(NC)—Being an executor/trustee of a family member’s estate is not easy. It can be overwhelming in terms of the amount of detail required to complete the task, and the emotional support needed during a time of grieving.
When selecting an executor/trustee, keep in mind the following qualities: availability, reliability, capability, responsibility and emotional understanding. Stamina, energy, clarity and organizational ability are also crucial.
Points to consider
Availability: Think about where the executor lives and the level of responsibility needed. An executor should be located near the estate owner’s hometown so the duties can be performed efficiently and without undue expense or inconvenience.
If the responsibility will be too much for one person, consider naming co-executors – two or three people who can shoulder the burden of duties.
Reliability: An executor should be reliable. Depending upon the complexity of the estate, an executor will require astute business judgment, negotiation skills, decision-making skills and honesty.
The choice should not be based on affection, friendship or family ties. Also, consider whether the person will be healthy enough to start and complete the many tasks required to settle the estate in a timely manner.
Capability: The executor need not know everything about financial or legal matters. It’s crucial, however, that an executor be resourceful and not afraid to seek guidance from legal or financial or real estate experts. It is prudent to have an executor who realizes that expert advice is worth the fee charged.
Responsibility: An executor will be making financial and legal decisions that will affect the estate’s beneficiaries. They can also be held liable for investing in unsuitable assets, failing to pay tax bills, and more. Choose someone with good time management skills so they can meet the many deadlines. Common sense is another useful attribute.
Emotional understanding: Heirs, family and friends will be in an emotional state of upheaval. The executor should be someone they can turn to for support and understanding, balancing logic (financial, legal, property matters) with emotional empathy and sympathy. An executor will also have to be finely tuned to each beneficiary’s needs. One may just want “the facts” – what has been done, what needs to be done, etc, while another may want an executor to listen and console. An executor needs a calculator in one hand and tissue in the other.
It is a common courtesy to ask permission before actually naming an executor in one’s will. It is also a good business and public relations decision. Someone who has been asked in advance is less likely to refuse to act when required.
Appointing a trust company as an executor/trustee has some advantages. The staff is experienced in these matters. If there is any question of family dispute over an estate or there aren’t any family members or friends willing to act as executor, then a trust company is a good choice. Consider naming a friend or family member and a trust company as co-executors. This provides the best of both worlds: a trust company to handle legal and financial matters and a family member to be the emotional beacon for heirs.
To learn more, the Alzheimer Society of Ontario offers planned giving fact sheets and will planning guides. Contact the society at 416-847-8913 or by e-mailing, cbradley@alzheimeront.org.
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