Being made an executor for someone in your life is an important responsibility and may feel a bit daunting. However, taking steps now to get organized and prepared can help the role feel more manageable, and ease the execution of necessary tasks when the time comes.
An executor is a person, named in a will, that is legally responsible for carrying out the wishes of someone who has died, specifically involving legal and financial matters.
Here is a list of some common responsibilities of executors. Note: not all of these may/will apply, this is just a list taken from the internet and should not be taken as legal advice. If you would like a more specific list of actions to take, I would recommend consulting with your estate attorney.
Locate important documents.
Request copies of death certificates.
Make funeral arrangements.
File the will in probate court if necessary.
Set up an estate account.
Notify organizations of the death.
Pay off debts.
Manage and distribute assets.
File a tax return.
Here are some practical tips about being an executor that can make the future easier and empower you to feel prepared in the present.
Understand what assets your loved one has. It will make distributing assets much easier if you know what does and does not exist. Have a list of accounts, logins/passwords, and locations of important documents (like will, trust, social security number, etc). Keep this saved in a secure location (such as a home safe or a safety deposit box at a bank) as this information would be dangerous if someone were to get access to it.
If you haven’t already, sit down with your loved one and have a conversation about their desires for their estate. Understanding their intentions while they’re still around will make sifting through any grey area in the future much simpler (and might even give them some clarity on edits they would like to make).
Your role as an executor of an estate, especially if it is someone you are close to, is “a grieving person” first, and “executor” second. There is no pressure to have all the answers right away. This may be a very difficult time and you’ll need to give yourself space away from the financials to take care of yourself and your family. Consider checking out some of these resources on balancing your mental health and the role of an executor, they may have some helpful advice.
As a holistic and client-centered firm, we are happy to assist and give advice when complicated life situations arise, including managing a loved one’s estate, and talking through your own estate planning. If you’re looking to take the next step in managing your financial journey, schedule a call with us.