Being the Executor:  A Lighthearted Look at a Serious Job

When a person dies leaving a will, the will frequently identifies the individual who is to be the executor of the estate. If the decedent died intestate (without leaving a will), then a close relative might assume the responsibilities of handling the estate or the court will appoint an administrator. As I am learning firsthand, being an executor of an estate with a will is not easy. I can imagine the frustration of the poor soul managing an estate without one.

In the District of Columbia where I live the executor (executrix, for a female) is called the personal representative. If you have never been an executor or a PR, you have probably heard the words, but don’t know exactly what they mean. If you already know it all, then read something else. But for the benefit of people like me, who had a clue, but didn’t really know what the job entailed, I will try to explain it to you, as one layperson to another. A heads up – so you won’t be confused – I will be using both titles, executor and PR, interchangeably.

The executor manages the deceased person’s property:  bank accounts, furniture and other valuables and delivers the assets to the heirs or other beneficiaries. He or she opens an estate account, transfers the decedent’s cash assets into that account, and uses the funds to pay the late person’s bills, creditors, and beneficiaries. The estate account requires an EIN (Estate Identification Number) obtained from the IRS, because the PR must file an individual income tax return for the decedent and pay the estate tax.

The process of marshalling the assets can be difficult enough, but more so if impatient or greedy relatives descend like vultures on the property and begin removing items even before the will is filed. One of my friends who says she has “been there” gave me her summation of the way some survivors behave after burying a loved one. “A family can seem as close-knit and gentle as a flock of lambs until a close kin dies, and then they begin snarling and fighting like pit bulls.” Did you know that in many states, it is illegal for anyone to remove the decedent’s property before an inventory is filed in probate court?

My only forewarning to the trials of being a PR came from another friend who was PR of her mother’s estate some years ago. I remember her telling me about her wearisome experience dealing with the city’s probate system.  She eventually hired a lawyer. I vowed not to go that route. “I can handle it,” I told myself. After three visits to the probate court, I still had not completed the initial steps of simply filing a petition to probate the will. Don’t ask. I was frustrated enough to pull out my weave, except that I don’t wear one, and my afro is too short to serve as a stress reliever. I hired a lawyer instead and things progressed.

In the District you are required to file the will within 90 days after the person has deceased. You must also publish a Notice to Creditors, and Notice to Unknown Heirs in at least three newspapers. It gives claimants six months from the date of publication to file claims against the estate.  If the executor hires a lawyer, the law office will most likely publish the notice in conjunction with other services.

Prior to my mother’s death, four months ago, after some discussion, it was decided that I would be the PR for the estate (and my sister would be the alternate). At the time we all agreed that since I live in the same city as my mother did and my sister lives over 65 miles away,  it would be more practical for me to assume the responsibility.

Laws in Probate Court vary from state-to-state. I found it interesting to learn that in some states if you have been convicted of a felony you cannot serve as an executor or PR.

An executor should be honest, well-organized, persistent and patient. The latter is extremely important, because you may experience enough ups and downs and twist and turns to think you are on a theme park roller coaster. You may even start asking yourself why you agreed to accept the responsibility in the first place. The difficulty of serving as an executor depends on many factors: the size of the estate, your state’s laws, and the complexity of the deceased person’s financial affairs. Soul Singer James Brown died in 2006. After several lawsuits, his estate, worth millions, is still in limbo. Of course, there is no comparison between the estates of the rich and famous and the poor and unknown, but I’m just say’n ….

You can expect to have your routines suspended as you spend many, many hours fulfilling the role; it could last for months or, God forbid, years. My advice is don’t hesitate to hire a real estate broker; a lawyer or any other necessary – I emphasize necessary – professional relative to the job you’ve been asked to do. You pay their charges from the estate funds, not your personal bank account. I don’t think the fee for the psychiatrist that you may feel you’ll need to help you get through the nerve-wracking process is chargeable to the estate account.

Expect other family members to second guess many of your decisions and even talk behind your back about how they would do things differently. One way to deflect these family tensions if to ask for a volunteer to do something, like spend hours waiting at the estate house for the gas man or another utility worker to come and turn off a utility or fix a light switch. Then, see who walks the walk.

In some states the executor is entitled to a six percent commission on any income that the estate earns, for instance, liquidating a brokerage account, selling vehicles, or selling a house. Although many inheritances are not subject to tax, the executor’s commission is considered earned income and must be filed on your personal income tax return. My suggestion, forget the commission, but do recoup any expenses that you pay for with your own money, such as hiring someone to clean up the property or haul away unwanted items. Be sure to keep all receipts.

What happens if an executor quits?  Then, the alternate executor will assume the responsibilities. If he or she refuses and there is no one else available or willing to take over, then the Probate Court will provide someone.

Much of your job as an executor or PR will depend on the competence, the reliability and diligence of the other players; that could be anyone from a legal advisor, a pretentious buyer, a busy broker, the baker or the candlestick maker. Okay, I got a little carried away with jesting. But being an executor or PR is no laughing matter. It is a potentially problematic job. Depending on the circumstances, it could involve a significant amount of work and a lot of unexpected headaches.