Many lawyers use the phrase “personal representative” instead of the more traditional term,”executor,” but both mean the same thing. Your executor or personal representative is the person responsible for administering your estate after you die. This person is named in your will and assigned the responsibility of making sure that your debts are paid and your assets distributed according to your wishes. If your will is probated, he or she will act as the liaison between your estate and the court, the beneficiaries you name in your will, and any creditors you may owe money to.
If your assets are held in a trust, you’ll need to designate a “successor trustee” to administer the trust after your death. This would normally be the same person named as executor in your will. (You’ll need a will even if your assets are held in a trust.)
Who can you name as your executor? It must be a competent American citizen of legal age. You can choose a friend, a fiduciary, an attorney, or your bank. Before you name someone, make sure your designee agrees to accept the role.
Serving as an executor is not a trivial task, even in simple situations. AARP provides a sobering account of the challenges of being an executor. A good executor needs time, patience, persistence, and good organizational skills. Whoever does this job – friend or professional – should be compensated for their services. You’ll need to discuss compensation with them and put it in writing within the will itself.
Choosing an executor is somewhat problematic for those without families, but much less than choosing a health representative or financial agent — people whose actions will affect our lives in our final years. If you have a lawyer prepare your estate planning documents, he or she would be a logical person to follow through after your death. A fiduciary or paralegal could also be contracted for this service.