5 Things to Consider Before Becoming an Estate Executor
5 Things to Consider Before Becoming an Estate Executor
Before you say yes to being the executor of an estate, read this
By Andrew Beattie Updated February 25, 2021
Reviewed By Khadija Khartit Fact Checked By Marcus Reeves
Agreeing to be the executor of an estate is a bigger decision than most people realize. It is important to consider the responsibility of the position before agreeing to take on the role.
Below are five things you should know before signing on.
KEY TAKEAWAYS
While it is an honor to be selected as an executor, executing a will takes a lot of time and work.
Make sure you can handle all that is involved before accepting the responsibility.
When deciding whether or not to accept, consider the complexity of the estate, whether you have the time to devote to the immediate responsibilities required, as well as the multitude of duties that come into play when the testator passes away.
1. The Complexity of the Estate
Taking on the role of executor (also known as a personal representative) is not simply a matter of reading the will and using it as a set of instructions for distributing someone's assets. An executor essentially steps in for the testator (the person who wrote the will) and sees to all of that person's final arrangements—financial and otherwise.
Generally speaking, the larger the estate—whether in terms of property, possessions, assets, or the number of beneficiaries—the more difficult and time consuming it will be to disperse. For example, a house, several bank accounts, a stock portfolio, and possessions will all have different steps to dispersal and hurdles to clear, like completing tax documents. This is why high-net-worth individuals usually use professionals to both set up an estate plan and then help execute it when they pass on.
That said, even small estates with only a few beneficiaries can become problematic if just one person contests the will or is otherwise inclined to throw a wrench into the process. The best way to assess how difficult the job will be is to ask to see a copy of the current will (or a draft of the will if one is in the works).
If there are obvious red flags—unequal distributions to children, trusts, or annuities to untangle, or anything else you feel uncomfortable handling—you might consider passing on the responsibility.
2. The Time Commitment
Being an executor takes time and energy, and requires a lot of attention to detail—in fact, it is almost solely concerned with details.
Before you agree to be executor, you should be certain that you have the time to do the job. If you have a busy professional life or a lot of family commitments, it may be difficult to set aside the needed time.
It is important to make a decision based on your current situation. As long as the testator is alive, you can be added or removed as the executor of the estate.
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