What Families Need to Know After a Death in Vermont

Vermont has a relatively accessible probate system compared to many states. Its small estate process can spare smaller estates from full administration, and its $45,000 threshold is low enough that most families will at least consider it. But Vermont also has rules that catch people off guard: holographic wills are flatly invalid, the elective share deadline is real, and Medicaid estate recovery claims require advance notice before you distribute a single dollar. This guide covers the seven areas where Vermont estate law most affects what you need to do after a death — including a section on the Enhanced Life Estate Deed, which Vermont adopted in 2020 and which many families overlook as a planning tool.

Probate
Probate & Small Estate Rules in Vermont

Vermont probate is filed in the Probate Division of the Superior Court for the county where the deceased lived (one division per county, in all 14 counties). Vermont divides its probate proceedings into full administration and a simplified "small estate" track — a meaningful distinction that determines how much time and expense the process requires.

The small estate process is available when the decedent's estate has a fair market value of $45,000 or less and consists entirely of personal property (a timeshare interest is allowed), under 14 V.S.A. § 1901. Under this process, a successor petitions the Probate Division directly, without the fuller notice and accounting requirements of a standard estate; an interested person who doesn't consent in writing gets 14 days to object before the fiduciary is approved without a hearing. When an estate consists of only one or a few specific assets, Vermont Rule of Probate Procedure 80.3(g) offers an even lighter alternative: filing a sworn affidavit (with the death certificate and will, if any) in place of the full petition, so the court can order that particular asset distributed directly. Real property generally is not covered by either route — any estate that includes non-timeshare real estate must go through full probate regardless of value.

Full probate is required when the estate exceeds $45,000 in personal property or includes real estate. Vermont's creditor claim period runs four months from the date of first publication of the Notice to Creditors — or, if no notice is published, claims are barred one year after the decedent's death (14 V.S.A. § 1203). Unlike most states, Vermont does have its own state estate tax, separate from the federal one: a flat 16% rate applies to estates above a $5 million exemption per person, with no portability between spouses. A typical Vermont probate takes 6–12 months from filing to close, depending on estate complexity and court scheduling.

Assets that pass outside the probate estate — including accounts with designated beneficiaries, jointly held property with right of survivorship, and assets held in a revocable living trust — are not subject to the probate process regardless of value.

Vermont probate court filing fees

Vermont Probate Division filing fees are tiered by estate value under 32 V.S.A. § 1434(a), not a single flat amount: $50 for estates of $10,000 or less, $110 for $10,001–$50,000, $265 for $50,001–$150,000, $500 for $150,001–$500,000, $1,000 for $500,001–$1,000,000, and higher tiers above that (up to $3,250 for estates over $10 million). The Rule 80.3(g) small-estate affidavit procedure has its own flat $50 entry fee. Beyond the court fee, executor and attorney compensation are separate costs. Attorney fees for a straightforward Vermont probate estate typically run $2,000–$5,000 for simple cases, though complexity, contested matters, or real estate sales will push that higher. The court does not cap attorney or executor fees — 14 V.S.A. § 1065 allows only "reasonable fees for services," with no percentage schedule, and courts review and approve compensation as part of the final account.

If you are weighing whether to hire an attorney, see probate lawyer costs by state for typical fee ranges, including Vermont. Executor pay is covered in executor fees by state.

Wills
Will Requirements in Vermont

A valid Vermont will requires the signature of the testator plus two or more credible witnesses under 14 V.S.A. § 5. The statute does not set a minimum age for witnesses — it requires them to be "credible," not specifically adults. Both witnesses must sign in the presence of the testator and of each other. Notarization is not required for a witnessed will to be valid in Vermont, though a self-proving affidavit — signed before a notary — can streamline the probate process by eliminating the need to locate and question witnesses after death.

One of Vermont's most important will rules: Vermont does not recognize holographic wills. A holographic will is a will written entirely in the testator's own handwriting without witnesses. While many states accept these, Vermont does not. If a handwritten document lacks two witnesses, it is not a valid will in Vermont — even if the testator's intent is perfectly clear. The estate will be treated as if the person died without a will (intestate).

