Has someone asked you to be the executor of a will in NSW? If so, you might be wondering what you should expect. Unless you’ve acted as an executor of a will in NSW before, you’ve probably never stopped to think about the duties that the role involves.
To find out more about what it means to be an executor of a will in NSW, read on below.
What is an ‘executor’?
The executor of a will in NSW is someone who has been named to carry out the wishes of another person after they die. There are a number of responsibilities that come with this role, including organising and collecting the assets so that debts can be paid and remaining assets can be distributed according to the instruction set out in the deceased persons will.
The deceased person’s will may also set out instructions for their funeral arrangements, as well as other matters like organ donation, and the executor must make the necessary arrangements to see these wishes fulfilled.
So, to sum up, the key duties of the executor of a will in NSW are:
- Notify any beneficiaries that were named in the will
- Ensure that any property and assets listed in the will are properly cared for and managed, this may mean:
- Managing business interests
- Protecting income earning assets
- Invested funds
- Collecting valuable assets
- Insuring property
- The executor may also need to arrange for valuations of the estate and its assets, this may include arranging valuations for:
- Funds
- Business interests
- Household items
- Real estate
- Debts
- An executor also needs to complete income tax returns for the deceased and get clearance from the ATO.
- To administer the wishes stated in the will, an executor will need to get authority to make decisions about the estate. This means they will need to apply for probate.
- When they have permission to administer the will, they will need to pay debts owing and may need to sell assets to pay off debts.
- They may need to establish trusts for beneficiaries who are under the age of 18 or who are unable to make their own decisions.
- Finally they will need to divide up assets and provide statements for the beneficiaries.
Sometimes matters can be complicated if the deceased share assets with someone else. Usually this will require an application for probate in order to allow the estate to be finalised.
How long does it take to execute a will?
Executors need to act with reasonable care. Usually, a year is seen as sufficient time for the executor of a will in NSW to finish things up. This can vary however, depending on how complicated the estate is and there is no specific set time limit.
What if I don’t want to be the executor?
If you’re named as the executor of a will in NSW and you don’t want to do it, you are not obliged to. Those who don’t want the responsibility can refuse to act in the role and pass it to another executor named in the will, or if no other person was named, you can apply to the Supreme Court to appoint an administrator.
If you choose to refuse to act in the role as executor, you can’t accept the role later.
Will you be compensated?
In certain situations, an executor may be paid per the instructions in a will. If there is nothing the will about payment arrangements, then an executor may still be paid if all the beneficiaries agree.