Deceased Estate Victoria: What It Is and How the Administration Process Works

The term "deceased estate" gets used constantly in the weeks after a death — by banks, by the Supreme Court, by solicitors. But for most families, it's unfamiliar territory. What actually counts as part of the estate? Who is in charge? And how long does the whole process take?

Here is a plain-English breakdown of how deceased estates work in Victoria.

What Is a Deceased Estate?

A deceased estate is the collection of assets and liabilities left behind when someone dies. It includes everything the person owned in their own name at the time of death — real estate held as sole owner or as tenant in common, bank accounts, shares, personal property, vehicles, superannuation (sometimes), and any money owed to them.

Not everything is part of the estate. Assets that pass outside the estate entirely include:

• Joint tenancy property — automatically passes to the surviving owner by right of survivorship, regardless of what the will says
• Superannuation — if a binding death benefit nomination (BDBN) is in place, the fund pays directly to the nominated beneficiary, bypassing the estate; if there is no valid nomination, the trustee decides who receives the benefit
• Life insurance — policies with a nominated beneficiary pay directly to that person, not the estate

Understanding what is in the estate and what falls outside it is the first practical step. It determines whether probate is needed and how complex the administration will be.

Who Administers the Estate?

Executor (if there is a will)

If the deceased left a valid will, it names an executor — the person legally responsible for gathering the assets, paying debts, and distributing what remains to the beneficiaries. Being named as executor is not optional once you accept the role, and accepting carries real legal obligations.

An executor can be a family member, a friend, a solicitor, or a corporate trustee like State Trustees Victoria. Most Victorian families name an adult child or spouse.

Administrator (if there is no will)

If the person died without a will — known as dying intestate — there is no named executor. Instead, the Supreme Court grants Letters of Administration to a suitable person, usually the next of kin. In Victoria, that person is called the administrator and has the same duties as an executor.

The administrator must distribute the estate according to Victoria's intestacy rules under the Administration and Probate Act 1958, not according to their own judgment. The rules follow a strict hierarchy: spouse or domestic partner first, then children, then parents and siblings. In blended families, this can produce outcomes no one anticipated.

When Is Probate Required?

Probate is the formal legal process by which the Supreme Court of Victoria validates the will and authorises the executor to act. It is not required in every situation.

You generally do not need probate if:

• All assets are held jointly and pass by survivorship
• The estate is very small — the Supreme Court's Small Estates Optional Service applies to gross estates below approximately $133,090 (verify the current threshold, as it indexes annually)
• Financial institutions are willing to release funds without probate — each bank sets its own internal threshold

You generally do need probate if:

• The estate includes real estate held as sole owner or tenant in common
• Bank accounts exceed the institution's internal threshold: Commonwealth Bank and Westpac typically require probate for sole-held balances over $100,000; ANZ around $80,000; smaller credit unions sometimes as low as $20,000
• Share registries require it before transferring shares

If even one institution requires probate, the Grant of Probate will unlock everything. It is generally worth applying if you have any real estate or significant financial accounts — the effort is the same, and having the grant gives you legal authority over all estate assets.

How the Settlement Process Works

Estate administration in Victoria broadly follows five phases:

Phase 1: First 48 hours

Immediate priorities — arranging medical certification, contacting a funeral director, searching for a will, securing the deceased's home and valuables, and notifying close family.

Phase 2: First week

Ordering the official Death Certificate from BDM Victoria (7–28 days processing time), locating the original will, and making essential notifications — particularly to Services Australia within 28 days to stop pension payments.

Phase 3: First month

Inventorying all assets and liabilities. Contacting banks to establish which accounts exist and what their individual probate thresholds are. Deciding whether probate is necessary. If it is, publishing a Notice of Intention to Apply on the Probate Online Advertising System (POAS) — which triggers a mandatory 14-day waiting period before you can file with the Supreme Court.

After the 14-day period, lodging the probate application through the RedCrest eFiling portal. The application requires a sworn affidavit, an inventory of assets, a certified copy of the death certificate, and the original will. After online submission, the original will must be mailed to the Supreme Court registry within 28 days.

Phase 4: Months 2 to 6

Once probate is granted, the executor has authority to act. This phase covers:

• Closing bank accounts and collecting estate funds
• Lodging a Transmission Application with Secure Electronic Registries Victoria (SERV) if the estate includes real estate
• Paying debts, including funeral expenses, outstanding loans, and any final tax liabilities
• Lodging a final tax return with the ATO for the period from 1 July to the date of death

Phase 5: Final distribution

Executors should not distribute the estate until at least six months after the Grant of Probate is issued. This is because eligible persons have six months to bring a family provision claim under Part IV of the Administration and Probate Act 1958. If an executor distributes assets before this window closes and a claim succeeds, they can be held personally liable to cover the shortfall.

Once the six-month period passes without a challenge, the executor prepares a formal account of all assets collected and expenses paid, distributes the balance to beneficiaries, obtains signed receipts, and closes the estate bank account.

How Long Does It Take?

A straightforward Victorian estate — clear will, no property, no disputes — can be settled in three to six months. An estate with real estate, multiple accounts, or complex asset structures typically takes six to twelve months. Contested estates, or those involving intestacy with blended family dynamics, can take significantly longer.

The biggest time consumers are waiting for BDM to issue the death certificate (up to 28 days), the mandatory 14-day POAS advertising period, the Supreme Court's processing time for probate applications (currently several weeks to a few months depending on workload), and the six-month distribution moratorium.

Common Mistakes That Delay Settlement

Distributing too early. Handing out assets before the six-month mark exposes the executor to personal liability if a later family provision claim succeeds.

Missing the Services Australia notification window. Centrelink overpayments that accumulate after death become debts against the estate. Notify within 28 days.

Assuming joint assets go through the estate. Joint tenancy property passes automatically to the survivor. Treating it as an estate asset and trying to probate it delays everything.

Filing a damaged or altered will without explanation. If the original will has unexplained staple holes or rust marks, the Supreme Court will issue a requisition demanding a sworn explanation. This halts probate until resolved.

The complete step-by-step process — including every form, fee, and deadline — is covered in the When Someone Dies in Victoria — Estate Settlement Guide, structured chronologically so you know exactly what to do and when.

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