One of the most important things that a will does is appoint an executor to collect, manage, and distribute assets. If you have been entrusted with this responsibility, an El Paso probate lawyer can help you to fulfill your legal responsibilities and administer the estate correctly.
Secure Authority from the Probate Court
Even if you have been named as executor in a will, you cannot act until officially appointed. After the will has been filed with the court, the court will issue “letters testamentary,” which confirm your authority as executor.
Identify and Secure Estate
Assets In order to distribute the assets of the deceased, you must first locate them. This includes bank accounts, real property, vehicles, business interests, and personal belongings. You will then need to file an inventory, appraisement, and list of claims with the court. A practical first step is to secure the real property, change locks if needed, and notify financial institutions.
Notify Beneficiaries and Creditors
You must give notice to beneficiaries named in the will. Texas law also requires executors to publish a notice to creditors in a local newspaper and, in some cases, provide direct notice to secured creditors. Creditors then have a set time to present claims. Handling this step properly reduces disputes later and ensures that any debts are paid in the correct order.
Manage Estate Funds
As an executor, you must act in good faith and with care. This means, for example, that you should open a separate estate bank account for estate funds rather than commingling estate funds with their own. All income, such as dividends or rental payments, should be deposited there. Similarly, all expenses, such as property taxes or insurance, should be paid from this account. This is not just for the sake of ethics; the courts expect detailed records of your financial dealings relating to the estate.
Pay Debts and Taxes
The executor is responsible for settling valid debts in the statutory order of priority. Under the Texas Estates Code, funeral expenses and expenses of last illness are of the highest priority, followed by secured claims and taxes. You must also file any required federal estate tax return and the decedent’s final income tax return. If you fail to pay taxes before distributing assets, you may make yourself personally liable.
Distribute Assets
After debts and expenses are satisfied, the executor distributes property to beneficiaries. This may involve transferring title to real estate, delivering personal property, or distributing funds. If disputes arise among beneficiaries, the executor must remain neutral and follow the terms of the will.
How an El Paso Probate Lawyer Can Help
While it is an honor to be trusted to be an executor, it can create a lot of work and stress. To make sure that you fulfill all your duties and nothing is left out, it is a good idea to consult an experienced lawyer who is familiar with all the legal processes involved with administering an estate.
By taking each step with care and seeking professional guidance when needed, you can meet your obligations, protect estate assets, and ensure that beneficiaries receive their inheritance in accordance with the law and the decedent’s wishes. Get in touch with us at the Law Offices of Albert Nabhan in El Paso, TX, to schedule a consultation.
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