Kevin Dick
Posted on Feb. 20, 2026
If you’ve been named the executor of an estate, the process of “unwinding” a person’s life is a significant legal and financial responsibility. An executor is the individual appointed to manage a decedent’s legal and financial affairs after death. The role involves carrying out the decedent’s wishes as outlined in their will, while complying with applicable state and federal laws.
Although every estate is unique and laws vary by state, this article provides a high-level overview of what to expect when serving as executor.
Becoming the Executor
Upon death of the decedent, the health care proxy and durable power of attorney [1] immediately lose any legal authorization to act on the behalf of the decedent. From that point forward, we look to the will (if one exists) to determine who has been named executor.
If there is no will, any interested party may petition the court to be appointed administrator. This is typically a family member or loved one, however a creditor may also seek appointment. An executor and administrator serve essentially the same function, except that the executor acts in accordance with the decedent’s will, while the administrator adheres to the state’s intestacy laws (because there’s no will to follow).
The executor or administrator is formally appointed in a court-supervised process called probate. During probate, anyone with legal standing (i.e., a spouse, children, or named beneficiaries) may contest the will. However, any challenge to the will must be based on legal grounds such as lack of capacity or undue influence. It’s also important to understand that probate is a public process, meaning that the will, financial information, and any familial disputes become part of public record. This loss of privacy is one reason many families, particularly those with significant assets, incorporate trusts into their estate planning strategy. [1]
[1] You can learn more about health care proxies, durable powers of attorney, and trusts in our estate planning basics article here.
Phase 1: Establish Legal Authority
Before doing almost anything, the executor must be formally appointed.
✔︎ Locate the Original Will
✔︎ Retain an Estate Attorney
✔︎ File Petition with Probate Court
✔︎ Obtain Certified Death Certificates
Phase 2: Secure and Preserve Assets
Once appointed, the executor has a fiduciary duty to protect assets. This usually occurs before notifying creditors because you must preserve estate value first.
✔︎ Obtain EIN for the Estate
✔︎ Open an Estate Bank Account
✔︎ Redirect Mail
✔︎ Secure Real Estate and Personal Property
✔︎ Maintain Insurance Coverage
✔︎ Gather Financial Statements and Records
Phase 3: Notify Interested Parties
Transparency is paramount when formally notifying beneficiaries, creditors, and other institutions of the decedent’s passing and estate administration process.
✔︎ Provide Legal Notice of the Decedent’s Death to Beneficiaries and Natural Heirs
✔︎ Publish Notice to Creditors (if state law requires)
✔︎ Notify Creditors and Financial Institutions Directly
✔︎ Notify Relevant Government Agencies (SSA, VA, DMV, state revenue department, credit bureaus)
Phase 4: Marshall and Value Assets
Marshalling technically means gathering and documenting estate assets. These action items may overlap with Phase 2.
✔︎ Collect Financial Assets into Estate Account
✔︎ Obtain Date-of Death Valuations
✔︎ Appraise Real Estate and Valuable Property
✔︎ File Inventory with Court (if required)
Phase 5: Pay Debts and Expenses
These steps should be taken after creditor notice period expires. The executor must follow the statutory priority rules for payment.
✔︎ Review and Validate Claims
✔︎ Pay Valid Debts
✔︎ Pay Funeral and Administration Expenses
✔︎ Reject Improper Claims
Phase 6: Tax Compliance
Taxes must be addressed before final distribution.
✔︎ File Decedent’s Final Personal Income Tax Return (Form 1040)
✔︎ File Estate Fiduciary Income Tax Return (Form 1041, if required)
✔︎ File State Inheritance Tax Return (if applicable)
✔︎ File Federal Estate Tax Return (Form 706, if required)
✔︎ Obtain Tax Clearance (if state requires)
Phase 7: Distribute Assets
Only after debts are paid, the creditor period expires, and taxes are resolved should assets be distributed.
✔︎ Prepare Accounting for Beneficiaries
✔︎ Obtain Receipts and Releases
✔︎ Distribute Assets per Will or Intestacy Laws
Phase 8: Close the Estate
This formally ends fiduciary responsibility as executor.
✔︎ File Final Accounting (if required)
✔︎ Petition Court to Close Estate
✔︎ Receive Discharge as Executor
Final Word
Having the right team in place, including a reputable estate attorney, is invaluable throughout this process. The attorney should work closely with the executor to help manage the many legal requirements and administrative burdens that come with settling an estate. Even so, the role of executor remains a significant undertaking, and, because of this, most executors are often entitled to a fee for their services.
Finally, something unexpected almost always arises during the settlement of an estate. This can range from navigating difficult financial or government institutions to dealing with unhappy family members or beneficiaries. It’s important for the executor to anticipate these challenges and remember that patience and steady communication are essential.
This content is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.