Probate is the legal process where the will goes through provincial courts in order to get certified and validated. The executor would apply for Letters of Probate and confirm that the will is the last will and testament of the deceased. Upon being granted letters of probate, property can be transferred onto the name of the executor of which they can begin the process of settling the estate to the beneficiaries.
The process involves fees based on the value of the estate and the fees vary from province to province. For example, in Ontario, effective January 1st 2020, the fees are $15 for every $1,000 which is applied only to estates with a value of $50,000 and above.
Probate is not a legislative requirement as certain estates may be settled without it but certain situations may call for it such as:
- Intestacy
- In case of no will, the process would confirm the executor of the estate by granting a “letters of administration” or “certificate of appointment” upon which the total value of the estate would be subject to probate fees.
- In terms of who can be appointed as administrator, it can be a spouse, children or grand children or any other person appointed by the courts.
- Litigation
- In cases where the estate is pending litigation due to claims on the estate or challenges to the will, probate would be necessary.
- Real Estate
- If property is registered in the land registry agencies then probate is recommended.
- Assets held with financial institutions
- Banks will not release assets held with them if the value of the accounts are above a certain level. They would require a certificate of appointment or a grant of probate.
Probate Fees by Province
The fees are determined by the net value of property within the estate. They vary by province to province. Below are the current probate fees:
| Province | Value of Estate | Probate Fees |
| Alberta | Under $10,000 | $35 |
| $10,000 to $25,000 | $135 | |
| $25,000 to $125,000 | $275 | |
| $125,000 to $250,000 | $400 | |
| Over $250,000 | $525 | |
| British Columbia | $25,000 to $50,000 | $6 per $1,000 (0.6%) |
| Over $50,000 | $14 per $1,000 (1.4%) | |
| Manitoba | Under $10,000 | $70 |
| Over $10,000 | $7 per $1,000 (0.7%) | |
| New Brunswick | Under $5,000 | $25 |
| $5,000 to $10,000 | $50 | |
| $10,000 to $15,000 | $75 | |
| $15,000 to $20,000 | $100 | |
| Over $20,000 | $5 per $1,000 (0.5%) | |
| Newfoundland & Labrador | Under $1,000 | $60 |
| Over $1,000 | $0.60 per $100 (0.6%) | |
| Northwest Territories | Under $10,000 | $30 |
| $10,000 to $25,000 | $110 | |
| $25,000 to $125,000 | $215 | |
| $125,000 to $250,000 | $325 | |
| Over $250,000 | $435 | |
| Nova Scotia | Under $10,000 | $85.60 |
| $10,000 to $25,000 | $215.20 | |
| $25,000 to $50,000 | $358.15 | |
| $50,000 to $100,000 | $1,002.65 | |
| Over $100,000 | $16.95 per $1,000 (1.695%) | |
| Nunavut | Under $10,000 | $25 |
| $10,000 to $25,000 | $100 | |
| $25,000 to $125,000 | $200 | |
| $125,000 to $250,000 | $300 | |
| Over $250,000 | $400 | |
| Ontario | Under $50,000 | None |
| Over $50,000 | $15 per $1,000 (1.5%) | |
| Prince Edward Island | Under $10,000 | $50 |
| $10,000 to $25,000 | $100 | |
| $25,000 to $50,000 | $200 | |
| $50,000 to $100,000 | $400 | |
| Over $100,000 | $4 per $1,000 (0.4%) | |
| Quebec | Fixed Fee | $202 |
| Saskatchewan | Fixed | $7 per $1,000 (0.7%) |
| Yukon | Over $25,000 | $140 |
Reducing Probate Fees
Many people hate paying probate fees but with proper planning, they can eliminate or lower the fees by lowering the value of the estate by
- Naming Beneficiaries on Registered Investments such as RRSPs, TFSA, RRIFs, SRSP, LIF, LIRA
- By naming a beneficiary on your registered investment, you’ll be able to avoid probate fees as upon your death, the funds would be transferred to your spouse or a qualified beneficiary.
- Naming Beneficiaries on Insurance Policies and Segregated Fund Policies
- By naming a beneficiary on your life insurance policy, the death benefit would be paid directly to the beneficiary, thus by-passing the estate and probate.
- Registering Property in Joint Ownership
- Property registered in joint would pass to the spouse upon the other’s death. This could include real estate, bank accounts, joint ventures, etc.
- Excluding assets into the estate by using trusts
- One can avoid fees by transferring property into a living trust, also known as an inter-vivos trust. The property transferred into the trust belongs to the trust for the benefit of the beneficiaries. Once the trustee passes away, the successor trustee would be able to manage the assets.
- Gifting property, assets and investments
- You can gift assets or property so it belongs to someone else. Doing so will exclude the asset from your estate and not be subject to probate.
- Estate Freeze
- One may freeze the value of their estate by limiting the growth of capital assets such as real estate, securities, corporate interests etc. Doing so, you would be transferring any future growth of the assets to another party, usually your family members.