Creating an estate plan is one of the most important steps you can take to protect your loved ones. But just as important as drafting a will or trust is choosing the right executor—also known as a personal representative in Minnesota. This is the person who will make sure your wishes are carried out, your debts and taxes are paid, and your assets are distributed properly. Who you name to be your executor is an important decision and one to be made with care.
What Does an Executor Actually Do?
Being an executor can be a tough job. An executor is responsible for closing out your estate after you pass away. This can include:
- Filing your will with the probate court
- Collecting and securing assets
- Paying final bills and taxes
- Distributing what’s left to your beneficiaries
This might sound simple, but even small estates can take months to settle. The process can get even more complicated if there’s no will, unclear instructions, or family disagreements.
That’s why many people in Minnetonka turn to a probate lawyer for help during this time—to keep the process moving smoothly and to avoid costly mistakes. Some families may also want to consider using a trust instead of a will, as the administration of a trust could prove easier than for a will.
Can a Family Member Be an Executor?
Strong family relationships are an important consideration for an executor. First and foremost, if you are married, you should consider appointing your spouse as your executor. Your spouse has the biggest stake in your life and your death, and it makes sense that he or she is in control of the finances. Your spouse is also most likely to be the person around whom the rest of your family — such as children and your surviving siblings — will revolve at your passing.
What Should I Consider before Choosing an Executor?
Be careful when appointing an executor who is also getting some of your assets. Issues may arise that you do not anticipate. For instance, naming one adult child over another can sometimes create resentment. In some Minnetonka families, appointing co-executors might seem like a fair solution—but it can also slow things down if those individuals disagree or don’t communicate well. Below is a list of things to think about before choosing a family member to serve as your executor.
Will They Grieving after the Death?
Losing a loved one is emotionally draining. Asking someone close to you to also take on the legal and financial burden of settling your estate can be a lot. They may not be ready or able to make clear-headed decisions while grieving.
Will Serving as Executor Create a Conflict of Interest?
There is an inherent conflict of interest when you appoint an executor who is also a beneficiary. If the individual is trustworthy and enjoys good relationships with the other beneficiaries, this may not be a problem. But it’s a situation where disputes can be common; after all, the executor is going to be interpreting the language of the will, and if it is perceived that the beneficiary-executor is interpreting ambiguous language in his or her favor, this can pose a problem.
Will They Have the Time and Skills?
Managing an estate is time-consuming. The executor will need to manage paperwork, interact with banks and courts, and possibly sell property. Someone with a demanding job, young children, or little financial experience may not be the best fit.
Do You Own a Business that Will Be Part of Your Estate?
Your executor will be in charge of this business interest while the estate is being administered. If your interest is silent or if winding the business down is an easy task, then this may not be an issue. However, if your business is a labor-intensive operation with employees and strong knowledge, the executor is going to have a tough time while he or she continues to run things. It is very important that you have a succession plan in place for your business . . . consider appointing an executor who is familiar with running your company.
Should I Choose a Friend or Professional to Be My Executor Instead?
If you do not want to appoint an immediate relative or your spouse, you might want to consider someone you know with an accounting or law background. Some people name a close friend, business associate, or even a professional—like a bank or a probate lawyer—as their executor. A friend who understands your values but isn’t emotionally tied to family dynamics can sometimes be a smart choice. Just make sure they understand the job and are willing to take it on.
The settlement of an estate is a legal process that may require some tax knowledge. If your executor does not have this background, he or she can always hire a professional. Consulting with a qualified Minnetonka, MN probate attorney can help you find a professional or make the decision of whom to choose for the executor role.
Speak with a Probate Attorney for Guidance Choosing an Executor
In short, your executor should be someone you trust, who is familiar with your assets, and who can maintain positive relationships with the beneficiaries of your estate. This person can certainly be a beneficiary of the will, but this really works best when your will has been drafted appropriately and unambiguously.
In complex estates—or when you want to avoid burdening loved ones—a probate attorney can help guide a named executor through the process. A Minnetonka, MN probate lawyer can assist with:
- Navigating court deadlines and filings
- Managing estate taxes and property sales
- Avoiding legal issues that might hold up the estate
- Reducing conflict among beneficiaries
At Stone Arch Law Office, we understand the emotional and legal challenges that come with estate administration and the job of serving as an executor. Book a call for guidance from our probate team whether you’re choosing an executor or already serving as one, we’re here to help protect your family’s legacy.
Reference: The Wall Street Journal (June 29, 2024) Grief, Then Paperwork: The Messy, Thankless Job of an Estate Executor
