Understanding Estate Administration
Many of us find ourselves in a courtroom for the first time, when we become legally responsible to settle the affairs of a loved one who died with or without a will. Being designated as an executor or administrator means we must follow state probate protocols to resolve debts before distributing assets. When a will has been made, assets are given to beneficiaries accordingly. Absent a will, state laws of intestacy determine the distribution of assets to heirs. Read on for a deeper look at what estate administration involves.
Court Supervised Settling of Affairs
When a will has been made, typically, an executor has been named in it, and this individual is responsible for filing the will in probate court, along with the death certificate. If there is no will, the court appoints an administrator. The duties of executors and administrators are similar, except that absent a will, assets are distributed according to intestate succession laws. In either case, executors and administrators typically find themselves with much to do, as they address court protocols and deadlines, take inventory of the estate, record financials, and communicate with creditors and debtors. An executor or administrator can anticipate that it will take at least six months to complete their duties, because, as attorneys explain: “Only after the time to file claims has expired and claims have been reviewed,” can the distribution of assets begin. Before the court officially closes the estate, an administrator must: “Prepare a final accounting of the estate’s financial transactions for approval by the court and distribution to heirs.” As attorneys at Frank & Kraft underscore, estate administration involves careful attention to public protocols:
Estate administration, more commonly known as probate, is the court-supervised process of settling a deceased person’s estate….Because probate is overseen by the court, it can be a lengthy and sometimes expensive process. Depending on the complexity of the estate and whether disputes arise, it may take several months to more than a year to complete. Probate fees, legal costs, and administrative expenses are typically paid from estate funds, which can reduce the total amount distributed to heirs. In addition, because probate proceedings are a matter of public record, anyone may access information about the estate, such as its value and the identities of beneficiaries.
Despite the nomenclature difference between executors and administrators, the responsibilities are similar, and the individuals designated for these roles are legally obligated to adhere to probate procedures. Specific examples of the tasks involved in administering an estate include:
- Preparing an inventory of assets, such as bank accounts, vehicles, real estate, and personal property.
- Publishing notice to creditors and paying approved claims.
- Filing and paying final income and estate taxes.
- Distributing the balance of the estate to heirs and/or beneficiaries according to the Will or intestate succession laws.
Good To Know: Executor or Administrator Bonds?
Since the duties of the executor or administrator entail resolving the debts of the deceased before distributing remaining assets, courts typically require executors and administrators to post a bond, referred to as an executor or administrator bond, or simply a probate bond. The purpose of these probate court bonds is to protect the interests of heirs and creditors, by serving as a guarantee that the executor or administrator will carry out their duties in accordance with the law.
Whenever and wherever the court requires a probate bond, such as an executor or administrator bond, Colonial Surety Company makes it easy and speedy to obtain, via our direct, online bond service. Just enter the brief information, receive your instant quote, enter payment and then download or print your administrator, executor or probate bond. That’s it. As national and direct bond writers, Colonial Surety Company ensures that executor and administrator bonds meet the specific requirements of courts in every state. We make it so easy and speedy to obtain the bond that executors or administrators can e-file the bonds before even leaving the courtroom.
Probate Attorney?
All types of court and fiduciary bonds are just a few clicks away with The Partnership Account® for Attorneys from Colonial Surety Company. Once you’ve signed up for this free business service, just:
- Log into your private dashboard
- Choose from our complete portfolio of fiduciary and court bonds
- Get a quote and send it to your client for completion, or go ahead and complete it on their behalf—the choice is yours.
- Download, print or e-file the bond, and move on to your next case. That’s how easy we make bonding for attorneys.
Available fiduciary bonds include: administrator, executor, estate, probate, personal representative, trustee, conservator, guardian and more.
Court bonds include: appeal, supersedeas, TRO, replevin and many more.
We’re direct, writers, and our experienced team is here to help ensure you meet even the most persnickety of bonding requirements.
The Partnership Account® for Attorneys
Colonial Surety Company is rated “A Excellent” by A.M. Best Company, U.S. Treasury listed, and licensed for business everywhere in the USA. Our customers have awarded us a 4.8 Trustpilot score.
