Estate Administration and the role of Executors

8 December 2021 in Wills and Estates Law

What is Estate Administration?

Estate administration encompasses the processes and duties that are fulfilled in relation to a deceased person’s estate. Estate administration is typically carried out by an executor.

Overview of Executor Responsibilities

Executors are the people that are appointed to manage and administer a deceased person’s estate in accordance with their will.  The role of an executor attracts various rights and responsibilities.

The main responsibilities of executors

There are various responsibilities which executors typically incur when administering a deceased person’s estate.  An executor may be responsible for the deceased’s funeral arrangements.  This typically includes both the organisation of a funeral service and the burial or cremation of the deceased person.  Executors are responsible for notifying the beneficiaries  about their status as beneficiaries of a will or relevant government agencies about the status of the deceased person.  This may include Australian Taxation Office and banks.  Executors are also responsible for the identification and protection of the assets of the deceased.  This may include various forms of property such as real estate, vehicles, cash, art, coin collections and jewellery.  It also includes payments from superannuation and insurance.  Once these assets are identified it is the responsibility of the executor to preserve these assets.

Executors also have a responsibility to obtain a grant of probate.  Probate refers to the process of proving the legal validity of the will.  A grant of probate is a document that legally validates a will and authorises the executor/s to administer a person’s estate.  A wills and estate lawyer can provide executors with advice and assistance in relation to applications for grants of probate.

When administering the deceased’s estate, executors are responsible for paying outstanding debts and outstanding liabilities that the deceased has.  Debts may be in relation to tax or loans from financial institutions for example.  The outstanding debts of the estate must be paid before the executor can distribute the estate’s assets to the beneficiaries.

Once these legal responsibilities have been satisfied, the executor is responsible for the distribution of the assets of the estate in accordance with the deceased’s will.

Appointing Executors

Deciding who to appoint as an executor is an important decision.  People often appoint relatives, close friends or lawyers as the executors of their will.  Some important questions to ask when deciding whether to appoint an executor include;

• Is the person responsible?
• Is the person trustworthy?
• Will the person manage your assets in the way you would like them to?
• Is the person going to outlive you?
• Should you have multiple executors?

Renouncing Executorship

People who have been appointed as an executor have a right to refuse their position as an executor.  There are formal legal requirements that must be complied with when someone renounces their position as an executor.  The wills and estates lawyers at Brander Smith McKnight are able to assist clients with the process of renouncing their executorship.

How can a lawyer help an executor?

If you are an executor, you may want to consider having a lawyer provide you with assistance. Some ways a wills and estates lawyer can help you include:

• Explaining to you your rights and responsibilities as an executor
• Arranging the preparation of documents necessary to obtaining probate
• Identifying the assets of the deceased
• Giving you advice in relation to debts and tax liabilities
• Explaining how a will intends for assets to be distributed

BSM Lawyers

The wills and estates lawyers at Brander Smith McKnight understand the stressful and complex nature of an executor’s duties. We are committed to providing you with efficient advice and assistance in a compassionate manner.  We always take the time to listen carefully and thoroughly to your needs, we then advise on the most appropriate actions for you.

FAQs