(Oregon)
Please note that this is a simplified summary of the general rules of Intestacy in Oregon. Please note that the Intestacy rules only control probate assets. Assets which pass automatically on death (for example life insurance and IRA accounts) will pass pursuant to beneficiary designations. Depending on how the title to Real Estate is taken, it may or may not be a probate asset. This document simply explains who would be entitled to your assets after the payment of your debts. In most instances, a probate of your estate would be necessary before the person(s) entitled to your property would receive anything. Because these are general rules, I suggest that you contact an attorney to discuss the specifics of your situation.
Vocabulary:
Descendant - Children, Grandchildren, Great-grandchildren, etc.
Beneficiary - The person who receives the property.
What Happens If I Die Without a Will?
I'm Married and I Have No Children - If you are married on the date of your death and do not have any children, your spouse will receive all of your property.
I'm Married with Children and All of My Children Are Also Children of My Spouse - If you are married on the date of your death, and all of your children are also children of your spouse, then your spouse will receive all of your property.
I'm Married with Children and I Have Children that Are Not Children of My Spouse - If you are married on the date of your death and you have any children that are not children of your spouse, your spouse will receive 50% of your property and all of your children will divide the remaining 50% equally. Please see the note below regarding the age of beneficiaries.
I'm Unmarried and I Have Children - If you are not married on the date of your death, your children will divide your property equally. Please see the note below regarding the age of beneficiaries.
I'm Unmarried and I Do Not Have Children - If you are not married on the date of your death and you have no children your property passes as follows:
First, if your parents are living on the date of your death, your property goes to your parents. If your parents are deceased, your property is divided among the descendants of your parents by right of representation. For example, if you have three brothers, but one brother predeceases you leaving two children, your two living brothers would each receive 1/3 of your property, and each of the deceased brother's children would receive 1/6 of your property.
Second, if your parents and all descendants of your parents predecease you, your property goes to your grandparents and descendants of your grandparents based on the degree of relationship to you. For example if you have one living grandparent, the living grandparent would receive 25% of the estate, and the descendants of the predeceased grandparents would take by right of representation. If you have no surviving grandparents, and if you had five aunts, three of whom are living, one of whom is deceased and had no children, and one of whom is deceased but had two children, each of the living aunts would receive 1/4 of your property, and the children of the deceased aunt would receive 1/8 of your property each, regardless of which side of the family each aunt was descended from.
Finally, if your grandparents and all descendants of your grandparents predecease you, then your property goes to the State of Oregon.
I Have More than $1 Million in Assets - If you and your spouse (if you have one) have more than $1 million in assets, it is important to review Oregon Inheritance Tax law. Without appropriate tax planning, you may pay additional Oregon tax.
If a Beneficiary Is Under Age 18 - If a person who is entitled to receive a gift above is under the age of 18, then a conservatorship would have to be set up for the beneficiary. The funds would be placed in a conservatorship account, and would be subject to court supervision. The conservator would have to make annual accountings to the court. Once the beneficiary reached age 18, the beneficiary would receive the entire amount.
This document is a summary of the intestacy rules in effect in Oregon as of February 14, 2007. This document does not create an attorney-client relationship. If you desire more information about estate planning, I invite you to contact me.
Circular 230 Disclaimer: If any portion of this communication is interpreted as providing federal tax advice, Treasury Regulations require that we inform you that we neither intended nor wrote this communication for you to use in avoiding federal tax penalties that the IRS may attempt to impose and that you may not use it for such purpose.
