The executor or estate’s representative has a fiduciary duty to administer the decedent’s estate properly. This process includes locating assets owned by the decedent, inventorying those assets, managing the assets to prevent losses, paying the estate’s bills, filing tax returns, finding heirs and beneficiaries, and other duties. In other words, the personal representative is responsible for closing up the decedent’s financial affairs and distributing remaining assets to the beneficiaries.
Some of the duties of the executor or personal representative include:
Taking possession of all property of the estate. Keep in mind, joint tenancy property, life insurance proceeds and retirement plan benefits (unless payable to the estate) are not property under the jurisdiction of the probate court;
Collecting all interest and dividend income (and other income), setting up an interest-earning estate bank account, and depositing all cash assets in the estate account (or accounts) as received until the estate is closed;
Keeping all receipts and accounting for all disbursements made by the estate. This list should include the date, source, and amount of all cash and checks received; as well as the date, nature of payment, and amount of any disbursements made by the estate;
Filing all tax returns and paying all taxes. Most estates do not require filing an estate return; however, the personal representative may need to submit the final individual tax return for the decedent. It is essential to consult with a tax specialist in this regard; and
Keeping estate property insured. You should consult with an insurance specialist in this regard.