Estate

An estate is the total of a person's assets (property, bank accounts, shares, vehicles, personal belongings) less their debts. When someone dies, their Will directs how the estate is divided among the beneficiaries, after debts and expenses are paid. Importantly, some assets sit outside the estate — for example, jointly owned property that passes by survivorship and most superannuation death benefits, unless they are paid to the legal personal representative.

The word "estate" is used to describe both the pool of assets and the legal process of dealing with them. Example: "Her estate was worth $850,000, but after the mortgage and funeral costs were paid, around $620,000 remained for distribution to her children." Knowing which assets fall inside the estate matters because only estate assets can be gifted by a Will.