On November 24, 2025, Governor Shapiro signed Act 50 of 2025 into law, which makes several important changes to Pennsylvania’s estate administration and probate laws.
The three major areas affected include: (1) treatment of smaller bank accounts when the account holder dies, (2) easier access to unclaimed property by family members, and (3) a change in the order of distribution when a deceased individual dies without a will and/or has no living heirs. The first two amendments are primarily intended to ease the financial burden and reduce delays for families settling the affairs of a deceased loved one.
The first change increases the amount that certain family members — including a decedent’s spouse, child, parent, or sibling — may collect from financial institutions without having to open a probate estate. Under the new law, the amount will increase from $10,000 to $20,000. To collect the funds, the family member needs only to present a death certificate and a paid funeral bill (or a statement from the funeral director that the bill has been paid). Because no probate estate is required to be opened for accounts under $20,000, there is no need for estate filings or the appointment of a personal representative to retrieve the funds. This helps families cover expenses without the delay or cost associated with probate, and for deceased individuals with few assets, opening an estate may be avoided entirely. This change takes effect on January 23, 2026.
The second significant change raises the amount of unclaimed or abandoned property a deceased person’s heirs may recover from the State Treasurer without opening an estate from $11,000 to $20,000. Common examples of unclaimed or abandoned property include money in bank accounts, refund checks, gift cards, and the contents of safe deposit boxes which have been turned over to the custody of the Pennsylvania State Treasury. Heirs may claim these assets by providing a notarized affidavit to the Bureau of Unclaimed Property and a death certificate along with the claim application, thereby also avoiding the delays and costs associated with probate. This change takes effect on May 23, 2026.
The final, and most notable change, concerns the order of distribution of a deceased person’s estate when the individual dies without a will and/or has no living heirs. Previously, in such a circumstance, the individual’s estate would pass directly to the Commonwealth, and most Pennsylvanians objected to this notion. The new law adds a new layer designed to benefit the deceased person’s local community via charitable means. Under Act 50 an estate with no living heirs must first pass to an “Endowed Community Fund” located in the decedent’s municipality, school district, or county. If no such Endowed Community Fund exists, then, and only then, will the estate pass to the Commonwealth. This change takes effect on January 23, 2026.
Our firm remains committed to assisting our clients and the greater community and upon request we will gladly review each client’s unique circumstances to determine the best course of action under the new laws.
