10. Your Executor's Responsibilities

One of the most important provisions of a Will is that which appoints an Executor for the estate. It is the Executor's responsibility to carry out the provisions of the Will and to settle the estate.

Many Wills name a spouse or family member as Executor, but the complexity of the job is making the corporate (bank) executor increasingly popular. The Executor's responsibilities include:

1. Taking possession, protecting, and conserving all property.

2. Collecting all debts, claims and notes due.

3. Determining the identity and degree of all possible heirs.

4. Handling all business interests and settling all affairs.

5. Reviewing debts and paying obligations, including Federal and
State income, inheritance, gift and estate taxes.

Various legal documents must be filed, notices published and tax returns prepared. Appraisals must be made, and a significant amount of accounting must be done. These are difficult and time-consuming jobs for the novice, and frequently heart-rending for a child, spouse or retired person to perform.

You should review the advisability of naming a corporate trustee as Executor, or possibly as an alternate Executor in case your original Executor is unable or unwilling to serve.

The law limits executor fees, whether paid to an individual or to a trust company. A professional executor's efficient management often saves more than enough to offset its fees. Your attorney will be consulted by your Executor for legal assistance in settling your estate.

Tax reference verification 1-800-829-1040

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