Do you or an elderly person you know need to select someone to be named as an executor in a will?
Do you or an elderly person you know need to select someone to be named as a trustee in a trust document?
Who should be named as executor, trustee and guardian?
Executor
The executor is responsible for administering an estate. The executor should be someone who is financially honest, responsible, diligent, and trustworthy. Generally, the executor responsibilities include:
- Managing the income and expenses of the estate.
- Overseeing the assets and debts of the estate.
- Paying bills.
- Depositing cash receipts.
- Submitting claims to insurance companies.
- Filing tax returns.
- Hiring a lawyer or attorney to represent the estate for legal purposes.
- Hiring an accountant to oversee the financial issues of the estate and to prepare required tax returns.
- Make distributions to the beneficiaries.
Deciding on who should be named the executor or/and trustee is a decision not to be taken lightly.
The case for a paid executor. An individual who…
- Has no conflict of interest.
- Is independent.
- Is experienced and knowledgeable.
- Has nothing to gain from the will.
For these reasons many people avoid naming family members. This also helps to reduce or eliminate family conflicts and disagreements. A spouse may not be a good choice if they are incapacitated by health issues or would be overwhelmed by the issues that will come into play.
The case for an unpaid executor. It would be too expensive to hire attorneys/lawyers, and accountants. If this is the situation it may be your choice to name a person who agrees to no fee, such as…
- Spouse
- Child or Children
- Friend
Trustee
Whereas the responsibilities of an executor usually do not last more than two to three years the trustee’s responsibilities could last for generations. A trustee’s responsibilities often include…
- Managing the estate assets.
- Prudently overseeing and investing money.
- Paying bills.
- Collecting and depositing all receipts of money.
- Consulting with beneficiaries about the amount of the checks to be issued, what expenses are to be paid, and what withdrawals from principal will be allowed.
ElderCare of RI provides financial and eldercare services to older adults and disabled family members. Selecting the executor and/or trustee is a family matter. Whether you are concerned about the ability of your executor or trustee to manage the estate properly, or you need assistance as the appointed executor or trustee at ElderCare of RI we can ensure that the assets are being properly managed and protected.
Our services include…
- Paying bills
- Depositing cash receipts
- Submit claims to insurance companies
- Income tax preparation and tax planning
- Confirm accuracy of provider bills
- Gift and estate tax planning
- Stop exploitation and fraud
- Serving as financial guardianship and conservator
- Serving as executor, trustee, power of attorney
- Consulting services – Medicare and Medicaid, insurance oversight, housing and support service needs, and trust and fiduciary planning
- Assurance services – Review investments and trust activity, verify third-party calculations (such as pension, insurance, and other annuity payments), review financial transactions and test for adherence to established criteria.