When I am drafting Wills for clients, one of the questions I ask them to consider is who to name as Executor. In response, I am oftentimes asked, “well, what does an Executor actually do?” In this blog post, I explain the duties and responsibilities of an Executor of an estate so that you can make an informed and educated decision when putting together your estate plan.
For background, an Executor is the individual who administers the Decedent’s (the person who died) estate in Probate court, if the Decedent had a Will. If the Decedent died without a Will, that person is called an Administrator. The duties and responsibilities of an Executor and Administrator are essentially the same, but I will use the term Executor for purposes of this blog post. In Cook County and most Illinois counties, you must have an attorney represent you to serve as an Executor or Administrator.
The main role of the Executor is to handle the Decedent’s assets in the estate. The Executor, with the help of their attorney, will produce an Inventory of all assets in the estate. The assets could include personal property such as furniture, family heirlooms, cars, etc., bank accounts or investment accounts, or real estate. For personal property, the Executor is responsible for distributing these items to the Decedent’s heirs, pursuant to the terms of the Will. If there is no Will, these items should be distributed per agreement of the heirs or, if there is no agreement, as the Judge orders. For assets such as bank accounts, IRAs, investment accounts, or life insurance policies, the Executor can liquidate these assets and deposit those funds into a probate bank account or pass them onto heirs. For real estate, depending on if the Will provides specific instructions, the Executor may either transfer title of the real estate to the name of the heir(s) or sell the real estate and distribute the proceeds of the sale into the probate bank account.
The Executor is also responsible for destroying the Decedent’s credit cards, closing bank accounts, and changing the mailing address on all accounts to the Executor’s address. The Executor will also file final income tax returns and, if applicable, estate tax returns for the Decedent.
Additionally, the Executor handles the debts of the estate. In probate cases, creditors have six months to file claims against the estate. If they do not file a claim, an attorney can have these debts “disallowed”, and the Executor does not have to pay them. Claims filed after six months are also barred. If a claim is filed, depending on how much money is in the probate estate, the executor can pay these debts during those six months or wait until after the six-month period ends to pay the debts.
After the six-month period is complete, the Executor, with the help of their attorney, will do a final accounting of the assets in the estate, showing the use of all funds and the funds left, and should then distribute the assets according to the Will, or the Illinois law, if there is no Will.
Please note that this list is not exhaustive, and every probate case can differ. For that reason, if you are named as an Executor, it is best to hire an experienced probate attorney to assist. The attorneys at the Law Office of Kate Curler have extensive probate experience and can help you every step of the way.
If you have questions about being an Executor, probate or estate planning generally, please contact our office at lkaplan@curlerlaw.com or (312) 952-1077 for a free consultation.