Our estate planning attorney in Cary NC is here to discuss executors and their duties when it comes to your estate. Upon your death, an executor is who will distribute your assets, pay debts, taxes and other bills, as well as close your estate. Below, you'll find several duties that this individual will perform.
Executor Duties | Estate Planning Attorney in Cary NC
- The executor must collect all assets, pay all debts, and distribute the remaining assets to the beneficiaries. The executor may also be required to file annual accountings depending on the length of the estate.
- When debts have been settled, the executor must distribute the assets to all beneficiaries according to the instructions of the deceased’s will. Paying heirs directly or funding a trust for minors might be included in this step, depending on the will and state law.
- The executor may need to find an estate attorney to help calculate any estate taxes that might be due, so that the appropriate tax return can be filed and then paid.
- The executor is accountable for filing a final income tax return for the deceased. This final income tax deals with the deceased’s last year. Depending on the estate’s size, the executor may have to choose the appropriate type of bank account to place the estate’s funds. If the bank account is interest bearing, then it may be necessary for the estate to file its own tax return. These tax responsibilities call for an intellectual, well-organized person who is able to appreciate the associations of his or her duties.
- When it’s time to close the estate, the executor must provide certain documents to the clerk. Among others, the clerk must approve of a final accounting. The final accounting shows proceeds, disbursements, and distributions (discussed below). It is only after approving a final accounting will a Clerk allow an estate to be closed.
For more information regarding the duties of an executor, be sure to visit back with us, next blog post. Our estate planning attorney in Cary NC is here to help you by providing information that you may need for all your estate planning needs.
Eldreth Law Firm | Estate Planning Attorney in Cary NC
If you don’t have an estate plan in place or haven’t reviewed yours in several years, now might be the best time to start. Our estate planning attorney in Cary NC is here to help you get your estate planning in order and ready should you pass in an untimely manner or become incapacitated at some point. It’s better to be safe than sorry when it comes to an estate plan. Contact our lawyer to get started estate planning, today.