If you find a handwritten document that appears to be a will, do not discard it. Present it to the Probate Division. However, absent two witnessed signatures, the court will not admit it to probate.

When someone dies without a valid will in Vermont, the estate is distributed under the intestate succession rules of 14 VSA § 311. These rules prioritize spouses and descendants, then parents and siblings, following a defined statutory order.

Advance Directive
Vermont Advance Directive for Health Care

Vermont uses a combined Advance Directive for Health Care under 18 VSA § 9700 et seq. This single document covers both the appointment of a healthcare agent (the person who makes decisions if you cannot) and your treatment preferences (including end-of-life care instructions). Having both functions in one document reduces the risk of conflicting directives.

To be valid, the Vermont Advance Directive must be dated, signed by the principal, and signed by two or more witnesses who are at least 18 years old, under 18 V.S.A. § 9703. Vermont does not offer a notary as a substitute for witnesses on this document. Witnesses cannot be the person named as healthcare agent, and also cannot be the principal's spouse, parent, adult sibling, adult child, or adult grandchild. This is a common oversight — designating a close family member as agent (or asking another close family member to witness) can invalidate the witness signature.

Vermont also uses DNR/COLST (Do-Not-Resuscitate order / Clinician Order for Life-Sustaining Treatment) orders — the state's version of what's known nationally as a POLST — which are separate physician-signed medical orders governing immediate treatment decisions, defined under 18 V.S.A. § 9701. A DNR/COLST and an Advance Directive can coexist. The DNR/COLST governs acute care decisions; the Advance Directive governs longer-term healthcare choices and names the agent.

If you are settling an estate and the deceased had an Advance Directive on file, hospitals and care facilities were required to honor it during life. The agent's authority under the directive ends at death. At that point, decisions about the deceased's care, remains, and estate shift to other legal frameworks.

Spousal Rights
Spousal Rights at Death in Vermont

Vermont is not a community property state. Property acquired during marriage is generally titled in the name of the person who acquired it, rather than being jointly owned by operation of law. This means a spouse does not automatically own half of everything — but Vermont law does protect surviving spouses in several important ways.

Intestate succession (14 V.S.A. § 311): Vermont's rule turns on whether the decedent has a descendant who is not also a descendant of the surviving spouse — not on a dollar figure. The surviving spouse receives the entire intestate estate if the decedent left no descendants at all, or if every surviving descendant of the decedent is also a descendant of the surviving spouse (in other words, all shared children). If the decedent left one or more descendants who are not also descendants of the surviving spouse — most commonly, a child from an earlier relationship — the surviving spouse instead receives a flat one-half of the intestate estate, with those descendants sharing the rest.

Elective share (14 V.S.A. § 319): A surviving spouse who is unhappy with what the will provides can waive it and instead elect to take one-half of the balance of the probate estate, after allowances, claims, and expenses are paid. Unlike many states, Vermont's elective share is not based on an "augmented estate" that reaches lifetime transfers — it applies to the probate estate only. The court must serve the surviving spouse with a notice of rights within 30 days of the initial inventory being filed, and the spouse must generally file a written election within four months of the later of that notice or the inventory being served — it is not automatic.

Vermont also provides a homestead exemption and a family allowance for surviving spouses and dependents. The family allowance (14 V.S.A. § 316) is a court-ordered payment from the estate, in an amount the Probate Division considers reasonable, to cover living expenses during administration. These protections exist separately from what the will provides.

Vehicle Transfer
Transferring a Vehicle After Death in Vermont

The Vermont Department of Motor Vehicles (DMV) handles vehicle title transfers after death. How a vehicle transfers depends on how the estate is being handled and how the vehicle was titled.

For estates that qualify for Vermont's small estate process (estate value of $45,000 or less, personal property only), the vehicle can be included in that process. A qualifying successor can use the small estate petition to establish authority over personal property — including the vehicle — without a full probate proceeding.

