Costs and the Benefits of Serving as an Executor of a loved ones estate
It's been several weeks since the funeral. But grief remains on the hearts of the family members and friends. Nobody can "prepare" themselves for the death of a loved one. No one knows quite how they may emotionally feel in the weeks and months that follow. It is a one day at a time process for most bereaved families and friends.
For the named executor they will carry a very heavy burden of responsibilities and duties that will constantly remind them of their loss. The executor will need a lot of silent determination and courage to face many issues and circumstances that others may never be aware of. Certainly, it is an honor to be chosen as the executor of an estate, but there are significant costs paid by the executor.
Costs to the Executor
To Serve or not to Serve? ... That is the QuestionAfter the executor has done a preliminary review of the estate with the aid of a qualified attorney it may make sense for the executor to ask themselves: Do you have the ability, emotional capacity and time to devote to the process?
The executor can hire attorneys, accountants, trust companies and other "agents" and assign them tasks to perform for a fee. Professional service providers can step in and assist in performing many duties, but there will likely be "judgment calls" that in the final analysis. can only be made by the executor or personal representative.
The testator (decedent) may have designated the executor many years in the past and circumstances change; people move, grow older and health issues arise. If the burden will be too much for the will stated primary executor; resigning may be the best solution. An executors resignation will allow the estate settlement process to move forward.
In many cases, the testator will name a secondary executor to step in, if the primary executor passes on their appointment. Please note, that the executor is responsible for their actions taken, (and not taken) during their time of service to the estate.
Also to be considered is whether there other family members who are better suited to perform the duties of executor? If the named executor resigns and there in not a secondary executor the probate court will determine the party best suited to complete the process. Appointment of a outside professional executor (usually an attorney), is also a prerogative of the court.
All beneficiaries may or may not be 100% satisfied with every action (although it would be nice) that the executors takes. This is not the primary duty of the executor. The executors duty is to apply; prudence, loyalty, fairness and reasonable care. The executor must be mindful of applicable laws, taxes and probate procedures; these are the standards by which the executor will be judged.
Benefits of Serving
There are some important benefits in serving as an executor of an estate.
It's been several weeks since the funeral. But grief remains on the hearts of the family members and friends. Nobody can "prepare" themselves for the death of a loved one. No one knows quite how they may emotionally feel in the weeks and months that follow. It is a one day at a time process for most bereaved families and friends.
For the named executor they will carry a very heavy burden of responsibilities and duties that will constantly remind them of their loss. The executor will need a lot of silent determination and courage to face many issues and circumstances that others may never be aware of. Certainly, it is an honor to be chosen as the executor of an estate, but there are significant costs paid by the executor.
Costs to the Executor
- Time
- Emotional capital energy
- Need for education
- Acceptance of the leadership role in family
- Potential family disputes
- May require travel
- Potential legal and financial liabilities
To Serve or not to Serve? ... That is the QuestionAfter the executor has done a preliminary review of the estate with the aid of a qualified attorney it may make sense for the executor to ask themselves: Do you have the ability, emotional capacity and time to devote to the process?
The executor can hire attorneys, accountants, trust companies and other "agents" and assign them tasks to perform for a fee. Professional service providers can step in and assist in performing many duties, but there will likely be "judgment calls" that in the final analysis. can only be made by the executor or personal representative.
The testator (decedent) may have designated the executor many years in the past and circumstances change; people move, grow older and health issues arise. If the burden will be too much for the will stated primary executor; resigning may be the best solution. An executors resignation will allow the estate settlement process to move forward.
In many cases, the testator will name a secondary executor to step in, if the primary executor passes on their appointment. Please note, that the executor is responsible for their actions taken, (and not taken) during their time of service to the estate.
Also to be considered is whether there other family members who are better suited to perform the duties of executor? If the named executor resigns and there in not a secondary executor the probate court will determine the party best suited to complete the process. Appointment of a outside professional executor (usually an attorney), is also a prerogative of the court.
All beneficiaries may or may not be 100% satisfied with every action (although it would be nice) that the executors takes. This is not the primary duty of the executor. The executors duty is to apply; prudence, loyalty, fairness and reasonable care. The executor must be mindful of applicable laws, taxes and probate procedures; these are the standards by which the executor will be judged.
Benefits of Serving
There are some important benefits in serving as an executor of an estate.
- The top reward is knowing that your honored the wishes of someone who trusted you with the resources they spent a lifetime to accumulate.
- A private executor may understand the decedents "unique assets" better than an outsider. A farmer certainly understands the intricacies of farming better than an: attorney, banker or accountant.
- They may have intimate knowledge of their business affairs and know how to maintain and enhance asset values for the benefit of all beneficiaries.
- The private executor may also have a greater ability to navigate the waters of family disputes and calm the cross currents of personalities within the family.
- Reducing the billable hours of an attorney (and other professionals) may be a significant cost savings to the estate.
- In addition, the executor, is entitled to receive compensation in the form of a fee, for the duties they perform. (see state statutes and consult an attorney for details).
Have more probate questions?
Visit: http://www.EstateSettlement.com
Brian French CEO, Estate Settlement LLC
Estate Settlement.com is a free resource for those going through probate and estate settlement. The site offers directory listings for probate attorneys.
Article Source:
http://EzineArticles.com/?expert=Brian_B_French
Visit: http://www.EstateSettlement.com
Brian French CEO, Estate Settlement LLC
Estate Settlement.com is a free resource for those going through probate and estate settlement. The site offers directory listings for probate attorneys.
No comments:
Post a Comment