Do You Need Probate in NZ? The $40,000 Threshold Explained

Probate is a High Court order confirming a will is valid and that the executor named in it has authority to deal with the estate. Whether you need one comes down to two things: what the person owned, and how they owned it.

The short answer

The $40,000 threshold

Since 24 September 2025, banks, KiwiSaver providers and other institutions can release up to $40,000 held in the deceased's sole name without a grant of probate. Before that the limit was $15,000, so if you're reading something older it may quote the wrong figure.

A few things about the threshold catch people out:

• It applies per institution, not to the whole estate. If Dad had $30,000 at ANZ and $25,000 at Kiwibank, each bank can release its funds without probate, even though the combined total is over $40,000. But $42,000 sitting in one account will need a grant.
• Shares and bonds weren't increased. The release limit for shareholdings is still $15,000.
• Each institution has its own paperwork and its own process. Most will ask for a death certificate, the will, identification, and a statutory declaration before they'll release anything.

When probate is always required

• Real estate in the deceased's sole name. A house or land can't be sold or transferred without probate (or letters of administration if there's no will), no matter what it's worth.
• Any single sole-name holding over $40,000. Bank accounts, KiwiSaver, life insurance paid to the estate.
• Some institutions ask for a grant even below the threshold. That's their call, not yours, and it's worth checking their policy before you assume you're in the clear.

What doesn't count

Assets that pass outside the will usually don't push you over the threshold:

• Jointly owned property and joint bank accounts pass automatically to the surviving owner. See what happens to bank accounts when someone dies.
• Assets owned by a family trust aren't part of the estate.
• Life insurance with a named beneficiary goes directly to that person.

If there's no will

The same thresholds apply, but instead of probate you'd apply for letters of administration, a similar court order naming an administrator instead of an executor. We cover this in letters of administration: what to do when there's no will.

Where to start

Make a simple list of everything the person owned in their sole name, and where. If it all sits under $40,000 per institution and there's no solely owned property, contact each institution and ask for their deceased estate process. If anything exceeds the line, you'll need to apply to the High Court, and most families get a lawyer to handle it. It costs less than people expect: see how much probate costs in NZ.