Why Do Some Estate Plans Need a Professional Executor?
In the realm of estate planning and administration, an executor is responsible for managing the deceased person’s estate, distributing assets to beneficiaries, paying taxes and other financial obligations, and more. Often, the executor of an estate plan is a family member or close friend of the deceased person. However, there is no rule that this must always be the case. In many situations, a professional executor such as an estate planning attorney, trust company, or bank is better suited for the executor role.
Some Individuals Choose a Professional Executor for Personal Reasons
Being the executor of someone’s estate plans is a massive responsibility. The executor may need to manage complicated financial obligations, appear in court to represent the estate, and carry out other crucial duties. Some people choose a professional executor because there is not a suitable alternative in their family or circle of friends. Keep in mind, the executor’s responsibilities can be challenging under the best of circumstances. These duties are even harder to carry out when a person is dealing with intense sadness and grief from the death of someone they loved.
Another reason many people choose a professional executor for their estate plans is to prevent family disputes. Arguments over inheritance can become quite contentious. A professional executor will maintain objectivity and professionalism, which can reduce the possibility of hostility or legal disputes.
A Professional Executor May Be Necessary for Complex Estates
Estate plans vary significantly in complexity. If you own hard-to-value or high-value assets such as stocks, bonds, business interests, or investment real estate, your estate plan will be much more involved than a typical estate plan. Asking a layperson to be the executor of a highly complex estate can unfairly burden him or her. It can also lead to mistakes and oversights that add additional red tape and difficulties to the asset distribution process.
Call Us for Help with Your Estate Plan
The executor of an estate has several major responsibilities. If you have a high net worth or own considerable assets, you may want to hire a professional executor instead of asking a family member to fill the executor role. You may also want to utilize a professional executor if you have concerns about your friends or family members’ ability to fulfill executor obligations. The Naperville estate planning lawyers at the Gierach Law Firm can help you determine what estate planning decisions are best for your unique situation. Call us at 630-756-1160 for a confidential consultation today. Our estate planning videos on our YouTube channel also contain useful answers to many common estate planning questions.