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Backup Will, Common Estate, estate, Estate Administration, Estate Plan, Executor, Formal Probate Process, Living Trust, probate, Strategy, Will
Choosing the right executor to handle your estate is a prerequisite to selecting a solid strategy for your estate plan. In the article Use Common Sense to Select a Good Strategy for Your Estate Plan, naming an executor is part of the preparation for selecting a solid strategy. Therefore, when choosing your executor, ensure the person has the right traits to administer your estate plan.
The Traits to Look for When Choosing the Right Executor
When choosing the right executor you can name any adult without a felony conviction. However, even though the restrictions are few, your executor should possess the necessary traits to administer your estate. Accordingly, the person you select as your executor should have the following traits:
- Trustworthy and reliable.
- Works well with people and possesses patience.
- Needs to be well organized, should be thorough, and has common sense.
- Committed to accomplishing the task.
- Flexible with time if the estate uses the formal probate process. An estate going through formal probate may take six months to a year depending on state law.
- The person should live in the same state as the estate location or as close as possible. Unfortunately, some states have laws and restrictions on out-of-state executors.
Along with personal traits of the executor, there are additional considerations in choosing the right executor. The additional considerations are as follows:
- If you are preparing a living trust, the trustee should also be the executor of the backup will.
- Consider naming only one executor. Although you can name multiple executors, one is best. If family harmony becomes a problem, then naming more than one may be necessary to keep the peace.
- Always name a person as an executor. If you name a bank or other financial institutions, they will charge you fees for every little task they complete. Instead, name a person to handle the estate or to oversee the estate settlement process.
Although the right qualities for an executor seem numerous, in most common estates, not every trait will be necessary. As long as the executor you choose is trustworthy, has organization skills, and has common sense, the executor will do the job effectively.
Was this article helpful? Can you think of any additional traits a prospective executor should have? Share your comments or questions in the comment area below.
I might rethink this a little. Naming an individual for cost-saving concerns is exactly what ends up costing estates hugely in time, emotional well-being and even money.
What about adverse family dynamics? Trust companies or banks have no vested interest in estate bequests and can handle demanding beneficiaries. Impartiality is a critical component.
What about competence in a complex estate? You may have learned the job with high motivation. Others are not so motivated to do well.
In many cases, for 3-5% or less, the family can have the peace of mind to know the job is handled well by an agent who has thousands of estates of experience to draw from.
Outside agents may cost more (or maybe not), but you often get what you pay for.
Hi Clarence,
Thank you for your comment. After reading the comment I realize that the additional consideration that mentions “always name a person as an executor” caught your eye. Keep in mind, this blog is about common estates(estates worth less than estate tax threshold). Some of these estates won’t have the assets to hire outside help. Even if the estate has the assets, I still feel, from my experience, that someone trustworthy should oversee the administration of the estate. Additionally, the executor can do the easier stuff like closing accounts, making deposits, and distributing property without having to pay a high premium. However, if the estate is a wealthy estate, where trusts exist or need to exist to avoid estate tax, then I can see using a trust company or bank. Most common executors would be over their head in that situation. So, I agree with your comment when it comes to high value estates. However, for moderate to small estates, if you can find a person with the right traits, I feel naming a person would better serve the estate with the help of a probate attorney or estate attorney.
Thanks again for your comment.
Robert
Very helpful. Thanks