When you pass away, you can leave instructions for your family through an estate plan. But you still need someone to administer the estate and adhere to that plan. This person is known as the estate executor. Tasks they have include paying debts, taking an inventory of your assets, distributing paperwork to beneficiaries and eventually distributing your assets.
So how do you choose the right estate executor? Below are a few important tips.
Consider their age
You likely want to pick someone you believe is mature and responsible and who can handle this process. At the same time, you do not want them to be the same age as you or older, as you typically want to choose someone who will outlive you.
Experience and attention matter
If possible, it can be wise to look for someone who has financial experience, such as an adult child who studied accounting in college. You also want to consider whether the person pays close attention to detail and can focus on complicated tasks. Not everyone has the right personality to be an estate executor.
A close relationship is important
Moreover, you want someone who understands your values and your goals. You need a person who has a close relationship with you and other family members so they will always put your best interests first.
Availability has to be factored in
Finally, remember that the estate executor may be pressed into service unexpectedly. It is important to take the time to choose someone who is willing to take on this responsibility and who lives relatively nearby so they will be available when needed.
Setting up your estate plan
After you choose the right estate executor, it is important to correctly draft your estate plan and incorporate that information into the documentation. Be sure you understand all of the legal steps you will need to take to do so.