If you`re still wondering what the difference is between an executor and a personal representative – or if you have other questions about estate planning – our team will be happy to help. First, contact a member of the Bogin, Munns & Munns team at (407) 578-1334. For example, some states require the surviving spouse to serve as a personal representative, unless he or she died before the deceased or she does not want to take the job. If she waives this right, the judge may file a list prescribed by law of other persons who may serve. A personal representative is also a person with the power to make decisions about others. For example, the person who is authorized to make health-related decisions for another person because they are very ill or unclear is a personal representative. In this case, a personal representative has a power of attorney, a legal document that allows the representative to act for the other person in legal or financial decisions. The duties of a personal representative include the disposal of the deceased`s remains and the organization of funerals. Note that funeral expenses must be paid out of the deceased`s estate. If the estate cannot cover the costs, the personal representative may be held liable. This may seem obvious, but you`d be surprised how many executors and administrators don`t understand or follow their legal obligations. The North Carolina General Statutes set out specific rules for the estate administration process that govern the following: When a personal representative is appointed to administer the estate of a person who has not left a will, he or she is generally referred to as an “administrator.” He must hand over the deceased`s property to his surviving relatives under state law, as there is no will indicating who the deceased wanted to receive.
While reading this article, you may be researching estate planning to determine which legal tool is best for you to pass on your money and assets to your family and loved ones. A personal representative is usually named in a will. However, the courts sometimes appoint a personal representative. As a general rule, whether the deceased left a will or not, the probate court will conclude that a will has been filed or not and that a personal representative or administrator has been appointed. The personal representative uses this document with the death certificate to manage the affairs of the deceased and dispose of his estate. Even if the deceased did not leave a will, their estate must be verified and someone must supervise this process. To some extent, state law dictates who judges him or her may appoint as the personal representative of the estate. These terms are often used interchangeably for good reason. Both executors and administrators are personal representatives. Consider the generic term “personal representative” for these other two roles.
The difference between them is whether you left a will or not. You name these key representatives in your estate plan using testamentary or trust documents. But it`s a bit more complicated than that. You are usually the trustee of your trust while you are still alive, with capacity. Then, after your death, the same person could be appointed as both a personal representative and trustee. In Alberta, the duties of a personal representative or executor are set out in the Estate Administration Act. These tasks must be performed correctly and in a timely manner. An executor, as opposed to a personal representative, is a person or corporation appointed by a testator in a will to administer and distribute his or her estate after his or her death.
A testator is a person who draws up a will. In Alberta, the term personal representative is used instead of executor. However, a personal representative may also be a court-appointed administrator. Being a personal representative requires a flood of work in a short period of time. This can be frustrating, especially when beneficiaries argue about the estate or dispute the will. In addition, a personal representative is usually personally liable for any claims of fraud or mismanagement by beneficiaries. Your will, or “will” for short, names your personal representative, also called an executor. A will also names the beneficiaries or who will receive your property after you leave.
A guardian for young children can also be named in a will. The tutor and the personal representative can be different people. The person you trust to manage your finances and submit the right documents may be different from the person you trust when caring for your children. An executor is a person named in a will to be responsible for the management of the testator`s property after the testator`s death. The executor must manage the property and distribute it according to the testator`s wishes, as specified in the will. A personal representative typically performs a number of tasks when acting as executor of a deceased person`s estate, including arranging funeral services, notifying those entitled to a portion of the estate`s assets, and determining the value of the estate minus debts. A personal representative usually takes care of the administration and security of estate assets, takes care of the payment of all debts and expenses owed by the deceased and the estate, and assesses the income taxes and inheritance tax payable. Finally, a personal representative files all necessary tax returns in a timely manner and distributes estate assets in accordance with the will. In most cases, the process runs smoothly and the estate is distributed within about a year. Sometimes, however, family relationships become strained. Beneficiaries who are not kept informed of what is happening, or who become suspicious of the personal representative, may find that the personal representative is doing something wrong and causing stress and even legal fees. You need to understand the fundamental responsibilities of these people and understand what these titles entail after a person`s death.
An executor`s responsibilities may vary from state to state, but their general responsibilities generally include: A personal representative or legal personal representative is the executor or administrator of the estate of a deceased person. Personal representatives act as trustees of estate beneficiaries and have a duty to act in good faith, with honesty, loyalty and openness, and in the best interests of the beneficiaries of the estate. The law requires personal representatives to follow the terms of the deceased`s will, if the deceased had one. If the deceased person died without succession, the personal representative acts as administrator of the legal estate. During the period during which the executor controls the assets of the estate, he is responsible for any losses that arise. A court can hold an executor personally liable for losses. A will is a legal document that tells the court how your property should be distributed after your death. Under the Probate Administration Act, executors and personal representatives have four main tasks that they must perform.
Below are the four main tasks and some of the things you need to do to accomplish them. In most cases, a personal representative is usually a close relative or friend of the deceased. Given the amount of work involved, a personal representative often receives remuneration from the estate. However, not all work has to be done by the personal representative. For example, the personal representative usually works closely with lawyers and tax specialists. The personal representative simply ensures that all tasks related to the succession are completed correctly and on time. As explained in our free guide Understanding Estate Administration, the appointment of the executor, administrator or personal representative is covered during the legal authorization phase of an estate administration.
