What to do once the estate is open.
Steps the Personal Representative Must Take After the Estate is Open
Once the estate is officially opened, the personal representative (also known as the executor or administrator) has several important duties to fulfill. Here’s a guide to what you may need to do once you have been appointed to handle the estate:
Filing the Initial Inventory
1. Gather Assets: Make a list of all the deceased person’s assets. This includes bank accounts, real estate, personal property, investments, and any other valuable items.
2. Appraise Property: Some items may need to be appraised to determine their value. This can include real estate, jewelry, and other valuable property.
3. Submit Inventory: File the initial inventory with the court. This document lists all the assets and their values. It’s important to be thorough and accurate. Typically this inventory must be filed within 30-day of your appointment as personal representative.
Disposing of Personal Property
1. Sort Items: Go through personal property, including furniture, clothing, and household items.
2. Determine Distribution: Decide which items will be given to heirs, sold, or donated.
3. Hold an Estate Sale: If there are many items to sell, consider holding an estate sale to convert items into cash.
4. Donate Unwanted Items: Donate any items that heirs do not want and that are not sold.
Selling Real Property
1. Determine Need for Sale: Decide if selling real estate is necessary to pay debts or distribute assets to heirs.
2. Get Court Approval: In some cases, you may need court approval before selling real estate.
3. Hire a Realtor: Work with a real estate agent to list and sell the property.
4. Distribute Proceeds: Once sold, the proceeds will go towards paying debts and then to the heirs.
Winding Down an Existing Business
1. Review Business Assets: Make a list of all business assets, including equipment, inventory, and accounts receivable.
2. Pay Business Debts: Ensure all business debts and obligations are paid.
3. Close Accounts: Close any business accounts and cancel any licenses or permits.
4. Sell Business: If necessary, sell the business or its assets. This may require court approval.
5. Distribute Proceeds: Distribute any remaining assets to the heirs according to the will or state law.
Additional Responsibilities
1. Pay Debts and Taxes: Pay any outstanding debts and taxes owed by the deceased person. This includes final income taxes and estate taxes.
2. Keep Records: Maintain detailed records of all transactions, including receipts, payments, and distributions.
3. Communicate with Heirs: Keep the heirs informed about the progress of the estate administration. Regular updates can help prevent misunderstandings and conflicts.
4. File Final Account: Once all tasks are completed, file a final account with the court showing all the actions you have taken as the personal representative.
Being a personal representative is a significant responsibility, but by following these steps, you can ensure the estate is handled properly and fairly. If you need more help, visit www.ksmoprobate.com for additional resources and support.