Gathering and Appraising Assets

When an individual passes away, the executor of the estate will be responsible for gathering and appraising the deceased's assets and property. This is the first step in estate administration and it is followed by paying the debt and distributing the remaining assets. The executor is expected to inventory and document the entire estate. As some estates are quite extensive, engaging the services of a professional can be beneficial. It is important that the estate is inventoried and appraised accurately for numerous reasons.

First, any outstanding debts that are owed by the deceased will have to be repaid. There could be numerous creditors and an accurate understanding of the monetary value of the estate will help the executor repay them. If the estate does not cover the debts owed, the court will decide which creditors will be paid first. Also, there may be taxes due on the estate. Again, it is necessary to know the worth of the individual's property so that it can be taxed correctly. The funds to pay for these taxes will come from the estate.

Lastly, the assets must be gathered and appraised for the purpose of fairly dividing the inheritance among the beneficiaries. The beneficiaries are those who have been named in the will to receive property or assets after the grantor's death. Another duty involved in this step is the care and management of the property until it is divided among the beneficiaries.