You’ve been named as your parent’s executor. Now what?

If you’ve been named the executor under a parent’s last will and testament (the “will”), it quickly becomes apparent that it’s a role with both emotional and administrative tasks. As the executor, your parent entrusted you with the responsibility of their last wishes. Your mother or father has faith in your ability to carry out these wishes—and has put trust in you by appointing you as executor.

This complicated honor—and legal responsibility—involves taking care of financial obligations, including the payment of debt and taxes, and then properly dispersing the remaining assets according to the directions spelled out in your parent’s will. It also involves serving as the estate's fiduciary and maintaining property until the estate is settled and making any required court appearances.

Knowing and understanding these responsibilities is the first step when preparing to oversee the estate process. This checklist is intended to help.

When your parent names you their executor, the most important first step is to have a discussion with your parent (while you still can) to ensure you fully understand their expectations. Review the will now with your parent(s) and if anything is unclear, ask questions. For example, does it address the family business? What are the plans for the family heirlooms? Also, have your parents informed all family members of their estate plan and why they've named you the executor? The more you communicate, the more you can share and put others at ease, doing your best to avoid any hurt feelings or conflicts.

As executor, it is your responsibility to locate the original will and submit it for probate. It is a good idea to get it now and make sure you are keeping it in a safe place. In addition to the will, other documents you may need include:

• Trust documents
• Insurance policies
• Contact information for your parent’s wealth manager, attorney, and accountant
• Brokerage and advisory account statements
• Bank account information
• Military records
• Information about keys to any safe deposit boxes; deeds; pension statements
• Social Security documents
• Credit cards and statements
• Other financial and investment information

You need to purchase multiple copies of the certified death certificate—for banks, insurance companies, credit providers, and others. Get at least 10 copies. Generally, the funeral home can provide them, but you may also obtain the death certificate from your parent’s local municipal recording-keeping office (town clerk or county or state medical examiner’s office).

If your mother or father set up a living trust or certain other trusts, and transferred all of their assets to that trust, you may be able to avoid probate—the court process of proving the will’s legitimacy and then dispersing the estate’s assets according to the terms of the will. Whoever is named as the trust’s successor trustee can distribute assets owned by the trust according to the terms of the trust agreement without going through the probate process. If there are assets not held in trust, you will need to go through the probate process, which, depending on a range of factors, can take months, even years.

Even if probate isn’t necessary, it is generally best to file the will with the probate court. As executor, it may be your duty to notify banks, credit card companies, the Social Security Administration, and any other government agency that was providing benefits to your parent, of your parent’s death and provide a death certificate.

You need an account in the name of the estate to 1) deposit incoming funds, such as paychecks or other money owed to your parent, and 2) write checks to pay your mom or dad’s bills, including mortgages, utilities, and credit cards.

As executor, you also need to keep up the house and maintain personal property until its distribution or sale, including any property in a safety deposit box. Some states require a personal property inventory. Certain valuables might even require an appraisal.

Keep in mind that car payments, mortgages, and property taxes will likely have to be paid by the executor on behalf of the estate until the estate is settled. Go through checkbooks and bank statements to determine what expenses your parent had been paying regularly. In addition, if the income earned by the estate exceeds the applicable income tax exemption amount, the estate may be required to file federal and any applicable state income tax returns. Finally, even if there is no federal estate tax due, there may be a state inheritance or estate tax. All estate tax returns should be filed within nine months of the date of death.

Finally, once all debts of the estate have been settled and you’ve paid any estate taxes and all other liabilities of the estate, you can proceed to distributing the assets of the estate—property, stocks, bonds, cash, and other items of value—to all the beneficiaries, as specified in the will—or if there was no will, to the heirs as determined under applicable state law. Be sure to get receipts from each beneficiary acknowledging they have received their share of the assets. The executor is responsible for disposing of anything left in the estate following the payment of all debts and the distribution of assets to the beneficiaries/heirs.

Handling the complex process of estate administration during an emotional time is a challenge for the strongest person. There is no need to go it alone. Speak with an attorney, accountant, tax advisor, and/or your or your parent’s financial advisor to help you understand and navigate this often complicated process.

The source of this article, You’ve Been Named as Your Parent’s Executor. Now What?, was originally published on September 10, 2021.

CRC# 3769698 09/2024