Probate Fees Ontario: Costs, Exemptions & Strategies for 2025
When someone dies in Ontario, their estate often goes through a legal process called probate. This process comes with a cost that catches many families off guard during an already difficult time.
Probate fees in Ontario are 1.5% of the estate's value over $50,000, officially called Estate Administration Tax. These fees are paid to the provincial government before assets can be distributed to beneficiaries. The tax applies to most assets, including real estate, bank accounts, and investments.
Understanding how these fees work can help families plan better and potentially reduce the tax burden legally. We'll explore how probate fees are calculated, what assets are included, and practical strategies to minimize these costs while staying within the law.
What Are Probate Fees in Ontario?
Ontario officially calls probate fees the Estate Administration Tax. You pay them when applying for a Certificate of Appointment of Estate Trustee.
These fees are 1.5% of the estate value over $50,000, with no fee on the first $50,000. Probate confirms a will is valid and gives the executor authority to manage the estate.
Definition of Probate and the Estate Administration Tax
Probate is the legal process that proves a will is valid. It lets the executor handle the deceased person's estate.
In Ontario, getting a Certificate of Appointment of Estate Trustee shows the executor has legal authority. The Estate Administration Tax is what we pay for this certificate, though people often just call it probate fees or tax.
Current rates for 2025:
First $50,000: No fee
Amount over $50,000: 1.5% ($15 for every $1,000)
The fee is based on the gross value of the estate, so we calculate it before subtracting most debts.
Role of the Estate Trustee and Executor
Estate trustee and executor mean the same thing, just different names. The will names the executor, but after the court approves them, they're called the estate trustee.
Their job is to handle the deceased's affairs—paying debts, filing taxes, and distributing assets. Some key responsibilities:
Applying for the Certificate of Appointment
Paying the Estate Administration Tax
Filing the Estate Information Return within 180 days
Managing all estate assets properly
The executor pays probate fees from the estate's money. If there's not enough cash, the executor or beneficiaries might need to loan funds to the estate.
Planning to apply for probate in Ontario? Learn the step-by-step process, required documents, and expert tips in our complete guide to probate applications in 2025.
Purpose of Probate Fees
The Estate Administration Tax helps fund the court system that processes probate applications. It also helps confirm that estates are managed correctly.
Banks and other institutions usually want to see the Certificate of Appointment before releasing funds. This protects them and ensures the right person is handling things.
Honestly, the fee system pushes people to plan their estates carefully. Since the tax can be significant, lots of folks look for ways to reduce what their estate will owe.
We have to pay these fees before distributing estate assets. The government wants payment by certified cheque or money order to the Minister of Finance.
How Probate Fees Are Calculated
Ontario calculates probate fees on the total value of assets that require probate. The Estate Administration Tax uses a tiered rate system, and not all assets are included.
Estate Administration Tax Rates for 2025
The Estate Administration Tax Act sets the rates. There's no tax on the first $50,000 of the estate.
For anything above $50,000, the rate is 1.5%. Simple as that.
Current Tax Structure:
First $50,000: $0
Amount over $50,000: 1.5%
Say an estate is $200,000. The probate fee is $2,250, which is ($200,000 - $50,000) × 1.5%.
You can use the estate administration tax calculator on the Ontario government website for exact numbers. Just enter the estate value in Canadian dollars.
What Assets Are Included in Probate Calculations
Most assets owned solely by the deceased get included in probate fee calculations. Real estate in the deceased's name alone is part of this.
Bank accounts, investment accounts, and RRSPs without named beneficiaries are also included. Personal property like vehicles, jewellery, and household items count too.
Assets typically included:
Real estate (principal residence and investment properties)
Bank accounts and GICs
Investment portfolios and stocks
RRSPs and RRIFs without beneficiaries
Personal belongings and collectibles
Business interests
We value these assets at fair market value on the date of death. Sometimes, you might need professional appraisals for pricier items or property.
