The executor is required by law to settle the decedent's affairs and to comply with the terms of the decedent's will. The executor is personally responsible for the payment of all invoices and taxes of the deceased to the extent of the assets of the estate. An executor (also called a “personal representative” in some states) is a person named in a will to fulfill the wishes of the deceased person. Typically, an executor offers the will for probate, takes steps to protect estate assets, makes distributions of property to beneficiaries, and pays debts and estate taxes.
If an executor mismanages estate funds and this results in a loss for beneficiaries, the executor may be held personally liable, so it is important to know that a person named executor has the right to refuse the position. In this case, the will may appoint a substitute executor or the court may designate another person to carry out the responsibilities. The role of an executor in estate planning involves multiple functions. An executor takes care of the ultimate liabilities of an estate, manages the decedent's assets through the probate process, and manages the distribution of assets in accordance with the decedent's will after his or her death.
In Florida, the executor is referred to as a personal representative. Once the deadline for creditors' claims has passed, the estate has paid all legitimate debts, tax returns have been filed, and any dispute has been resolved, the executor can be ready to formally close the estate. One of your biggest responsibilities as executor will be to file the will with the county probate court. Small estate procedures or avoiding probate altogether can save the estate money and time for the executor.
Most executors are members of the immediate family, and spouses, children, and parents are the most common executors. After the probate case is opened, the executor will be responsible for notifying all beneficiaries, heirs and creditors of the probate case. The executor plays a very important role after the death of the testator (the person to whom the will refers), including the tasks of tracking assets, paying creditors and ensuring that the beneficiaries named in the will receive the assets to which they are entitled. Some executors choose not to accept the payment, especially if they are one of the beneficiaries of the estate, since the executor's payment is considered taxable income, while the inheritance is generally not.
There is no need to file a will petition with the will, as the executor may need more time to determine if an estate case is even necessary or if the estate qualifies for certain small estate proceedings. In many states, the court requires the executor to submit a detailed inventory of the estate's assets. Since successions vary greatly in size and complexity, and the executor's work can be easy or difficult to carry out, and responsibilities can go beyond the 10 basic elements of this list. The executor may also be required to periodically submit documents, known as accounting, that track the financial activity of the estate.
Your duties and responsibilities as executor will not come into play until after the testator's death. The service process may vary by state, but the executor will likely need to file proof of the notice with the probate court. By consulting with appropriate professionals when necessary to determine the legitimacy of an invoice or debt, the executor is responsible for paying the bills and debts owed by the deceased with the funds found in the estate. One of the biggest drawbacks of being an executor is the large amount of time it takes to properly manage responsibilities.
The transfer of any property should be made only once the executor is sure that the estate can pay all of its legitimate debts and taxes. .