-- An executor will often have to shoulder the most burdens when trying to untangle a person’s estate, but can often fall foul of easily avoidable errors, says estate planning attorney Michael Smith.
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Smith, the founder of Smith Barid LLC in Savannah, GA, said: “An executor carries a lot of power in managing and distributing an estate as they deal with legal, financial, and tax issues, but are prone to potential mistakes.”
Their failure to handle assets correctly is a common error and one that can lead to complaints. “Executors may be unsure of their duties, but one of their priorities is to secure all assets as soon as possible. That can range from tracking down financial assets to physically locking up or maintaining a decedent’s property.”
Smith went on to say, “One pitfall for an executor is failing to categorize a decedent’s assets properly. Non-probate examples include trust estates, life insurance policies, and retirement account funds.”
Another matter easily overlooked is obtaining a Date of Death value of all the decedent’s assets. This should be done urgently as they will be easier to calculate. If a property is involved, a qualified real estate appraiser will be required to assist with the task.
Smith said an executor’s inability to communicate with beneficiaries and creditors correctly and promptly is another common failing. Creditors must receive notice of a pending probate, and the estate must remain open for the statutory period to enable creditors to file a claim.
He added: “Failing to keep beneficiaries abreast of developments can lead to unnecessary litigation. In both cases, executors should seek professional advice and retain the services of a probate attorney who can act as a guiding hand. If they don’t, the probate process may take longer than necessary, and an executor may make costly errors during that period.”
Failure to handle creditors’ claims, attempting to distribute assets too quickly, miscalculating estate taxes, neglecting to issue an inventory and an accounting in an estate are just some of the errors Smith has seen executors make.
“Executors can also fail to explore alternatives to formal probate administration. In some cases where there is only a small bank account and no will, a simple affidavit may be an option instead of formal probate, saving considerable cost and time in the process,” he emphasized.
Smith concluded: “Being an executor is no easy task, so working with an experienced probate attorney can save them from committing unintentional mistakes, reducing the estate’s value, and adding more grief to what is already an emotional time for everyone.”
Source: http://RecommendedExperts.biz
Contact Info:
Name: Michael Smith
Email: Send Email
Organization: Smith Barid, LLC
Address: 7393 Hodgson Memorial Dr #202, Savannah, GA 31406, United States
Phone: (912) 452-2224
Website: https://smithbarid.com/
Release ID: 89163345
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