Executor of estate: what the job involves, step by step

The short answer: an executor of estate is the person named in a will to carry out its instructions after death: account for every asset, pay what the estate owes and transfer the rest to the right beneficiaries.

• First week: find the will, order death certificates, secure the home and pets
• First month: file with probate court and open the estate account
• Months 3 to 9: pay debts and expenses and sell property if needed
• Tax season: file the final income tax return
• Next step: Plan it with the If Something Happens to Me Binder ($11.99).

An executor of estate is the person named in a will to carry out its instructions after death. Investopedia's overview of the executor role describes the job as accounting for every asset in the will, paying what the estate owes and transferring the rest to the right beneficiaries. It is a position of trust. The executor answers to the probate court and the beneficiaries, and can be held responsible for mistakes. This page walks through the duties in order, with a timeline. This guide is general information, not legal advice. The exact duties and deadlines depend on your state, so read your state court's self-help pages or ask a licensed probate attorney.

If you're planning ahead for your own executor, our If Something Happens to Me Binder lists accounts, insurance policies, bills, digital accounts and where to find documents.

Who can be an executor of estate?

Most adults qualify. Investopedia notes an executor generally must be over 18 without prior felony convictions, and can be a relative, a friend or a professional such as a lawyer, accountant or bank. If the will names no one, or the named person cannot serve, the court appoints an administrator, usually a close relative.

You'll also hear the role called the executor of will, since the will is where the person is named.

For the basics of the document that names the executor, see what is a will.

When you are picking an executor for your own will, choose someone organized, patient, honest and likely to outlive you. Living nearby helps, since much of the work is in person. Name a backup too.

Should you accept the role?

Being named executor is an honor, not an obligation. Before you agree, think about time, distance and family dynamics. A simple estate may take a few hours a week for several months. A complex one can feel like a part-time job for a year or more.

Ask yourself whether you can stay organized, keep careful records and stay calm if relatives disagree. If you cannot take it on, you can decline before the court appoints you, and the backup named in the will steps in. You can also accept and hire professionals to do the technical parts, paid from the estate.

Executor duties checklist

1. Find the original will and any later changes, called codicils.
2. Order death certificates. Get several certified copies, since banks, insurers and agencies each want one.
3. Secure property. Lock the home, collect keys, protect vehicles and valuables, and keep insurance in force.
4. File with the probate court. Submit the will and a petition, then receive letters that prove your authority.
5. Notify beneficiaries and heirs as state law requires.
6. Get a tax ID for the estate and open an estate bank account. Never mix estate money with your own.
7. Notify agencies and companies, including Social Security, banks, insurers, pension plans and credit bureaus.
8. Inventory and value assets, with appraisals where needed.
9. Notify creditors, often by mail and newspaper notice, then review claims.
10. Pay valid debts, bills and expenses from the estate account.
11. File tax returns, including the final personal return and any estate returns.
12. Keep records of every dollar in and out.
13. Prepare a final accounting and get court or beneficiary approval.
14. Distribute assets and close the estate.

The California Courts probate guide breaks the court steps down in more detail. Many other states follow a similar order.

A typical executor timeline

Simple estates can move faster. Estates with real estate, a business or family disagreements usually take longer.

Tax duties

Taxes are where many executors need help. The IRS page on final income tax returns explains that the executor or administrator files the deceased person's final Form 1040 for the year of death. If a refund is due, the IRS may need Form 1310 from someone other than a surviving spouse.

Keep receipts and statements for every year, and consider a tax professional for anything beyond a simple final return.

When debts are bigger than the estate

Executors are not personally responsible for the deceased person's debts, as long as they follow the rules. If the estate cannot pay everything, state law sets an order of priority. Funeral costs, administration costs and certain taxes usually come first, with ordinary unsecured debts like credit cards later. Beneficiaries may receive nothing. Family members generally do not have to pay a relative's debts from their own money unless they co-signed or the account was joint. Collectors sometimes suggest otherwise, so ask a probate attorney before paying anything from your own pocket.

Personal belongings and digital accounts

Dividing furniture, jewelry and photos often causes more tension than money. Follow any list the will refers to. For everything else, a fair method helps, such as taking turns choosing in an order set by drawing names. Photograph items and note who took what.

Digital accounts need care too. Make a list of email, social media, online banking, photo storage and subscriptions. Many platforms have a process for a legacy contact or for closing a deceased user's account. Cancel paid subscriptions early so they stop billing the estate.

Executor vs. trustee vs. administrator

Note the last row. A power of attorney ends at death, so an agent cannot act for the estate unless they are also appointed executor.

Executor fees and expenses

Executors are usually entitled to reasonable pay, set by the will or by state law. Some states set it as a percentage of the estate. Family executors who also inherit often waive it, because the fee is taxable income while the inheritance usually is not. Either way, the executor can be reimbursed from the estate for costs like court fees, appraisals, postage and travel. Keep receipts.

Mistakes executors should avoid

Send beneficiaries short updates every few months, even if nothing has changed.

When to hire help

An executor can do much of the work alone in a simple estate, and some states have streamlined procedures. Consider a probate attorney if there is a will contest, real estate in another state, a family business, debts larger than assets, or beneficiaries who disagree. A CPA or enrolled agent can handle estate tax returns. The estate usually pays these fees.

Closing the estate

Closing is the last formal step. After debts and taxes are paid and the creditor deadline has passed, the executor prepares a final accounting of everything received, spent and still on hand. Beneficiaries review it, and in many states the court approves it. The executor then distributes the remaining assets, collects signed receipts and asks the court to discharge them. Keep estate records for several years in case a tax question comes up later.

How to make your executor's job easier

Most of an executor's first month is spent finding things. You can spare yours that. The If Something Happens to Me Binder ($11.99, printable PDF) has Read me first, a letter, Personal information, Key Contacts, Dependents & pets, Bank & Financial Accounts, Insurance Policies, Bills & Subscriptions, Property & Vehicles, Digital Accounts, Where to Find Documents and My wishes. Fill it in, keep it with your will, and tell your executor where both are.

Related guides: what is probate, what is a trust and how to make a will.

Planning ahead for your own family? Use our estate planning checklist to gather the key documents.