Will the Government Get Your Money If You Die Without a Will in Florida? 5 Probate Myths (Part 2)

It is a common, lingering fear for many people: if you pass away without leaving behind a formal Last Will and Testament, the state will step in and seize your hard-earned bank accounts, property, and assets.

No, the government does not automatically get your money if you die without a Will in Florida. In reality, the state has no legal right to permanently take your property simply because you didn’t leave estate planning documents behind. Instead, your assets are distributed to your closest living relatives based on a set of legal default rules.

As we discussed in our previous post on why a Will does not avoid probate, the presence or absence of a Will has no bearing on what you owe to the state, nor does it automatically hand your estate over to the government.

The Reality of Florida Estate and Inheritance Taxes

Much of the confusion around this myth stems from a misunderstanding of how death taxes work. Here are the facts regarding what an estate actually owes the government:

• Florida State Taxes: Florida does not have a state-level inheritance tax or estate tax of any sort.
• Federal Estate Taxes: The vast majority of Americans will never owe a single dollar in federal estate taxes. The individual exemption threshold is set at $15 million per person, and double that for married couples. Unless your estate exceeds these multi-million-dollar amounts, the federal government will not tax your assets upon your death.

What is Escheatment? How the State Can Actually Claim Unclaimed Assets

There is only one rare scenario where the government could actually keep your money. This occurs if you pass away with assets that are entirely forgotten, you have no designated beneficiaries, and no relatives can be located.

If an estate goes completely un-probated and unmanaged, those financial assets will eventually be deposited with Florida’s unclaimed property division. If those funds sit unclaimed for more than seven years, they “escheat” legally transfer to the State of Florida.

Fortunately, this is entirely preventable, and you can easily check the state’s registry for yourself or a missing relative at the official Florida Treasure Hunt website.

Who Are the Real Government Creditors in Florida Probate?

When we look at real-world probate cases, the government rarely takes an estate via taxes or asset seizure. Instead, government entities usually appear as standard creditors.

The two most common government-related claims we see during standard probate administration involve unpaid personal income taxes owed to the IRS, or Medicaid estate recovery claims, where the state seeks reimbursement for long-term healthcare costs provided during the deceased person’s later years.

Speak with an Experienced Florida Probate Lawyer

Navigating what an estate truly owes and ensuring your family is legally protected requires a clear understanding of Florida estate law. At Statewide Probate, we specialize in helping families manage probate efficiently, avoiding unnecessary costs and protecting your family’s inheritance from unverified claims.

If you are dealing with the estate of a loved one who passed away with or without a Will, contact our Florida probate team today for a free 20 minute consultation.