Estate Planning 07 – What is an Executor in the Will

Estate planning is the process of accumulating and disposing of wealth before death of individual or a group of owner known as estate owner including married couple. It aims is to maximize the wealth of the estate owner. The most important goal of estate planning is to make sure that the greatest amount of the estate passes to the estate owner’s intended beneficiaries while paying the least amount of taxes. Choosing an executor is importance to ensure that someone who you trust will carry your will intention after your death.

I. Definition
An executor in the will, normally is the lawyer or someone you trust who will carry your intention in the will.

II. What is executor responsibility
Since you have named someone as your will executor, in general, the executor will gather up all your assets and after paying all your debts, she or he will distribute the remaining assets to the beneficiary.
1. Paying funeral expense
The funeral expense usually paid out from the assets of the decreased, although sometime the executor consider the wishes of the deceased person and their relatives.
2. Paying all other debts
The executor is also responsible to pay off all the debts of the decreased person including all credit cards and charge cards, personal loan and other debts through decreased assets.
3. Notify all beneficiaries who are named in the will.
4. Submit the necessary probate documents to the court to get probate before an executor can handle the deceased’s estate.
5. Notify the government pension office, if the decreased person receiving pension payment before his or her death.
6. File the income tax for the decreased person and pay all income tax if owed by decreased person and get a tax clearance.
7. Distribute remaining assets to estate beneficiary.
Remember certain assets do not need to probate such as RRSP and insurance paid out from life insurance policy and beware of 6 months deadline of variation act that allows decreased child and spouse applying to court to change the term of the will.

I hope this information will help. If you need more information or insurance advices, please follow my article series of the above subject at my home page at:
http://medicaladvisorjournals.blogspot.com
http://estateplanningarticles.blogspot.com/



Source by Kyle J. Norton

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