Help! Someone has just died and appointed me as their Executor, what do I do?
What is an Executor?
Your role as an Executor is to carry out the terms of the Deceased’s Will. In short, you are responsible for collecting the assets of the Deceased, paying the debts and distributing the property in accordance with the terms of the Will.
Duties of an Executor?
We have prepared a checklist for an Executor and recommend they adopt the following steps, including;
1) Check if there is a later Will as you may not be appointed Executor under the later Will.
2) Notify the beneficiaries named in the Will.
3) Value the Estate and keep a list and record of the valuations. As an executor, you need to ensure you obtain valuations from licenced valuers or estimates from recognised sources.
4) Manage the goods and property left in the Will, including obtaining insurance for any properties and investing any money that is not needed immediately.
5) Complete Income Tax Returns an Estate Tax Return. An estate cannot be distributed without obtaining a clearance from the Australian Taxation Office.
6) Apply for a Grant of Probate. This may not be necessary if the Deceased did not own assets in their sole name. However, if the Deceased had bank accounts, shares or real estate in their name or owned a share of real estate as a tenant in common, you will need to apply for a Grant of Probate.
7) Pay all debts owing, including creditors, income tax and funeral expenses. You may be required to sell assets, to pay any liabilities.
8) Establish any relevant trusts and divide the estate in accordance with the terms of the Will. This may include selling any assets or transferring them to a beneficiary. In order to do so, the assets will need to be transmitted to the Executor and then transferred to the relevant beneficiary in accordance with the terms of the Will.
If you have been appointed Executor and you are unsure of what you are required to do, or you are simply time poor and wish to engage a lawyer to handle the application for a Grant of Probate and estate administration, please contact Valenti Lawyers who are happy to guide you and offer assistance in what can be an overwhelming process.
