A General Overview of Executor’s Duties [Infographic]
The responsibilities that come with being an executor of an estate can seem overwhelming, especially if you’re unfamiliar with the process. We’ve put together this helpful infographic outlining the major duties of an executor.
One of the major responsibilities often involved in handling an estate includes selling property. When coupled with the stress of your other duties, this can seem like a daunting addition to your already long laundry list of things to do.
Working with trusted real estate experts can help. The Lyon|Stahl team utilizes a cutting-edge marketing strategy for each property we sell that has proven to bring in higher sales prices, better terms, and a quick, no-hassle transaction, all within the shortest time frame possible.
Give us a call at (310) 425-9838 today if you have any questions about the duties of an executor as they relate to real estate – or if you’d like to learn more about our services.
An executor is an individual appointed to carry out the terms of a will. Their responsibilities include handling the decedent’s liabilities, debts, and assets.
First, locate the Will and any other required documents. You can then determine how to proceed in regard to the Will.
Find the decedent’s assets and keep them safe until they can be distributed.
Notify Involved Parties
Contact each individual to inherit assets according to the last Will and Testament.
This not only includes named beneficiaries, but also potential heirs such as children, siblings, and other family members.
Manage Assets and Liabilities
Put together a detailed list of all assets to be distributed, liabilities, and potential debts to be collected from others.
If the estate includes a business, the executor may be responsible for continuing to run the business until other arrangements can be made.
Wrap Up Affairs
Cancel credit cards, close bank accounts, and notify social security of other necessary parties of the death.
Continue with any necessary payments such as those owed on a mortgage or other debts.
Estate Bank Account
It is best to set up a bank account solely for the estate, and do not commingle the estate’s assets with any other assets. Be sure to keep very detailed records of all cash flow in and out of this account.
File Tax Returns
The executor is not personally liable for the decedent’s debts, but all debts should be resolved before assets are distributed.
Income taxes are required to be paid for all income acquired in the last year that the deceased was alive.
Once all claims have been taken care of, assets can now be distributed to the appropriate beneficiaries and heirs of the estate. This may require the executor to sell property or set up any trusts required by the will. Court approval may also be necessary.
Pass Remaining Assets
Any remaining assets not specific in the will must be distributed according to state laws.
According to California law, unnamed property of the deceased will belong to the state.
File Final Accounting
Prepare a final account to close the estate.
Remember to double check all records for accuracy before filing.
After the executor’s work is done, he or she is entitled to compensation (subject to court approval).
Remember that this is income that you will need to declare on your income taxes.