For larger estates going through full probate, the executor will need Letters Testamentary (or Letters of Administration for intestate estates) from the Probate Division before the DMV will transfer title. The executor presents those letters along with the original title and a certified copy of the death certificate to complete the transfer. Vermont requires a Vermont Bill of Sale form even in estate transfers, along with a completed odometer disclosure for vehicles under ten years old.

If the vehicle was titled with joint survivorship — meaning the title lists two owners with "or" survivorship language — it passes to the surviving co-owner with a death certificate alone. No probate or court involvement is required. The survivor brings the original title and death certificate to a DMV office to obtain a new title in their name alone.

Vehicles held in a revocable living trust transfer directly to the successor trustee without court involvement — one of the practical reasons Vermont families use trusts for titled assets. The successor trustee presents the trust document and death certificate to the DMV.

Vermont does not impose a separate inheritance tax on vehicle transfers, and sales tax does not apply to transfers within an estate or to a family member in direct inheritance. Contact the Vermont DMV or review dmv.vermont.gov/tax-title/death-of-owner for current form requirements before visiting an office.

Enhanced Life Estate Deeds
Vermont's Alternative to a Transfer-on-Death Deed

Vermont does not have a Transfer-on-Death (TOD) deed statute of the kind many other states use. Instead, it has the Enhanced Life Estate Deed Act under 27 V.S.A. §§ 651–660, added in 2019 and in effect since July 13, 2020. An Enhanced Life Estate Deed (ELE deed) — sometimes called a "Lady Bird deed" — achieves the same practical result as a TOD deed: it lets an owner name who inherits real estate directly at death, bypassing probate, while keeping full control during life.

How a Vermont Enhanced Life Estate Deed works

The owner (the "grantor") signs and records an ELE deed while alive, reserving a life estate for themselves and naming one or more grantees who will receive the property. Unlike an ordinary deed, an ELE deed does not transfer any present interest — the grantee has only a "contingent remainder" and no vested rights until the grantor dies. Critically, the grantor keeps the right to sell, mortgage, refinance, or revoke the deed at any time, without needing the grantee's consent, agreement, or even knowledge, and the property is not exposed to the grantee's creditors during the grantor's lifetime.

If the grantor has not conveyed the property some other way during life, title vests automatically in the surviving grantee at the grantor's death, subject to any encumbrances of record — no court involvement or probate proceeding is required. One difference worth planning around: recording an ELE deed does trigger Vermont's property transfer tax at the time it is signed and recorded, unlike some other states' TOD deeds, which are typically not taxed until the property actually changes hands at death.

Key rules for Vermont Enhanced Life Estate Deeds

• The deed must be recorded in the land records of the town where the property is located before the owner's death. An unrecorded ELE deed has no effect.
• If a named grantee dies before the grantor, and the deed does not say otherwise, that grantee's share passes to their own heirs or beneficiaries (through the Probate Division if necessary) rather than automatically to the other named grantees — so a grantor who wants a true backup beneficiary should say so explicitly in the deed.
• The deed is revoked by recording a new deed from the grantor to themselves, and revised (to change or add grantees) by recording a new ELE deed naming all current grantees.
• If the property is deeded to multiple grantees as joint tenants, the surviving grantee(s) take the whole interest if one predeceases the grantor.

Enhanced Life Estate Deeds vs. living trusts

Both an ELE deed and a revocable living trust can transfer Vermont real estate at death without probate. An ELE deed is simpler and cheaper to create — it is just a recorded deed. A living trust is more flexible: it can hold multiple assets of different types, name successor trustees to manage property if you become incapacitated, and provide more detailed instructions for distribution. For a single piece of real estate with straightforward heirs, an ELE deed is often the more practical choice. For larger or more complex estates, a trust does more.

Medicaid Recovery
Medicaid Estate Recovery in Vermont

Vermont Medicaid — administered by the Department of Vermont Health Access (DVHA) under the Green Mountain Care program — has the right to seek reimbursement from a deceased beneficiary's estate for long-term care costs paid after age 55. This applies to nursing home care, home- and community-based waiver services, and related long-term services.