Assets That Are Exempt from Probate Fees
Some assets don't require probate and are exempt from the estate administration tax. Joint assets with rights of survivorship go straight to the surviving owner.
Life insurance with named beneficiaries skips the estate entirely. Registered accounts like RRSPs and TFSAs with beneficiaries transfer directly to those people.
Common exempt assets:
Jointly owned real estate with right of survivorship
Joint bank accounts
Life insurance proceeds with named beneficiaries
RRSPs, RRIFs, and TFSAs with beneficiary designations
Pension benefits payable to survivors
Just a heads-up: these assets might still face income tax, but they don't count for probate fees in Ontario.
Trust assets, where the deceased wasn't the only beneficiary, are usually exempt from probate fees, too.
Paying Probate Fees in Ontario
The executor pays estate administration tax to the Ontario government when applying for probate. These fees depend on the estate's total value and must be paid before getting the certificate of appointment.
Who Pays Probate Fees
The executor handles paying probate fees in Ontario. These are paid from the estate's assets, not personal funds.
The executor figures out the correct amount and makes sure payment reaches the court on time. The estate itself covers the cost.
We usually withdraw funds from the deceased's bank accounts, sell assets, or use available cash. If there's not enough, we might need to sell property or investments first.
No assets can go to beneficiaries until all required fees are paid.
How and When to Pay
We pay probate fees when filing the application for the certificate of appointment. The Ontario Superior Court of Justice wants payment before they'll processes the application.
Payment methods include:
Certified cheque
Money order
Bank draft
No personal cheques or cash allowed. Make it payable to the Minister of Finance.
Fees are based on the estate's value at the time of death, including real estate, bank accounts, investments, and personal property.
The court won't issue the certificate until the full amount is paid. If payment is off, processing stops.
Budgeting for the Estate Administration Tax
It's smart to estimate probate fees early in the process. Planning helps make sure you have enough funds set aside.
For estates over $50,000, the rates are:
0.5% on amounts between $50,000 and $250,000
1.5% on amounts over $250,000
Get accurate asset valuations before calculating fees. Real estate or valuable items might need a professional appraisal.
Setting aside funds for probate fees avoids delays. Also, don't forget to budget for legal fees and court costs.
Large estates may need significant cash reserves. Sometimes, you have to sell assets early to cover the tax and other expenses.
Curious about estate administration? Learn what is probate in Ontario and how it affects wills, assets, and the next steps in the legal process.
Assets Subject to and Exempt from Probate
Not every asset in an estate needs probate in Ontario. The first $50,000 of estate assets are exempt from probate fees; anything above that gets taxed at 1.5%.
Real Estate and Mortgages
Real estate in Ontario is subject to probate fees based on its fair market value at death. The value reflects what a reasonable buyer would pay.
Mortgages and liens can be deducted from the property's value for probate. For example, if a property is worth $500,000 and there's a $200,000 mortgage, only $300,000 counts toward the estate value.
Real estate outside Ontario isn't subject to probate fees, no matter its value or location.
Assets subject to probate include:
Solely owned Ontario real estate
Bank accounts in the deceased's name only
Investment portfolios with no beneficiary
Personal property like vehicles and jewellery
Business interests and sole proprietorships
Joint Ownership with Right of Survivorship
Joint ownership with right of survivorship means property transfers automatically to the surviving owner, skipping probate. This applies to real estate and financial accounts.
Joint bank accounts go straight to the surviving account holder, avoiding probate fees. Jointly owned real estate in Ontario also bypasses probate when one owner dies.
We should know the difference between joint tenancy and tenancy in common. Only joint tenancy with right of survivorship avoids probate; tenancy in common does not.
Registered Accounts and Beneficiary Designations
RRSPs, RRIFs, and TFSAs with named beneficiaries avoid probate completely. Beneficiary designations must name specific people, not "the estate."
If you name the estate as the beneficiary, those accounts become subject to probate fees. RRSPs and RRIFs can transfer tax-free to a surviving spouse or common-law partner, though others may face tax implications (but still avoid probate fees).
