WHO SHOULD YOU SELECT TO HANDLE YOUR ESTATE? – IT DESERVES SOME CAREFUL THOUGHT AND CONSIDERATION

One of the most important decisions you will face in preparing your Estate Plan is the selection of the person who will execute your estate upon your death.  This authority and responsibility will rest with your Successor Trustee (if you have a Living Trust) or the Personal Representative under your Will.  Since the duties of each following your death are essentially the same, that is, to carry out your directions for the distribution of your estate, for our purposes we will refer to this person as your “Executor.”

We find that in many cases, the Executor was chosen for the wrong reason, such as: they are the oldest child, or the one who lives the closest, or the smartest one, or the one with legal or financial acumen.  Of course, every situation is different, but there are some characteristics or traits that are far more important, including:

Your Executor Should Be a Good Communicator

The Executor is accountable to all beneficiaries, each of whom will be expecting that your directions will be carried out fairly and expeditiously.  If the Executor does not keep the beneficiaries apprised of the process, the beneficiaries will likely get suspicious, aggravated or hostile.  Invariably, since the Executor may need to deal with banks, financial institutions, government agencies, insurance companies, real estate agents and others, it will take time and effort.  The beneficiaries will be looking to the Executor for information that affects them and will want to be kept informed.

Your Executor Should Not Be a Procrastinator

As with any job, delaying necessary tasks makes the job harder and can lead to many problems.  They are liable to meet certain deadlines for tax and other matters.  Selecting an Executor who is attentive, diligent and persistent will certainly expedite the administration of the estate or trust, and avoid the consequences of missing any deadlines that may arise.

Your Executor Must Be Impartial

In most cases, there will be multiple beneficiaries, each having a different personality and usually having various relationships among them.  There may be bruised relationships, friction or animosity between the Executor and one or more beneficiaries.  It will be important for the Executor to avoid even the appearance of bias or favoritism.

Your Executor Needs to Be Able to Recognize When Advice From Professionals is Warranted

If your idea of an Executor is based on old movies and television shows, you might envision the Executor as an attorney or bank officer, who routinely deal with trusts and estates.  It is true that your Executor will have to deal with financial and legal matters, including tax issues.  But any proper will or trust will include provisions authorizing and directing the payment of any fees incurred for necessary professional services.

By taking the time and making the effort to prepare a will or trust, it will certainly reduce the costs of administration of your estate, but it does not mean that things will just automatically happen.  Even if you have a fully funded Living Trust, and have carefully ensured that probate will not be necessary, there will be things to attend to, including tax matters, the completion and filing of beneficiary claim forms and dealing with the financial and bank institutions holding investment assets.

Your Executor should not hesitate to seek professional counsel and advice from a competent estate attorney, at least at the commencement of undertaking their duties.  The attorney can review the relevant facts and provide guidance and assistance to the Executor as necessary.  By knowing what work will be required, the Executor can decide which tasks they can competently handle on their own if they desire, and obtain guidance and direction to enable them to carry out their duties efficiently and expeditiously.

By focusing on the forgoing considerations, you can better ensure that your estate will be administered efficiently, and without causing damage to the family members you leave behind.