Why Professional Estate Administration is Essential

It is a commonly held belief that fees charged by solicitors to deal with administering estates are very high, and people often want to save money by dealing with it themselves. But what happens if something goes wrong? If an Executor’s actions cause loss to the estate, they will be held personally liable, meaning that it might be worth looking more closely at what a solicitor can offer to help.

Estate administration can be complicated, particularly where there are multiple assets, assets overseas, properties, shares or a large number of beneficiaries. Where the deceased has not left a Will, this can mean further complications, as the law specifies who has the right to deal with the estate and receive the assets.

Executors in an estate are legally obliged to ensure that an estate is administered properly and in accordance with the law and they can be held personally responsible if they do not. In particular they need to ensure that they have dealt with the following:

1.      Obtaining accurate values of estate assets

2.      Advertising for potential creditors

3.      Completing Inheritance Tax returns and ensuring tax is calculated correctly and paid on time. They need to be aware of exemptions, reliefs and nil rate bands to ensure that they report the estate correctly

4.      Applying for a Grant of Representation where it is needed

5.      Ensuring all liabilities are paid

6.      Dealing with property titles

7.      Identifying all beneficiaries, particularly where the deceased has not left a Will

8.      Accounting for tax during the administration period

9.      Producing estate accounts at the conclusion of the matter as is required by law

Executors should also be aware of how much time estate management requires. Depending on the intricacy of the estate and the number of beneficiaries, the process may take months or even years to finish. A solicitor can assist with time management and guarantee that all responsibilities are completed effectively, lowering the possibility of delays. Working with legal experts allows Executors to concentrate on carrying out their duties without becoming bogged down in the specifics.

Losing a loved one is difficult and it is often a very emotional time for all involved. It can be particularly challenging if certain beneficiaries are unhappy with the way the estate is divided or being dealt with. Executors must be neutral and ensure that the estate is dealt with in accordance with the law. It can often be helpful to have a professional assisting with the administration of an estate to ensure that the law is followed and that any tensions are dealt with fairly.

It is worth noting that legal fees are payable from estate funds, not by the Executors. At Forbes Solicitors we are able to tailor the extent of the work we do for Executors, assisting with as much as they want us to, whilst offering support to ensure that nothing is missed, and to protect the Executor against potential mistakes and resulting liability.