The executor of your will or successor trustee is an important choice. This person or persons will be responsible for carrying out your final wishes, distributing or managing your assets, and navigating the legal requirements when you can't do it yourself. So, who can you choose as an executor? And what is the value of involving finance professionals in this process? Here are a few answers.

Who Can You Choose as Executor or Trustee?

Most states, including Washington, put few limitations on who can serve as an executor (also called a personal representative) of a will. This person must generally be over 18, of sound mind, and not convicted of a felony (in particular, certain crimes like fraud and theft). 

While many people choose a family member, close friend, or spouse to fill this role, others choose an independent third party. This third party is often an attorney or an accountant. It can also be a corporation, although there are additional rules about what type of corporation can be appointed. 

Why Should You Choose an Accountant?

Because many people appoint a friend or loved one to this role, the use of a financial or legal professional is sometimes overlooked. But there are a number of advantages to using these.

First, being an executor is a more difficult job than many people realize. It may require major time commitments and the executor must meet unfamiliar legal requirements with the probate court and beyond. Therefore, a friend or spouse may not have the time or the skills to do the job as it needs to be done. It may be an unfair burden, particularly if the estate or trust will last long-term. 

Second, an independent executor could forestall family conflict. They have no skin in the game, as it were, and therefore present an impartial perspective. Their sole responsibility is to the interests of your estate — and by extension, you — as their client. A professional is also experienced at reducing conflict and reasoning with all sorts of families. 

Finally, an experienced accountant knows the ethics and requirements of estate management. They are more likely to be familiar with things like locating assets and debts for a decedent, filing decedent and estate tax forms (such as Forms 1040, 1041, and 706), and completing final accounting reports for probate court. 

What Are the Downsides of Using an Accountant?

Of course, as with any arrangement, there are a few downsides to choosing a financial or legal professional. The primary downside is that you pay an accountant for their services. Your estate would need to be able to support this additional expense, which might be short-term or long-term, or the family may need to pay it themselves. 

The family also loses some personal control over the execution of the estate or trust. If decisions must be made that require a person to know the family dynamics or the deceased person, some families may feel it's better or easier to have a loved one in this role.

How Can You Mitigate Concerns?

An easy way to address these concerns — either financial or personal — is to name co-executors or trustees. One person is a paid professional and the other a loved one. You would pay the accountant for less time and work, relying on them only when needed. The family member or loved one can handle many other aspects, including legwork and daily management tasks. 



Where Can You Learn More?

Do you want to learn more about using an accountant or other paid professional as your personal representative? Start by meeting with the team at Bliss & Skeen, CPAs. From full-service personal representative or trustee services to individual probate and tax forms, we can help as much or as little as your estate needs. Call today to make an appointment.