Probate is the legal process for determining how a person's property and debts are handled after death. And probate law determines the process for collecting and managing the property of a deceased person (decedent), paying the deceased person's debts, and distributing any remaining property (generally, personal property or real property) to its rightful owners.

Probate is generally necessary when the decedent owned personal property and real property at the time of death, and the next rightful owners of the property (heirs) need to be identified and documented so possession and ownership of the property can be transferred in a legally defensible way. Probate is also generally necessary when the decedent had outstanding debts at the time of death.

The law generally distinguishes between probate assets and nonprobate assets. Probate assets are property that passes to the next owner at the decedent's death through a will. Because a will was historically known as a testament, these probate assets are sometimes called testamentary assets. And nonprobate assets (nontestamentary assets) are those assets that are not disposed of by will or by the laws that determine the transfer of property when a person dies without a will (intestate succession laws). Nonprobate assets are said to pass outside the probate estate.

Common examples of nonprobate assets are:

• property that passes by virtue of a contract with a designated beneficiary—such as life insurance policy proceeds and retirement plans (e.g., 401k, IRA);

• property that passes by right of survivorship, such as joint checking and savings accounts, certificates of deposit, and POD (payable on death) accounts;

• government benefits that are paid after the decedent's death, such as Social Security survivor benefits, Veterans benefits (survivors' pension or death pension), and U.S. Civil Service death benefits for a surviving spouse and children; and

• property in an inter vivos trust whose distribution is determined by the trustee after the decedent's death.

Thus, if the decedent died with only nonprobate assets—and with no outstanding debts—probate procedures are generally not necessary to administer the decedent's estate. But if the decedent died with only probate assets and some debts, it may be advisable for the estate to use the probate process to pay any debts due and protect the beneficiaries against claims of debt that are not due.

In Idaho, probate is the legal process that deals with the distribution of a deceased person's assets and the payment of their debts. When a person dies, their property is classified as either probate or nonprobate assets. Probate assets are those that are transferred to heirs through a will or, if there is no will, through Idaho's intestate succession laws. Nonprobate assets, on the other hand, bypass the probate process and transfer directly to beneficiaries through other means, such as joint ownership with right of survivorship, beneficiary designations on life insurance policies and retirement accounts, payable on death accounts, and trusts. If a person dies with only nonprobate assets and no outstanding debts, probate may not be necessary. However, if there are probate assets and debts, the estate may go through probate to settle the debts and distribute the remaining assets to the rightful heirs. The probate process in Idaho is governed by the Idaho Probate Code, which outlines the procedures for appointing a personal representative, notifying creditors and beneficiaries, inventorying assets, paying debts and taxes, and distributing the estate to the rightful heirs or beneficiaries.