While an estate plan is crucial for protecting your assets and family after you die, you will also need to choose an executor. According to Kiplinger, the executor of your estate has many important responsibilities when fulfilling the role, such as paying off debt, locating assets, and dispersing them to your heirs.
Because it is such a big responsibility, you must make your decision wisely. Here are a few things to keep in mind when making a selection.
Consider the person’s financial status
While your selection does not need to have high-level financial knowledge, they should have good control over personal finances. That means they do not have a large amount of debt, pay their bills on time, and are generally financially responsible. When a person has trouble maintaining a hold over their finances, it is likely that they will encounter the same issues when handling yours.
Proceed with caution when choosing a family member
While it is perfectly acceptable to select a family member, keep in mind the potential drama your selection might cause. Try to choose a person unlikely to act vindictively or use their position of authority to harm your heirs.
Make sure the person is responsible
Because there are so many tasks and duties involved, your selection must live up to the many responsibilities in front of them. In the event you do not personally know anyone who fits the bill, consider selecting a professional, such as an accountant or attorney, to serve as your executor. You can also select a financial institution, such as a bank.
You should review your estate plan every three to five years to ensure it meets your need. You should also check in with your executor to ensure they are still up for the task. Selecting a backup is also a good idea, in case your original choice is unavailable.
