What Texans Need to Know About New Inheritance Laws

Inheritance can feel like an overwhelming topic, especially when laws change and families are already under stress. Whether you’re planning ahead or dealing with a loved one’s estate, understanding recent updates to Texas inheritance laws can help you avoid expensive mistakes and protect your family’s future.

This article explains the essentials, without legal jargon, so you can feel secure about getting to your next steps.

Understanding Intestate Succession in Texas

Intestate simply means dying without a will, so intestate succession is the legal process that determines who inherits your property if you die without a valid will.

Many people assume that if they pass away without a will, everything will automatically go to their spouse or children. Unfortunately, it’s much more complicated than that here in Texas.

Here’s how it generally works if someone dies without a will:

• If there is a surviving spouse but no children, the spouse inherits everything.
• If there is a spouse and children from that marriage, the spouse still inherits all community property and one-third of separate personal property, while the children share the rest.
• If there is a spouse and children from another relationship, the surviving spouse keeps their half of the community property, but the decedent’s half goes to the children instead of the spouse.

These rules often come as a surprise—and can lead to disputes when expectations don’t match the law.

Recent clarifications to the Texas Estates Code emphasize how important it is to properly classify assets as community or separate property. Without clear records or an updated estate plan, even families with good intentions can end up in court.

Changes in Probate Thresholds

If you’re handling an estate, the size of the estate affects how much court involvement you’ll face. Texas allows simplified probate processes in limited situations:

• Small Estate Affidavit: For estates valued under $75,000 (not counting the homestead or exempt property), heirs may use a small estate affidavit to transfer assets without formal probate.
• Muniment of Title: If there is a valid will and no debts other than secured real estate, the court can transfer property by muniment of title—avoiding the need to appoint an executor.

These options can save time and expense, but eligibility is strict. Texas has clarified procedural requirements for these affidavits, including notice and filing deadlines. If paperwork isn’t submitted properly, you could be forced into a longer probate process.

New Considerations for Transfer-on-Death Deeds

One significant update involves Transfer-on-Death (TOD) deeds, which have become a popular way to pass real estate directly to beneficiaries without probate.

While TOD deeds have existed在内 Texas for years, recent legislative updates clarified recording requirements and the importance of properly describing the property and beneficiaries. Failing to update or revoke a TOD deed before death can lead to unintended transfers.

If you’ve recorded a TOD deed or plan to, it’s a good idea to review it periodically with an attorney to ensure it reflects your wishes and complies with the latest regulations.

Federal Tax Implications in 2025 and Beyond

Although Texas does not impose an estate or inheritance tax, federal estate tax laws still apply. For 2025, the federal lifetime estate and gift tax exemption increased to $13.99 million per individual. However, this threshold is set to drop in 2026 unless Congress extends the higher limits.

If you have significant assets—especially real estate, business interests, or retirement accounts—it’s worth speaking with an estate planning attorney or tax professional to understand whether future federal changes could impact your family.

Why These Changes Matter

When families are grieving, the last thing they need is confusion over who inherits what, or a legal fight over paperwork. Even minor oversights—like failing to update a will after marriage or forgetting to file a new TOD deed—can lead to delays, disputes, and unexpected costs.

These recent updates serve as a reminder of how essential it is to:

• Keep wills and beneficiary designations current
• Maintain clear records of property ownership and classification
• Understand which assets will pass through probate and which will not

An estate plan is not just about avoiding taxes or paperwork. It’s about making sure your wishes are honored and your loved ones are spared unnecessary stress.

Practical Tips for Texans

Here are a few ways to protect your family under current Texas inheritance laws:

• Review Your Will Regularly
  Update it whenever you marry, divorce, have children, or acquire significant assets.
• Confirm Beneficiaries
  Make sure your life insurance policies, retirement accounts, and bank accounts have accurate beneficiary designations. These often override what’s written in your will.
• Consider a TOD Deed
  If you want to pass real estate directly to someone, a TOD deed can be a useful tool—but it must be properly drafted, recorded, and kept up to date.
• Stay Informed About Federal Exemptions
  If your estate approaches the federal threshold, proactive planning can help you avoid unintended tax consequences.
• Talk to an Attorney
  Even if your situation seems straightforward, professional guidance can help you avoid common pitfalls.

Moving Forward

You don’t have to face these decisions alone. Whether you are planning ahead or navigating probate, understanding Texas inheritance laws empowers you to make informed choices and avoid unnecessary conflict.

We believe in clear advice, practical solutions, and strong advocacy when you need it most. If you’d like help reviewing your estate plan or guiding an estate through probate, our team is here to answer your questions and protect what matters most to you.

Feel free to contact us to schedule a consultation. Together, we can help ensure your legacy is secure and your loved ones are supported.