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You’ve been named as an Executor: what does this mean?
If you’ve been named as an Executor in someone’s Will, you are responsible for handling that person’s affairs when they die. You will be required to carry out the instructions in their Will and take care of all the legal and financial affairs that need to be handled after death.
This means dealing with all their assets (such as property, shares and personal possessions),
paying debts, paying any Inheritance Tax and Income Tax and transferring the inheritance to the
beneficiaries (those who are inheriting from the estate). The process of dealing with the affairs of someone who has died is estate administration.
How do you know if you’re an Executor?
When someone creates a Will, they will typically inform their Executor(s) that they have chosen them. However, there are no legal requirements for the creator of a Will to inform the Executor(s). This means that although many people are aware that they will be taking on the role of Executor in advance, there is a chance that you could find out after the person has died. When the Will is retrieved, it may be discovered that you have been nominated for the role.
Understanding the role of an Executor
The role of an Executor is not one to be taken lightly as you are financially and legally responsible for administering the estate of the person who has died. This means that an Executor can be held accountable for any mistakes, such as distributing the inheritance incorrectly or paying the wrong amount of Inheritance Tax. The role of an Executor is an unpaid role but you may be able to claim for reasonably incurred expenses. Any expenses should be paid from the estate before distributing funds to the beneficiaries.
An Executor may also be referred to as a Personal Representative, which is the collective term for Executors and Administrators. An Administrator is an equivalent role to an Executor when someone dies without a Will.
You might not be the only Executor as up to four people can be named as Executor in a Will. It’s advisable to name two Executors in a Will as one may be unable to act when the time comes. If there are multiple Executors named in the Will and more than one of you are willing to act, you can share the responsibility and handle the estate administration together. Additionally, you have the right to instruct professionals to help. This could be just to help in a specific specialist area (i.e. selling a property or obtaining the Grant of Probate) or you can pass the responsibility to a professional estate administration provider who can take care of everything.
