RESOURCES

What Happens if You Don't Have an Estate Plan in New Jersey?

If you don't have an estate plan, the State of New Jersey has a plan for you, but it probably isn't the plan you would want. If you die in New Jersey without a will, it's called dying "intestate," and the Surrogate's Court will appoint an executor to administer your estate and distribute your assets according to the State's intestacy laws. These laws provide a specific order of inheritance for your property based on your family relationships. If you have no surviving relatives, your estate may be claimed by the state.

Most people incorrectly assume that without a will or a trust in place, everything would automatically pass to their surviving spouse or to their children, but this is only the case in certain circumstances. Under New Jersey law, if a person dies without a will or a trust and they are survived by a spouse, the spouse will only inherit the entire estate if the person who died (the decedent) had no surviving children or parent, or if all of the decedent's surviving children are also children of the surviving spouse and there are no other children of either spouse.

If a married person dies and has no children, but they do have a surviving parent, the spouse will not receive the entire estate, only the first 25% of the estate (but not less than $50,000 nor more than  $200,000) plus three-fourths of any balance. If either the decedent or the surviving spouse has surviving children with another parent, the surviving spouse will receive the first 25% of the estate (but not less than $50,000 nor more than  $200,000) plus one-half of any balance of the estate.  In New Jersey, stepchildren do not have any inheritance rights under intestate succession laws unless they have been legally adopted by the stepparent.

If the person is not survived by a spouse or children, their parents will inherit the entire estate. If the person is not survived by any immediate family members, their siblings, grandparents, aunts, uncles, and other relatives in a specific order of priority will inherit the property.

It is important to note that intestacy laws only apply to assets that would have been distributed by a will. Assets that are jointly owned, have designated beneficiaries, or are held in a trust are typically not subject to intestate succession.

To avoid intestacy laws, it is recommended that individuals create a will or other estate planning documents to ensure that their property is distributed according to their wishes.