Duties of an Executor

What to do after Will Maker dies?

1. If you don’t want to or cannot act, and the Will Maker has died, step down from your position right away. You are not required to act, but once you do, you can’t step down without court permission. You are entitled to fees for your services, depending on what the Will says, and how difficult your work as executor is. Fees are fully taxable in your hands as income. It also must be approved in advance of you taking it, by either the beneficiaries or the court. If you don’t get pre-approval, you could have to pay it back.
   
   
2. Know where the original Will is. You are not entitled to have a copy during the Will Maker’s lifetime, but once the Will Maker dies, you need to get the original Will right away to confirm your official authority to deal with the estate, and to carry out any of the Will Maker’s immediate wishes, such as funeral and burial or cremation.
   
   
3. Obtain death certificate.
   
   
4. Handle the funeral and burial or cremation. Ensure the expense is reasonable in proportion to the approximate value of the estate.
   
   
5. Preserve and safeguard the estate. Deposit cash and valuables. Insure property, including now-vacant property. Failure to protect and preserve the estate may mean you are personally liable to the beneficiaries.
   
   
6. List and value household goods, including personal effects and automobiles.
   
   
7. Catalog each asset to identify the asset and its location.
   
   
8. Prepare an inventory of estate assets as at date of death.
   
   
9. Compile list of debts noting particulars and the nature of claim.
   
   
10. Obtain notarial copies of Will from solicitor and provide them to Estate’s bankers and to institutions who must rely on executor’s instructions before probate is obtained.
    
    
11. Instruct solicitors respecting the obtaining of probate.
    
    
12. List contents of safety deposit box and value same.
    
    
13. Determine eligibility for Canada Pension Plan or other government pension or death benefits.
    
    
14. Open a bank account for the Estate.
    
    
15. Prepare income tax return for terminal period of deceased and consider various available elections (due six (6) months from date of death, or April 30th of following year, whichever is later).
    
    
16. Keep detailed records of everything you do, along with all receipts and supporting documents. Some executors find it helpful to keep an executor’s notebook, with entries recorded at the time the events occur. You need to account to the beneficiaries regularly. By keeping detailed notes and supporting documentation, your accounting will be easier to produce, and more fully corroborated by your notes.
    
    
17. Find out full details of all potential assets, debts and other possible claims, including from estranged or dissatisfied spouses, partners and children.
    
    
18. Pay testamentary debts if funds available.
    
    
19. Determine if you need to get a grant of probate. This is a court application to formally ‘prove’ the Will. Many banks and the Land Titles office require it before they will release property to you. You also might want it to start the limitation period running on any potential claims by family members. From the grant of probate, disgruntled family members have a limited amount of time (typically six months) to formally commence their claim for a greater share of the estate.
    
    
20. Gather in the property, pay all debts, taxes and valid claims and expenses. If you pay out to beneficiaries before all liabilities are satisfied, you can be personally liable for those estate debts.
    
    
21. Report to beneficiaries on a regular basis. Keep them informed as you go along.
    
    
22. Advertise for creditors, if appropriate, or if you are unsure of potential creditors.
    
    
23. Review previous income tax returns to confirm and find income sources.
    
    
24. Pay taxes and request tax clearance to date of death for deceased.
    
    
25. Distribute to beneficiaries ONLY after you are sure all legitimate debts, expenses and claims have been dealt with, AND after all beneficiaries have consented in writing to your handling of the estate to date, and to the proposed distribution and your proposed fees (in the form of a Release and indemnity). If you cannot get this consent, release and indemnity get Court approval before distributing, or face possible personal liability.
    
    
26. Get accounting and legal advice. You can be personally liable if you have acted improperly, whether you intend it or not. Retaining professional advisors such as an accountant and a lawyer early on can help you understand and carry out your duties and obligations.