Jack, as personal representative under his mother’s Will, has been working on an Accounting as required by probate court procedures. Last week, he listed the net proceeds of each asset he has sold since her death, all the income he’s received on her assets and the net value of all assets he still has.
His Accounting must also show what he has spent since her death, as well for what purpose he spent the money. So Jack lists the debts and expenses, including taxes, he has paid out with her assets and income.
The court is particularly interested in making sure that all his mother’s legitimate creditors were paid before any money goes to the people she named in her Will. So Jack’s Accounting must also satisfy the court that all timely, valid claims of creditors have somehow been resolved - by being paid, settled or withdrawn.
The good record keeping Jack set up at the beginning, including the new account in the name of his mother’s estate certainly helps immensely with furnishing what the court with the information it needs to approve his work.
For guidance on setting up your own estate to be easier for your family to handle or help organizing any estate you are called upon to handle, call our office at (815) 436-1996 for an appointment. © 2013 Gruber Law Office, Ltd.