the executor is confident all debts, taxes and specific bequests have been settled.

5. Statutory Periods for Claims

Executors usually wait for the statutory period for claims against the estate (typically six months from the date of the grant of probate) to pass. This minimizes the risk of future claims that could complicate the estate distribution.

Challenges and Considerations

While ideally, the distribution process is smooth, several challenges can delay payments to beneficiaries. Some examples are:

– Disputes Among Beneficiaries: Disagreements or contests to the will can prolong the process.
– Complex Assets: Complexities such as shares, overseas properties or business interests can take longer to resolve.
– Unknown Debts: Unexpected claims against the estate can necessitate further delays in distribution.

Conclusion

In England and Wales, it is not always possible or necessary for all beneficiaries to be paid at the same time after probate is granted. The executor’s priority is to ensure that all debts, taxes and administrative costs are settled and that the will’s instructions are followed precisely. Beneficiaries can receive their inheritances at different times, depending on factors like estate complexity, specific bequests and partial distributions. Patience and communication with the executor can help manage expectations during this often complex process.

As a beneficiary are you worried that the executives and/or lawyers are not releasing your bequest quickly enough? Are you an executor under pressure from beneficiaries who is making little progress in obtaining updates on funds from the lawyers? If so we can assist in obtaining updates and expediting any payments. Why not contact us for a free, no obligation consultation to see what we can do for you?

This blog was prepared by Alexander JLO’s senior partner, Peter Johnson on the 11th January 2025 and is correct at the time of publication. With decades of experience in almost all areas of law Peter is happy to assist with any legal issue that you have. His profile on the independent Review Solicitor website can be found here.