Does the Surviving Spouse Automatically Inherit Everything in Minnesota?

Many people think if they are married, they do not need to create an estate plan because their spouse will automatically inherit everything. But while surviving spouses have certain statutory rights in Minnesota, they are not always entitled to the deceased spouse’s entire estate. Specifically, the share of your estate that your spouse will receive if you die without a will in Minnesota will depend upon whether you have living descendants — and your spouse has living descendants from another relationship.

What is a Spouse’s Intestate Share in Minnesota?

If you pass away with a valid last will and testament, your estate will be distributed to the beneficiaries of your choosing, in accordance with the instructions you provided in the document. In the event you die without a will, your estate will be distributed to your heirs based on Minnesota intestate law. In such instances, who receives a share of your estate will depend upon whether you have a spouse and any descendants — and whether your spouse has any surviving descendants from outside your marriage.

Under Minnesota law, your estate would be distributed as follows to your surviving spouse if your pass away without a valid will:

• Married with no descendants — Your spouse would receive your entire estate if you have no surviving child, grandchild, or great-grandchild.
• Married with children — Your spouse would inherit everything in your estate if all of your surviving descendants are also descendants of your spouse, and your spouse has no other descendants.
• Married with children and stepchildren — If your spouse shares descendants with you, and also has descendants from another relationship, your spouse would inherit the first $225,000 of your intestate property, plus one-half of the balance of the intestate estate. Your children would be entitled to the remainder of the estate.
• Married with stepchildren — If you and your spouse do not share any descendants, but your spouse has descendants from another relationship, your spouse would be entitled to receive the first $225,000 of your intestate property, plus one-half of the balance of the intestate estate. Your spouse’s descendants would be entitled to the remainder of the estate.

Regardless of your family structure, it’s crucial to understand that if you pass away without a will, your estate may not be distributed in accordance with your wishes. Importantly, the best way to ensure your spouse receives the share of your estate you intend is by drafting a comprehensive estate plan.

What is a Spouse’s Elective Share in Minnesota?

Under Minnesota law, a surviving spouse has the right to receive a certain percentage of your assets upon your passing — even if you tried to disinherit them. The “elective share” is set forth by statute and allows a surviving spouse to receive more than they would have in their spouse’s will or, in some cases, through intestate succession. However, in order for the elective share provision of the Minnesota Probate Code to apply, a decedent must have resided in Minnesota at the time of their passing. If a spouse resides in another state at the time of death, the law of that jurisdiction would apply to determine the surviving spouse’s right to take an elective share.

The amount of the elective share is based upon the length of the marriage and calculated as a percentage of the augmented estate (which includes the total value of the decedent’s real and personal property, as well as their non-probate assets). For instance, if the marriage lasted between one and two years, the surviving spouse would receive three percent of the augmented estate. The value of the elective share increases incrementally for each year of marriage. For marriages lasting 15 years or more, the elective share is 50% of the augmented estate.

Does a Surviving Spouse Automatically Inherit the Homestead?

In Minnesota, a surviving spouse has the right to elect to receive certain rights in the decedent spouse’s homestead after their passing. Ultimately, this law gives your spouse the right to remain in the family residence during their lifetime. Under the statute, your homestead would pass to your surviving spouse for the rest of their life, with the remainder interest going to your surviving children. If you do not have children, your spouse would be entitled to receive a fee ownership interest in the entire homestead.

In the event your spouse has a life estate interest in the homestead, they would be entitled to a certain percentage of any sale proceeds if they choose to sell the home before their death. This percentage declines over time. Notably, your spouse would still be responsible for paying property taxes, utilities, and other expenses related to the maintenance of the homestead while they are in possession of the home.

Contact an Experienced Minnesota Estate Planning Attorney

The only way you can be sure that your wishes will be carried out upon your passing — and your spouse will inherit the assets you intend — is with a thorough estate plan. A skillful estate planning attorney can assist you with creating a thoughtful estate plan to help ensure your goals are met. Located in Maple Grove, Mundahl Law works with clients throughout Minnesota for all their estate planning needs. To learn more about how we can assist you, or to schedule an appointment, contact Mundahl Law at 763-575-7930.