The Personal Representative (formerly known as the Executor) named in a Will bears a lot of responsibility for initiating and concluding the administration of an estate. If heirs, beneficiaries, creditors, the state and other interested parties are not handled properly, the P.R. may be held personally liable for any mistakes. On the other hand, being asked to serve as a P.R. is reflection of great trust and honoring the wishes of a loved-one can, and should be, a fulfilling experience. P.R.s are also essential to oversee the orderly transfer of property from one generation to the next; a function that underpins much of our economy.

If you are nominated as the P.R. in someone else’s Will and they have recently passed away, please call us for a free consultation about how we can guide you through the process: 617-737-9100.

Appointment of Personal Representative and Probate of Will

The first step in the administration process is to seek your appointment as Personal Representative of the Estate in the Probate and Family Court. If there is a Will, we will also seek allowance (“probate”) of that Will. Please discuss with the attorney handling this matter at our office whether or not that process will be done “formally” or “informally,” which will affect the timeline for accomplishing this first step.

Please also keep in mind that since the beginning of the COVID-19 pandemic, the Massachusetts Probate Courts have become extremely backlogged due to staff reductions and remote work. We will work to file materials for your matter and respond to Court notices as promptly as possible. However, delays have become all but inevitable in even the most routine matters.

Opening an Estate Account; Preparing the Inventory; Planning for the Estate Tax Return

Upon your appointment as Personal Representative, you will need to open a checking account in the name of the Estate and deposit all of the decedent’s liquid probate assets into this account. We will provide you with an IRS tax identification number for the Estate, which you will use along with your Letters of Authority from the Court to open an Estate account at a bank of your choice. Any funds payable to the decedent thereafter must be deposited into this account. Any debts of the decedent or costs of administration must thereafter be paid from this account. Please use a check or debit card – and not cash – to pay any expenses. This will make the final accounting easier and therefore less expensive. For expenses you or anyone else have paid out-of-pocket prior to opening the Estate account, please keep all invoices and receipts, and create your own accounting to share with our office. All such costs will be reimbursed from the Estate prior to closing if there are sufficient assets.

One of your first tasks as Personal Representative will be to prepare an Inventory. The Inventory includes all assets that stand in the decedent’s name alone, such as stocks, mutual funds, real estate, personal property, etc. The Inventory will be filed in the Probate Court and, later on, provided to all interested parties (i.e. the people named in the Will, if any other than you, or the heirs at law if there is no Will).

The Estate Tax

If there the decedent had more than $1M in assets – both probate and non-probate assets (like life insurance) – then we must prepare and file a Massachusetts estate tax return. The Massachusetts estate tax return must be filed, and any tax paid, within nine months from date of death. The estate tax returns are comprehensive documents that report all assets that in which the decedent had any interest as of the date of death. It is important, therefore, that we quickly ascertain the value of the assets, estimate the burden of tax, and formulate a plan to pay it. If a Federal estate tax return is required, we will discuss this with you and handle the return as well.

 Your Role as Personal Representative

 While the Estate is open, as Personal Representative, you will collect all Estate assets and pay all the debts, expenses, and taxes, including (but not limited to) reimbursing anyone who has incurred Estate related expenses out-of-pocket; prepare and file the decedent’s final income tax returns; and prepare the income tax returns for the Estate, if any; manage the decedent’s real estate, if any; and generally wind down the decedent’s affairs. The circumstances and tasks for each Estate will differ and we will guide you through the process. Please speak with the attorney handling this matter before making any payments or signing anything in your capacity as Personal Representative if you are unsure of your decision at all. You should also know that you are entitled to reasonable compensation for services you render to the Estate as Personal Representative.

 Closing the Estate

The period during which any potential creditors may bring claims against the Estate expires one year from the date of death. After the claims period has passed, and assuming we obtain a timely estate tax release from the Massachusetts Department of Revenue if there is a Massachusetts estate tax due, there are no major constraints to distribution of the remaining Estate to the interested parties named in the Will, if any, or the heirs at law if there is no Will.

When the Estate is therefore ready to be closed, we will prepare for your approval, and that of the Court, an accounting that shows all of the transactions in the Estate during the course of its administration. This is known as the First and Final Account. Again, it is important that you keep meticulous records of all Estate costs and expenses as Personal Representative for the purpose of creating an accurate First and Final Account. You should not plan on making any Estate distributions unless and until the First and Final Account is prepared and, in some instances, approved first by the Court. Always speak to your attorney before making any distributions of Estate assets to interested parties. As Personal Representative, you may be personally liable for any distributions made in error.