By: Kevin-Barry Henry
Getting a will is something I talk a lot about in this space and for good reason. It is something that can (and will) impact your family for years after you’re gone. Dividing assets for chosen beneficiaries (and dependants) and accounting for taxes may take up most of the articles that I write, but you also will need to about the all-important task of who should be the executor of your will.
The executor will be the person that you trust to carry out your wishes, that you carefully laid out in your will. Obviously, choosing the right person will be critical to any well-prepared estate plan.
The obligations of your executor are extensive. Everything from arranging your funeral (if you haven’t done so), to making sure that your dependants and pets are looked after, filing your tax returns and disposing of the assets to your chosen beneficiaries that you have set out in your will.
Make sure that you chose someone who can handle the job. Their job will of course be much easier if you help them out by creating your own Estate Organizer.
Here are a few things to consider
Someone you can trust
Your executor will be making decisions that will no longer be here to make. Make sure you can trust them. They should be able to act solely on your behalf and not be in a position to gain any personal benefit from their decisions.
Someone who is capable
The person you choose will be required to keep a lot of records and maintain correspondence you’re your financial institutions and utilities companies, as well as the keeping track of where the assets are, where they’re going and what they’re value is.
You will need someone who is willing to work with professionals such as lawyers, accountants, financial advisors and trustees. They have to be willing to talk to experts and get their advice, and also understand that if they don’t, they could be held liable, if they make mistakes.
It is a lot of work
I have mentioned how much work being an executor can be in many articles. You may think that naming a family member who is a professional with the right skill set, but what if they don’t have time? Being your executor will require a significant time commitment. When you consider who you should choose as your executor, be mindful of the hours that they will have to dedicate to the job. It could take several months or even several years.
Be sure you let your chosen executor know in advance, so they can agree to it. If you don’t them them beforehand, they can decline. You may also want to introduce them to your lawyer, accountant and financial advisor beforehand, to make everyone more comfortable.
Someone who is younger than you
You probably will want to choose an executor who will still be around when you’re gone. A partner or a friend may will die before you do.
It is also important to review your choice of executor regularly to make sure that they are still able, capable and willing to be your executor.
Hire a professional executor
If you don’t want to burden a surviving family member, or you can’t find someone suitable for all of the responsibilities, you might want to consider hiring a professional executor, such as a corporate trustee. They will certainly have the experience and ability to oversee and administer your estate.
If you choose this option, be sure to research the company’s fee structure, the services they provide and what experience they have with other estates. It will cost your estate a fee, but that fee may be small compared with the potential losses that mistakes will cause.
A professional executor can also ensure that a family member doesn’t make any expensive mistakes or make decisions that go against your will.
It is also a good idea to name a back-up executor, just in case you first choice is unable to do the job.
Choosing your executor, planning your estate and creating your estate organizer are just a few pieces of the puzzle that will become your estate plan. It is good idea to consider who you choose as your executor wisely.
If you would like to discuss your own estate plan, please reach out for a free call here: FREE 15-MINUTES
As always, I wish you Health and Happiness.
With Gratitude,
Kevin-Barry Henry.
THIS ARTICLE IS PROVIDED AS A GENERAL SOURCE OF INFORMATION ONLY AND SHOULD NOT BE CONSIDERED TO BE PERSONAL INVESTMENT OR LEGAL ADVICE. READERS SHOULD CONSULT WITH THEIR FINANCIAL OR LEGAL ADVISOR TO ENSURE IT IS SUITABLE FOR THEIR CIRCUMSTANCES.