What Is an Executor?

Note: The following article is part of our Complimentary Articles Series, designed to provide additional insights and detailed information on specific topics within estate planning.

Alongside this article, we suggest exploring our pillar articles for a comprehensive understanding of general estate planning issues.

• Why is it Important to Write a Will?
• How Often Should I Update My Estate Plan?
• When Should I Consider an Estate Plan?
• What Are the Benefits of an Estate Plan?
• What Are the Rules of Intestacy?
• What Happens If I Die Without a Will?
• What is Partial Intestacy?

INTRODUCTION

An Executor is central to estate planning, as this party is responsible for the administration of the Estate after an individual passes away.

This article explains the key roles and responsibilities of the Executor and provides some essential factors for you to consider when choosing the right Executor for your Estate.

For context, we recommend our other articles in relation to estate planning.

RESPONSIBILITIES

Whether you choose a trusted friend, family member, or professional service, the right Executor will be instrumental in fulfilling your legacy.

The primary role of the Executor is to carry out the instructions of the deceased individual, as specified in their Will. The Executor carries a number of responsibilities:

• Asset Consolidation: The Executor must gather and assess all the deceased individual's assets to determine the Estate's overall value. Depending on the instructions laid out in the Will, this might involve the sale of certain assets where required.

• Settlement of Debts, Expenses, and Taxes: The Executor is responsible for ensuring any outstanding liabilities are paid from the Estate. Other costs, such as funeral, probate, and legal costs, may also need to be covered by the Estate. Finally, the Executor is responsible for paying any Inheritance Tax (IHT) on the Estate. The Executor must complete the required forms even if no IHT is due.

• Asset Distribution: Once all debts, expenses, and taxes have been settled, the Executor distributes the remaining assets to the Beneficiaries in accordance with the instructions outlined in the Will.

• Fiduciary Care: It is the fiduciary duty of all Executors to act in the best interests of the Estate and its Beneficiaries at all times. They can be held personally liable in cases of mismanagement of the Estate, so you should choose your Executors wisely. 

APPOINTING THE RIGHT EXECUTOR(S)

When choosing an Executor, the ideal candidate must:

• be willing to take on the role of Executor;

• clearly understand your wishes;

• be able to manage your financial affairs professionally and ethically; and

• be of sound mind to carry out their duties effectively.

Need to know more?

Good estate planning creates a solid foundation for preserving your financial legacy, providing for your loved ones in the future, and providing peace of mind for you and your loved ones.

Whether you are starting from scratch or looking to update your current arrangements, Squiggle can provide some clarity and direction, helping you to tailor a plan that suits the unique circumstances of your loved ones.

Book a callback, and we'd be happy to arrange a no-cost, no-obligation discussion with you to lay out the options available.

Alternatively, call us on 01233 659 796.

Or reach out to us here.