Imagine this: You've been chosen to handle someone's will, a task many see as an honor. But what if you're not up for the job? Don't worry, you're not alone, and you have options! Let's explore what it means to be an executor and what you can do if you'd rather not take on the responsibility.
Sometimes, people find out they're executors after the person who wrote the will has passed away. Or, the will might be outdated, and the executor is a former spouse who wants nothing to do with it.
Many people realize they don't have the time or desire to spend potentially hundreds of hours over several years dealing with banks, beneficiaries, lawyers, and companies. Plus, there's the liability if they don't act in the estate's best interest.
Here's the good news: You're not legally obligated to be an executor if you decline early enough. You can also hire a corporate trustee, like a trust company, to manage the details of the estate.
"Just because you’ve been named in somebody’s will doesn’t mean that you have to do it – and that sometimes gives people peace of mind," says Debbie Stanley, CEO of ETP Canada.
Before you commit, take some time to consider the responsibility. According to Ms. Stanley, the average executor spends about 400 hours managing an estate over two or more years. It's okay to read the will, ask questions, and decide it's not for you.
Now, let's talk about the process of declining. You can refuse the appointment by signing a legal form called a renunciation, as long as you haven't taken any action to manage the estate or applied for probate (the legal process of validating the will).
But here's where it gets controversial: You can't simply back out if you've already started managing the estate's assets, a process known as "intermeddling." This means you've taken actions like paying bills, dealing with banks, and consolidating assets, indicating you've accepted responsibility. In this case, you might need to go to court to resign.
If a replacement executor is needed, it's helpful to get consent from the person or entity willing to take over, and also from the estate beneficiaries. The court will want to ensure the replacement will act in the beneficiaries' best interests.
It's not uncommon for the court to require an outgoing executor to provide an accounting of their actions, known as a passing of accounts.
In cases of illness or incapacity, a person named in a will may not be able to act. If probate hasn't been obtained, a renunciation form can be signed by the individual or someone with power of attorney. An application can also be made to the court for removal of a mentally incapacitated executor.
Open Communication is Key: Estate professionals encourage people to be upfront if they don't want to be an executor. Many adult children are now telling their parents they'd rather not take on the role due to their own commitments.
Before agreeing, ask questions about the estate, the amount of work involved, and compensation. Erin Bury, co-founder and CEO of Willful, suggests understanding the complexity of the assets and potential issues during the process, such as conflicts with beneficiaries or significant debt.
What are your thoughts? Have you ever been asked to be an executor? Did you accept or decline? Share your experiences and any advice you might have in the comments below!
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