Choosing an Executor

Your executor can be just about anyone: a friend, a relative or a bank. But, we caution you to choose carefully. Your executor will make all of the crucial decisions for your estate—including overseeing the distribution of your assets. In particular, look for an executor who is:

1. Trustworthy. Your executor will have complete access to all of your assets after your death, including your cash, jewelry, the contents of your safe-deposit box and your household furnishings and effects. Choose someone you can trust to be fair to your beneficiaries and to carry out your wishes.
2. Competent. The executor must assume the duties of investing your assets and continuing to run any business interests you may have until your estate is discharged—a process which could take several years. Your executor can also be held liable for making imprudent decisions or if professionals he or she hires (like an accountant) fail to take timely action.
3. Diplomatic. Your executor must be willing and able to resolve any conflicts that arise among your beneficiaries. If one heir wants a particular asset sold, while others want to have it kept, your executor will have to consider these conflicting viewpoints and decide what should be done.
4. Organized. Your executor will be responsible for gathering up and itemizing all your estate's assets, collecting any money that was due to you, notifying life insurance companies of your death, paying your debts, valuing your assets, filing federal and state estate tax returns and paying estate taxes, filing your final income tax returns, filing the estate's income tax returns, and distributing your estate to the people named in your will.

An executor's duties do not end until your executor has accounted to the probate court and to the beneficiaries for receipt and distribution of all property in your estate. That's why we recommend that any potential executor be good with details.

Page « Previous 1 2 3 4 Next »