Detailed Answer
Short answer: A will that leaves everything to your daughter does not by itself make transfer-on-death (TOD) deeds or payable-on-death (POD) designations unnecessary. Wills and nonprobate tools operate differently. Which tool you need depends on the type of property, your goals for avoiding probate, creditor and tax exposure, and whether you want immediate transfer at death.
How wills, TOD deeds, and POD designations differ
Wills control how assets that are part of your probate estate distribute after the executor completes probate. A will must be admitted to probate before most assets pass under it. Probate can take months, sometimes longer, and it’s a public court process.
Nonprobate devices — including transfer-on-death deeds for real estate and payable-on-death designations for bank accounts — typically pass assets directly to the named beneficiary when you die and bypass probate. These transfers are contractual or statutory and usually take effect automatically at death if they were properly created and maintained.
Why that matters in Ohio
Ohio recognizes statutory conveyances and nonprobate transfers for many asset types. For example, Ohio’s statutes cover real estate conveyances and procedures that affect how title passes. (See Ohio Rev. Code Chapter 5302 for conveyance rules and Chapter 2107 for wills and probate procedures.) For the exact statutory language, see:
Common scenarios and outcomes
- House titled in your name alone: If the house remains titled solely in your name, your will controls distribution at death but the house must go through probate before title updates to your daughter. A properly executed and recorded TOD deed (if available under Ohio law for the property type) can transfer the house directly at death and avoid probate.
- Bank account with POD beneficiary: A bank account that already lists your daughter as payable-on-death (POD) will pass to her directly, regardless of what your will says, and will not be part of probate.
- Conflicts between documents: When a nonprobate designation (POD, TOD deed, beneficiary on retirement account) names someone other than the will’s beneficiary, the nonprobate designation usually controls for that asset. That means the will can’t override properly executed beneficiary designations.
- Joint accounts and survivorship: Jointly titled property or accounts with rights of survivorship typically pass automatically to the surviving co-owner and bypass the will.
- Assets that can’t use TOD/POD: Some items (personal effects, certain types of business interests, or property with mortgages and liens) may not transfer cleanly by TOD/POD or may require additional steps. A mortgage stays on the property until paid; a TOD deed does not eliminate outstanding liens.
Practical considerations
If your goal is to avoid probate and speed transfer to your daughter, TOD deeds and POD designations are useful when they are available and correctly executed. If you don’t mind probate, or if you want the court-supervised process and creditor notice that probate provides, a will alone may be acceptable.
Other factors to weigh:
- Creditor claims: Probate notifies creditors and can help clear claims. Nonprobate transfers typically pass outside probate and may give creditors fewer chances to reach those assets.
- Medicaid and public-benefit planning: Some transfers can affect eligibility rules and look-back periods.
- Taxes and estate administration fees: Nonprobate transfers can reduce probate costs but won’t necessarily reduce estate tax exposure (if applicable) or income tax consequences for beneficiaries.
- Record-keeping and timing: TOD deeds must usually be recorded properly during your lifetime to be effective; POD designations must be properly filed with the financial institution.
- Conflicts and unintended consequences: Outdated beneficiary designations often create surprises. A will does not revoke or change a bank’s POD designation or a properly recorded TOD deed.
Typical recommended approach
Most people use a combination of tools:
- Keep a will for assets that cannot or will not be transferred by beneficiary designation.
- Use POD or TOD where appropriate to avoid probate for bank accounts and real property (if available and appropriate in Ohio).
- Coordinate beneficiary designations (retirement plans, life insurance) with your will so they reflect your current wishes.
- Consider a trust if you need more control, privacy, or advanced planning (tax, incapacity, special needs).
Example (hypothetical)
Maria has a house titled in her name, a checking account, and a 401(k). Her will leaves everything to her daughter. Maria records a TOD deed that names her daughter for the house and designates her daughter as POD on the checking account. At Maria’s death, the house and checking account transfer directly to the daughter without probate. The 401(k) passes to the beneficiary listed on the plan documents, which Maria must check and update if needed. If Maria had not recorded a TOD deed or POD and the 401(k) had an older beneficiary, probate could be required or an unintended person could receive the retirement account.
When you should see an attorney
Get legal advice if you have any of the following:
- Complex asset ownership (business interests, out-of-state real estate, trusts).
- Large assets or potential estate tax issues.
- Creditor, Medicaid, or long-term care planning concerns.
- Conflicting beneficiary designations or recent life changes (divorce, remarriage, births, deaths).
Disclaimer: This article explains general legal concepts under Ohio law and is for education only. It is not legal advice and does not create an attorney-client relationship. For guidance specific to your situation, consult a licensed Ohio attorney.
Helpful Hints
- Inventory all assets and note how each is titled and who is named as beneficiary.
- Check and update beneficiary designations on retirement plans, life insurance, and payable-on-death accounts regularly.
- If you own real estate in Ohio and want to avoid probate, ask whether a TOD deed is available and how to record it correctly (see Ohio Rev. Code Chapter 5302).
- Remember a will does not override properly executed beneficiary designations or joint ownership arrangements.
- Keep clear, dated records of any TOD deed and POD forms and where your daughter can find them.
- Talk with an Ohio estate attorney if you need to coordinate probate avoidance, tax planning, or Medicaid issues.
- Review your plan after major life events: marriage, divorce, births, deaths, large gifts, or moves to another state.