Here are five factors to consider when selecting an executor:
Family or outsider
Most people think first of naming a family member, especially a spouse or child. There can be an advantage to this because of the personal relationship and their understanding of the family’s desires. However, be sure the chosen family member can handle the role. Serving as an executor can be a demanding and complicated job and not everyone is suited to the task. It is also important to realize that some family members may be overcome with grief and not be able to perform the duties required.
An alternative approach is to appoint someone with no potential conflict of interest. Think about a trusted friends who has had experience in settling an estate. Depending on the size and complexity of your estate, consider appointing a professional fiduciary or corporate trustee. This might be especially beneficial for blended families.
Single or Co-executors
Think about this carefully. It is understandable that a person with two or more adult children might want them to act as co-executors. However, this can cause more harm than good. If the children are listed as co-executors, they must act together and in agreement. Naming multiple executors can cause delays and disagreements. This is especially true if one of the co-executors lives out of state or one has a tendency to disagree. Maybe a better solution would be to pick one child as the executor and explain to the others the reason for your decision. Since the selection of an executor is for logical reasons, the other children usually see the reasonableness of the choice.
Qualifications/Judgement
When deciding who to appoint, look for these qualities:
Organized – Choose someone who is organized and able to track all of the paperwork and logistics involved in settling an estate. This person should also have a reasonable grasp of legal, tax and financial processes.
Loyal – Look for someone who will manage your property responsibly and carry out your wishes for distribution.
Fair and Practical – Appoint a person who will balance the interest of all beneficiaries and make fair and practical decisions when handling your estate.
Willing to Serve
Before you sign your documents, be sure the person who you have named as executor is willing to serve. No one likes to be surprised with this type of appointment. Discuss the selection with them and tell them about the location of your pertinent documents in The Family Legacy Drawer. Then talk to your family members about your choice. They may be relieved it is not them!
Availability/Longevity
Settling an estate requires a significant amount of time. Be sure to appoint an executor who has the time to devote to this important task. As a practical matter, it is wise to name an executor who lives close to you. Also consider the age of the executor. Choosing an executor close to your age may not live long enough to fulfill the job!
Selecting the right person for the job of executor requires careful thinking. Be sure to choose someone who will be able to settle the estate fairly and efficiently.
