When a veteran passes away, their surviving family faces two overlapping processes simultaneously: the civilian probate system and the federal VA benefits system. These systems operate independently — and understanding which assets go through which channel can mean the difference between a family receiving support quickly or waiting months while legal proceedings drag on.
This guide is for surviving family members and veterans doing advance planning. We'll explain which military benefits are subject to probate, which bypass it entirely, and what your family needs to do — and when — after a veteran dies.
The Core Rule: Most Military Benefits Don't Go Through Probate
VA disability compensation, SGLI life insurance, and military retirement pay are not probate assets — they operate under federal law and are governed by beneficiary designations or federal eligibility rules, not by a will or state court. But the veteran's other property (real estate, bank accounts, vehicles) typically does go through probate unless structured to avoid it.
What Is Probate and Why Does It Matter for Veteran Families?
Probate is the court-supervised process for distributing a deceased person's estate. It typically takes 6-18 months, costs 3-8% of the estate's value in fees, and is a matter of public record. For veteran families already navigating grief, VA paperwork, and benefit claims, also managing a probate proceeding can be overwhelming.
The good news: many of the most valuable assets a veteran leaves behind — life insurance, retirement accounts, and some VA benefits — are explicitly designed to bypass probate. Knowing this allows families to access funds faster, while the probate estate (if any) works through the courts.
Which Veterans Benefits Go Through Probate?
Assets That Bypass Probate
✓ SGLI / VGLI Life Insurance
Paid directly to the named beneficiary. Completely bypasses probate. Average SGLI payout: $400,000.
✓ Thrift Savings Plan (TSP)
Federal retirement account pays directly to the beneficiary of record. Bypasses will and probate.
✓ VA Life Insurance (S-DVI/VALife)
Insurance proceeds go to the named beneficiary — no probate required.
✓ Dependency and Indemnity Compensation (DIC)
A new benefit for surviving spouses/dependents. Does not go through probate — applied for directly through the VA.
Assets That May Go Through Probate
⚠ Real Estate (Titled in Veteran's Name Alone)
Must go through probate unless held in joint tenancy or a living trust.
⚠ Bank Accounts Without TOD Designation
Checking/savings accounts without Transfer on Death designation go through probate.
⚠ Personal Property (Cars, Belongings)
Vehicles and personal belongings without joint ownership go through probate.
⚠ Accrued VA Benefits (Unclaimed at Death)
Monthly VA compensation owed but not paid can be claimed — but through a separate VA process, not probate.
Accrued VA Benefits: A Special Category
If the veteran was receiving VA disability compensation and died before a scheduled payment was deposited, those "accrued benefits" — meaning unpaid amounts that had accrued before death — can still be claimed. This is handled through VA Form 21P-601 (Application for Accrued Amounts Due a Deceased Beneficiary).
Accrued benefits can be claimed by:
- Surviving spouse
- Children of the veteran
- Dependent parents (if no surviving spouse or children)
This process is separate from probate. The VA pays accrued benefits directly to the eligible claimant — the money never goes through the estate or the probate court. You must file within one year of the veteran's death.
VA Survivors Pension and DIC: New Benefits After Death
Two major benefits may become available to your family after a veteran dies — and neither requires probate:
Dependency and Indemnity Compensation (DIC)
DIC is a monthly, tax-free payment to eligible surviving spouses, children, and parents of veterans who died from a service-connected condition (or who had a 100% disability rating for 10+ years before death). As of 2026, the base DIC rate for a surviving spouse is $1,562.74 per month, with additional amounts for dependent children or if the survivor needs aid and attendance.
DIC does NOT go through probate. It is applied for directly through the VA (VA Form 21P-534EZ). The surviving spouse should file as soon as possible after the veteran's death.
Survivors Pension (formerly "Death Pension")
The VA Survivors Pension is a needs-based benefit for low-income surviving spouses and children of wartime veterans. Unlike DIC, it is not tied to service connection — it's based on financial need. This is also applied for directly through the VA and does not go through probate.
How Probate Works for the Rest of the Veteran's Estate
Once the non-probate assets (life insurance, TSP, VA benefits) are handled directly through their respective programs, the remaining estate goes through probate in the veteran's state of residence. This includes:
- Any real property titled solely in the veteran's name
- Bank or brokerage accounts without a named beneficiary or TOD/POD designation
- Personal property: vehicles, firearms, collections, household goods
- Business interests (LLCs, partnerships) unless structured to transfer automatically
The veteran's will (if one exists) governs how this property is distributed. Without a will, the state's intestacy laws decide — which often surprises surviving families, especially blended families or unmarried partners.
The Fastest Way to Help Survivors: Skip Probate Entirely
Veterans can dramatically reduce what goes through probate — and the stress on their families — with a few relatively simple steps while they're alive:
1. Create a Revocable Living Trust
A living trust transfers assets to your named beneficiaries upon death without going through probate at all. You maintain full control while you're alive. This is the most comprehensive probate avoidance strategy, especially if you own real estate.
Trust & Will's online trust package is one of the most affordable ways to create a legally valid revocable living trust — starting at under $200 for a single person. Get started here.
2. Add TOD and POD Designations to Financial Accounts
Ask your bank or brokerage to add a "Transfer on Death" (TOD) or "Payable on Death" (POD) designation to your accounts. This costs nothing and takes 10 minutes — but it means the funds go directly to your beneficiary after death, bypassing probate entirely.
3. Retitle Real Estate as Joint Tenancy with Right of Survivorship
If you own a home with a spouse, make sure the title is held as "joint tenants with right of survivorship" — not as tenants in common. With joint tenancy, the surviving spouse becomes sole owner automatically at death. No probate required.
4. Keep Beneficiary Designations Current
SGLI, VGLI, TSP, IRAs, and 401(k)s all transfer by beneficiary designation. Review these annually and after major life events. An outdated designation is one of the most common (and costly) estate planning mistakes veterans make.
Protect Your Family from Probate
A living trust is the most effective tool for veterans who want to keep their estate out of court. Trust & Will makes it affordable and easy.
Create a Living Trust →What Surviving Families Should Do in the First 30 Days
After a veteran passes, here's a prioritized checklist for surviving family members:
- Obtain death certificates — you'll need 8-12 certified copies for various agencies
- Locate the DD-214 (military discharge paperwork) — needed for VA burial benefits
- File for VA burial allowance — VA Form 21P-530EZ, within 2 years of death
- Notify the VA of the death — this stops VA payments (returning overpayments prevents future debt)
- File for DIC or Survivors Pension — VA Form 21P-534EZ, as soon as possible
- Contact OSGLI about SGLI — online claim at the SGLI website or call 800-419-1473
- Contact TSP — notify TSP of the veteran's death, beneficiary will receive claim forms
- Notify DFAS (if military retirement) — Defense Finance and Accounting Service manages SBP claims
- Open probate if needed — contact a probate attorney in the veteran's state of residence
Related Articles
- VA Estate Planning: A Complete Guide for Veterans
- Estate Planning for Veterans with Disabilities
- What Is Probate? How to Avoid It in 2026
- How to Avoid Probate: 6 Proven Strategies
- Living Trust vs Will: Which Do You Need?
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About the Author: The Law-Trust.com Editorial Team includes estate planning researchers, legal writers, and veterans advocates who review content for accuracy and usefulness. All content is reviewed for legal accuracy before publication.