Like the homestead exemption, the Alabama family allowance is intended to provide for support of the decedent’s immediate family. If the decedent lived in Alabama at the time of death, this share of the estate is exempt from the claims of creditors and reserved for the benefit of the decedent’s family. This allowance can be used to support the surviving spouse and any minor children that the decedent was obligated to support or was in fact supporting at the time of death.
The amount of the family allowance is usually $6,000. The personal representative can set aside a lump sum of $6,000 or periodic installments not to exceed $500 per month for one year to cover the allowance. If there are factors to support an increase in this amount, the personal representative can petition the court for a higher sum.
The family allowance is intended to help support the decedent’s family during estate administration. But if the estate is insolvent (more debts than assets), the family allowance is available for one year only. So even if the estate is not closed within one year, the amounts distributed to the family will not extend beyond the first year.
The family allowance is distributed for the benefit of the individuals it is intended to support. If there is a surviving spouse, he or she will receive the entire amount for his or her own benefit and the benefit of any minor children. If the child doesn’t live with the surviving spouse, then the amount may be paid partially to the child (or his or her caretaker) and partially to the spouse. If there is no surviving spouse, payment may be made to the children or their caretakers.
The family allowance will trump all claims against the estate, but it does not have priority over the homestead exemption. The allowance is in addition to the amounts passing to the surviving spouse and children under the decedent’s last will and testament (unless the will provides otherwise), by the elective share, or by intestate succession. But the allowance must be claimed during the life of the person(s) entitled to it. The death of any person entitled to allowance terminates his right to any portion of the allowance that has not been paid.
About Jeramie Fortenberry