TFSAs keep their tax-free status if transferred to a spouse, and sometimes the contribution room is preserved. Life insurance policies with named beneficiaries also bypass probate, with proceeds going directly to those individuals.
Reducing Probate Fees: Legal and Financial Strategies
There are some solid ways to reduce or even avoid probate fees in Ontario. Naming beneficiaries on registered accounts, using trusts, and gifting assets before death are all options.
Naming Beneficiaries and Estate Planning
One of the easiest ways to dodge probate fees is by naming beneficiaries on registered accounts. RRSPs, RRIFs, and TFSAs all allow you to do this.
When you name a beneficiary, the asset goes straight to them when you die—no probate needed. It's important to keep these designations up-to-date, though. Outdated info can cause headaches.
Key accounts for beneficiary designation:
Registered Retirement Savings Plans (RRSPs)
Registered Retirement Income Funds (RRIFs)
Tax-Free Savings Accounts (TFSAs)
Life insurance policies
Pension plans
A good financial advisor can help make sure your paperwork is in order. They can also help line up your beneficiary designations with the rest of your estate plan.
Using Trusts to Avoid Probate
Trusts can be a practical way to avoid probate in Ontario. An alter ego trust lets anyone over 65 move assets into a trust but still keep control while they're alive.
Joint partner trusts work much the same way for couples. Both partners can use the trust assets during their lifetimes.
Assets in these trusts don't go through probate. Instead, they move straight to beneficiaries as the trust says.
Benefits of using trusts:
Assets skip the probate process
Keeps your affairs private (trust documents aren't public)
Can protect against will challenges
Let you set flexible distribution rules
Trusts do mean filing annual tax returns and a bit of ongoing paperwork. It's important to weigh these costs against what you'd save on probate.
Gifting Assets During Lifetime
If you give away assets while you're alive, you shrink the estate that's subject to probate fees. This approach needs careful planning so you don't accidentally trigger tax problems.
You can gift cash, investments, or real estate to family members. Each gift lowers the estate's total value.
Important considerations:
Tax implications: Some assets might trigger capital gains tax
Attribution rules: Income from gifts could end up taxed back to the giver
Timing: Gifts need to be made before death to count
Honestly, professional advice is key for gifting. A tax specialist can help you structure things to keep taxes low and still meet your estate goals.
Special Circumstances and Considerations
Every estate is a bit different, and some require more careful planning to handle probate fees in Ontario. Simple estates under $50,000 skip probate fees, but complicated ones with lots of assets or family drama really need professional help.
Small and Simple Estates
Estates worth $50,000 or less are exempt from probate fees in Ontario. That makes things a lot easier and cheaper for most families.
You'll still need to file the right court paperwork. The estate trustee has to apply for the Certificate of Appointment, but there’s no Estate Administration Tax.
Small estates usually include:
Basic bank accounts
Personal items
Small life insurance policies
Vehicles under certain values
Even without probate fees, there are still some costs. Court filing fees and legal paperwork prep can add up, though not nearly as much as probate on a big estate.
Small estates usually move through probate faster. There’s less paperwork, and most wrap up in two or three months.
Handling a Complicated Estate
Complicated estates take more time, planning, and expertise. These often rack up higher costs beyond just probate fees.
Common headaches include:
Multiple properties in different places
Business interests
Foreign assets or investments
Family arguments about inheritance
Missing or unclear beneficiaries
The estate trustee has a bigger job with these estates. They need to value everything properly. Business and foreign assets almost always need professional appraisals.
Disputes can drag probate out for months or even years. Legal fees sometimes end up higher than the probate tax itself. You might need specialists for tax planning or tricky asset values.
Honestly, the earlier you plan for complex estates, the better. Trusts or joint ownership can help avoid future headaches. Naming beneficiaries on accounts lets assets bypass probate entirely.