Vermont's recovery is tied to the probate estate: DVHA's long-term care form says the estate includes the property included in the estate when it is filed in the probate court. Assets that pass outside probate — such as jointly held property with survivorship rights, accounts with beneficiary designations, assets held in a living trust, or real estate transferred via a properly recorded Enhanced Life Estate Deed — are generally outside a DVHA claim, but confirm with DVHA before you rely on that. This makes non-probate transfers a meaningful planning tool for Vermont families with a member receiving Medicaid long-term care.

Recovery is deferred in the following circumstances:

• A surviving spouse is still living.
• A minor child (under 21) is still living.
• A blind or permanently disabled child of any age is still living.

If none of these conditions apply, DVHA will file a claim against the probate estate. You must notify DVHA before distributing estate assets — distributing without notification can create personal liability for the executor or administrator. DVHA typically responds with a claim amount within a few weeks; that amount is treated as a creditor claim and paid in the priority order Vermont law establishes before any distributions to heirs.

To begin the process, contact DVHA's Estate Recovery Unit. They will provide a statement of benefits paid on behalf of the deceased. If you believe the recovery claim is incorrect or that a hardship waiver applies, DVHA has an appeal process — consult a Vermont attorney before the deadline.

For how the federal estate recovery rules work, which survivors are protected, and how hardship waivers work, see our guide to Medicaid estate recovery.

Frequently Asked Questions About Vermont Estate Law

What is Vermont's small estate threshold?

Vermont's small estate process is available for estates with a fair market value of $45,000 or less, consisting entirely of personal property, under 14 V.S.A. § 1901. Real property (other than a timeshare) is not covered by this track — any estate that includes real estate requires full probate regardless of the total value.

Are holographic wills valid in Vermont?

No. Vermont does not recognize holographic wills. A valid Vermont will must be signed by the testator in front of two or more credible witnesses, who also sign in the presence of the testator and each other. A handwritten will without two witnesses has no legal force in Vermont. The estate will be distributed under intestate succession rules as if no will existed.

What is a surviving spouse's elective share in Vermont?

Under 14 V.S.A. § 319, a surviving spouse can elect to receive one-half of the balance of the probate estate, after allowances, claims, and expenses, regardless of what the will provides. Vermont's elective share applies to the probate estate only — it does not use the "augmented estate" concept that reaches lifetime transfers in some other states. The election generally must be filed within four months of being served with the notice of rights or the estate inventory, whichever is later — consult a Vermont attorney if this applies to your situation.

How does Vermont's small estate process work?

Vermont's small estate process under 14 V.S.A. § 1901 allows a successor to file a petition with the Probate Division of the Superior Court for qualifying estates. The threshold is $45,000 or less in personal property. This avoids full formal probate, is typically faster, and costs less. Real property cannot be transferred through this process.

Does Vermont have Medicaid estate recovery?

Yes. Vermont DVHA (Green Mountain Care) recovers long-term care costs paid after age 55 from the deceased's probate estate. Recovery is deferred while a surviving spouse, minor child, or blind or permanently disabled child is living. Notify DVHA before distributing any estate assets.

What does Vermont intestate succession look like for a surviving spouse?

Under 14 V.S.A. § 311, a surviving spouse inherits the entire estate if the decedent left no descendants, or if every surviving descendant is also a descendant of the surviving spouse. If the decedent left a descendant — such as a child from an earlier relationship — who is not also a descendant of the surviving spouse, the spouse instead receives a flat one-half of the estate, with those descendants sharing the rest.

Does Vermont recognize transfer-on-death deeds for real estate?

Not by that name. Vermont doesn't have a Transfer-on-Death deed statute — instead it has the Enhanced Life Estate Deed Act (27 V.S.A. §§ 651–660, in effect since July 2020), which lets an owner name a beneficiary who receives real estate directly at death, bypassing probate, while the owner keeps full control (including the right to sell, mortgage, or revoke) during life. The deed must be recorded in the town land records before the owner's death to be effective.