Significant thought and considerations should be undertaken in the process of making the very important decision of appointing an executor for your estate. The executor is the person responsible for distributing your assets and personal belongings according to the directives you specify in your Last Will and Testament ("Will") or Living Trust. Should issues and conflict arise, a person who clearly understands your intentions would make the most appropriate executor to carry out your desires as intended.
Should a person die without a Will,, a probate court judge will appoint an executor to administer and oversee the distribution of your estate. While this may satisfy the court need to settle your estate, it often does not provide for distribution in the manner the deceased may have wanted, which is unknown to the court appointed executor. If you hope to avoid leaving matters in the hands of an unknown person or one you may not trust, it is imperative to have a proper Will that specifically names your executor.
The executor is obliged to pay any creditors and taxing authorities from the assets of your estate and distribute remaining assets to beneficiaries who are named in the Will. A simple estate might be settled in a matter of a few months. A complicated estate may take many months or even longer if contested.
When selecting your probate executor, choose someone who is responsible and trustworthy to carry out your wishes. Your executor can be a relative, such as a parent, sibling, or child, keeping in mind that the person's age may be a factor as to whether they will survive you. It is possible to also choose an alternative or contingent executor in the event of the death or unavailability of your primary choice.
If your family is particularly dysfunctional, you may want to appoint a lawyer or a bank trust officer. While most anyone can be appointed as an executor, some states place a minimum age requirement on executors, such as New York requiring a minimum of 18 years of age. It is highly advisable to ask the permission of the person you wish to designate as your probate executor and should not come as a surprise to them. It is also prudent to appoint a second probate executor if the primary administrator is unwilling or unable to perform their duties at the time of your death. A felony conviction may disqualify someone from serving as an executor under state law. While this is no longer the case in New York state, the Surrogate Court judge has discretion to determine whether a person convicted of a felony is qualified, which will include considering the nature of the crime and other relevant factors.
If you have an estate of any significant size and financial value, it is highly recommended to speak to a licensed estate planner or a wills, trusts and estates attorney. This can go a long way towards ensuring that your wishes are carried out and that your beneficiaries will receive the maximum amount of value from your estate without waste, inefficiency, or undesired distribution.
Should a person die without a Will,, a probate court judge will appoint an executor to administer and oversee the distribution of your estate. While this may satisfy the court need to settle your estate, it often does not provide for distribution in the manner the deceased may have wanted, which is unknown to the court appointed executor. If you hope to avoid leaving matters in the hands of an unknown person or one you may not trust, it is imperative to have a proper Will that specifically names your executor.
The executor is obliged to pay any creditors and taxing authorities from the assets of your estate and distribute remaining assets to beneficiaries who are named in the Will. A simple estate might be settled in a matter of a few months. A complicated estate may take many months or even longer if contested.
Selecting an Executor
When selecting your probate executor, choose someone who is responsible and trustworthy to carry out your wishes. Your executor can be a relative, such as a parent, sibling, or child, keeping in mind that the person's age may be a factor as to whether they will survive you. It is possible to also choose an alternative or contingent executor in the event of the death or unavailability of your primary choice.
If your family is particularly dysfunctional, you may want to appoint a lawyer or a bank trust officer. While most anyone can be appointed as an executor, some states place a minimum age requirement on executors, such as New York requiring a minimum of 18 years of age. It is highly advisable to ask the permission of the person you wish to designate as your probate executor and should not come as a surprise to them. It is also prudent to appoint a second probate executor if the primary administrator is unwilling or unable to perform their duties at the time of your death. A felony conviction may disqualify someone from serving as an executor under state law. While this is no longer the case in New York state, the Surrogate Court judge has discretion to determine whether a person convicted of a felony is qualified, which will include considering the nature of the crime and other relevant factors.
Duties of an Executor
The typical and ordinary duties of an executor include the following:- Filing the Will with the appropriate state probate court
- Petitioning the court with letters testamentary proving that the executor has been legally appointed by the decedent
- Making requests for certified copies of the death certificate
- Keeping beneficiaries informed actions taken on behalf of the estate
- Inventorying estate assets, including checking and savings accounts, real estate deeds, vehicle or boat titles, brokerage accounts, stock and bond certificates and other property
- Managing and protecting estate property
- Paying outstanding debts owed from the estate assets
- Opening and taking inventory of safety deposit boxes
- Closing bank or brokerage accounts, opening an estate checking account to pay the estate's debts and other obligations if needed
- Locating insurance policies and filing claims for benefits
- Collecting money or other property due and owing to the estate
- Retaining the services of professionals when required, such as accountants, attorneys and financial advisors
- Maintaining estate records, including receipts and disbursements, and filing any required accountings
- Filing tax returns, income tax returns and estate tax returns, if required, make various tax elections and pay any tax that may be due
- Contacting the Social Security office about survivor benefits for family members
- Closing the estate after ensuring that claims against the estate are paid and distributing the remaining assets to beneficiaries
Removal of an Executor
Any person who has a vested interest in an estate, typically a beneficiary or creditor, can petition the court to remove an executor, alleging incompetence, misconduct, or failure to fulfill fiduciary duties required of the executor. Evidence for removal must be presented to the court to support the petition, which will be ultimately decided by the court.Payment for Executor Services
Executors can receive compensation for their services. Fees for executor services are established by state law or by what is stated in the Will.If you have an estate of any significant size and financial value, it is highly recommended to speak to a licensed estate planner or a wills, trusts and estates attorney. This can go a long way towards ensuring that your wishes are carried out and that your beneficiaries will receive the maximum amount of value from your estate without waste, inefficiency, or undesired distribution.