Seeking Professional Advice
Once an estate is over $100,000, professional advice is pretty much a must. A financial advisor or estate lawyer can save you money and prevent expensive mistakes.
Estate lawyers know Ontario's probate rules inside out. They can help you get forms right and avoid delays. Legal fees are usually less than fixing problems later.
Financial advisors can help with tax strategies. They might suggest ways to reduce probate fees by structuring assets properly. RRSP and TFSA beneficiary designations are common tricks.
It’s always better to get advice early. Waiting until after someone passes away really limits your options. Planning ahead gives you way more flexibility.
Professional fees vary a lot across Ontario. Big cities usually charge more than rural areas. It’s smart to get quotes from a few people to compare costs and services.
Conclusion
Understanding probate fees in Ontario is crucial for families preparing for estate administration. Although the process can be overwhelming, implementing strategic planning strategies, such as joint ownership, naming beneficiaries, or establishing trusts, can significantly reduce costs.
Working with experienced estate professionals early on can save time, money, and stress. From calculating fees to completing paperwork, the right support makes all the difference.
At Probate Law Group, we help Ontario families navigate probate with clarity and confidence. Whether you're planning or managing an estate, our team is here to guide you every step of the way.
Need help with probate in Ontario? Get in touch with us today and let us simplify the process for you.
Frequently Asked Questions
Probate fees in Ontario are $15 per $1,000 of estate value over $50,000. Some assets can skip probate entirely, and the process usually takes a few months, though complicated estates can drag on.
How much does a probate value cost?
Ontario probate fees are called the Estate Administration Tax. The first $50,000 of an estate isn’t taxed.
Anything over $50,000 gets charged $15 for every $1,000. That’s 1.5% of the estate value above $50,000.
For example, if an estate is $200,000, you pay probate on $150,000. That’s $150,000 ÷ $1,000 = 150, then 150 x $15 = $2,250 in fees.
A $500,000 estate pays $6,750. The bigger the estate, the bigger the fees.
How do I avoid paying probate fees in Ontario?
You can cut probate fees by keeping assets out of the estate. Joint ownership with right of survivorship lets property pass straight to the surviving owner.
Registered accounts like RRSPs, RRIFs, and TFSAs with named beneficiaries skip probate. Life insurance payouts also go straight to beneficiaries.
Living trusts are another tool—assets in a trust don’t count as part of the estate for probate. Some pension benefits and investment accounts with proper designations can bypass probate, too.
How long does probate take in Ontario?
Probate in Ontario usually takes four to eight months if the estate is straightforward. If there are disputes or complications, it can take much longer.
The timeline depends on things like how complex the estate is, court processing times, and whether anyone challenges the will.
Executors need to gather all documents, pay debts, and file the right applications. Banks and financial institutions also need time to release assets after probate is granted.
If paperwork is missing or beneficiaries argue, things can really slow down. Having a lawyer on your side often speeds things up.
What is exempt from probate in Ontario?
Joint property with right of survivorship passes straight to the surviving owner—this covers real estate, bank accounts, and investments held jointly.
Registered retirement accounts with named beneficiaries skip probate. RRSPs, RRIFs, TFSAs, and pension plans all transfer directly to beneficiaries.
Life insurance pays out to named beneficiaries without probate. Assets in living trusts also avoid the process.
Some workplace pensions and investment accounts with transfer-on-death designations can skip probate, depending on how things are set up.
What is the minimum amount to apply for probate?
Ontario doesn’t set a minimum estate value for probate. But here’s the thing—probate fees only kick in for estates over $50,000.
Most banks and financial institutions want probate for accounts holding more than $25,000 or $50,000. Each one has its own rules, so there’s no single number you can count on.
Even small estates under $50,000 might need probate if the bank insists. Probate gives you the legal go-ahead to access and distribute assets, which is sometimes just unavoidable.
Honestly, it’s best to ask each financial institution what they need. Some might let you skip probate for smaller amounts, while others won’t budge without it.