Acting as a personal representative during probate is a significant responsibility. In Washington, the probate process can be complex, and mistakes can lead to delays, disputes, or even personal liability. Here are ten common missteps personal representatives make and how to avoid them.
1. Failing to Understand Their Legal Duties
Personal representatives have a fiduciary duty to act in the best interests of the estate and its beneficiaries. This includes managing assets prudently, avoiding conflicts of interest, and adhering to court orders. Ignorance of these obligations can lead to serious legal consequences.
Tip: Consult an attorney to fully understand your responsibilities and stay compliant.
2. Delaying the Filing of Probate Documents
Timeliness is crucial in probate. Delays in filing essential documents, such as the will or inventory of assets, can stall the process and lead to court penalties.
Tip: Create a timeline of required filings and adhere to all deadlines.
3. Mishandling Estate Assets
Improperly managing, selling, or distributing estate assets can lead to financial loss or legal disputes. This includes failing to safeguard assets or mixing estate funds with personal funds.
Tip: Open a separate estate account and meticulously track all transactions.
4. Overlooking Debts and Liabilities
Ignoring or mishandling the estate’s debts and liabilities, such as unpaid taxes or outstanding bills, can cause legal and financial complications.
Tip: Perform a thorough review of the deceased’s financial records and consult with professionals to address liabilities correctly.
5. Failing to Communicate with Beneficiaries
Lack of communication can lead to frustration and mistrust among beneficiaries, potentially resulting in disputes or legal challenges.
Tip: Keep beneficiaries informed about the estate’s progress and respond promptly to their inquiries.
6. Ignoring Tax Obligations
The estate may be subject to state and federal taxes, and failing to file or pay these taxes on time can lead to penalties.
Tip: Work with a tax professional to ensure all tax obligations are met.
7. Distributing Assets Too Early
Prematurely distributing assets before resolving debts and liabilities can leave the estate insolvent and expose the representative to personal liability.
Tip: Wait until all debts and taxes are settled before distributing assets.
8. Not Securing Professional Help
Attempting to handle complex probate issues without legal or financial guidance can result in costly mistakes.
Tip: Engage an experienced probate attorney and, if needed, a financial advisor to navigate the process.
9. Failing to File the Final Accounting
In Washington, personal representatives must file a final accounting with the court detailing all financial transactions made on behalf of the estate. Omitting this step can delay the estate’s closure.
Tip: Maintain detailed records and submit the final accounting as required.
10. Underestimating the Time Commitment
Probate can be time-consuming, requiring attention to detail and prompt action over several months or even years. Underestimating the time commitment can lead to overlooked tasks and errors.
Tip: Plan your schedule accordingly and seek assistance to manage your workload effectively.
Contact The McWilliams Law Group for Help
The established California and Washington estate planning and probate attorneys at the McWilliams Law Group help you prepare for the future today.
Our firm provides legal assistance with the following:
- Will drafting, execution and review
- Living Trusts
- Advance healthcare directives (living Wills)
- Powers of attorney
- Estate and gift tax issues
- Guardianships and conservatorships
- Choosing the appropriate executor and/or trustee
The skilled attorneys at our firm can help thoroughly analyze your estate and strategize the best means of transferring your assets, minimizing taxes, establishing guardianship, and supporting philanthropic causes. Contact us now and let us help protect your personal security, family, and legacy.
