Estate Administration Finalization
Probate & Estate Administration
Estate Administration Finalization
During the Probate and Estate Administration process, the Executor or Administrator of the estate is responsible for many tasks. Tasks include collecting assets, locating creditors, paying debts and taxes, closing accounts, selling a home, filing final income tax returns and distributing remaining assets according to the decedent’s Will. If there’s no Will in place, it will follow the laws of intestacy.
If you’re new to the Probate process, we’re here to help. The Commonwealth of Pennsylvania’s Probate process is long and can be very frustrating. We are here to guide you through the process to ensure everything is finalized.
Distributing Money During the Probate and Estate Administration Process
The Probate process requires you to file a Petition for Probate with the Register of Wills Division in the Court of Common Pleas in the County where the decedent resided. At Auld Brothers, we can provide you with several Estate Administration and Probate services to help with your needs.
Before you can distribute any money remaining from the decedent, you’ll need to file a Pennsylvania Inheritance Tax Return. After that time, you’ll wait for the inheritance tax department of the commonwealth to approve the return, which may require additional tax. They do so by submitting an Appraisement (typically, this takes six months to one year). This waiting period helps ensure that if additional tax money is required, the Executor or Administrator isn’t responsible for paying those taxes, and it’s paid with the money from the estate.
Then, once all paperwork is received and approved, you can distribute any remaining funds to the beneficiaries.
What are My Options for Closing an Estate in Pennsylvania?
There’s an informal and formal option for closing an estate in Pennsylvania. We can help you determine which option is best for you.
Informal Option
Quick & Inexpensive
This option involves you preparing a Family Settlement Agreement, so all estate heirs can approve and sign. This agreement is a legal binding contract that will include an informal account of:
- Assets
- Liabilities
- Estate expenses
- A proposal on how to distribute any remaining assets
The Family Settlement Agreement includes provisions for:
- Relieving you of liability from administering the estate
- Protecting you from honest mistakes or unintentional errors
- Indicating that all matters of the estate have been finalized
- Division and distribution of the estate assets to each beneficiary
Once the agreement is made up, reviewed, and all beneficiaries sign the “Receipt and Release,” the Probate and Estate Administration process is finalized.
An “Audit” by way of Court
Formal Rigorous & Costly Option
This option is suggested when there are sizable assets, an estate is insolvent, a business interest is involved or there are beneficiary disputes regarding the estate’s assets. During the formal process, you will need to prepare and file a Formal Account and Statement of Proposed Distribution with the Orphan’s Court, by way of Audit.
There are very exact legal requirements needed to follow, including:
- Provide notice to all beneficiaries and interested parties
- Inform everyone involved of the hearing date
- Give opportunity for any person to object
- Include a detailed report of all estate transactions:
- Assets
- Estate Expenses
- Previous Debts
- Court Costs
- Attorney and Executor Fees
If any interested party makes an objection about the Accounting to the Orphan’s Court, the Judge will schedule a status conference and if the matters cannot be resolved. During the hearing, each person must thoroughly explain their objections to the Judge. The estate will then have to refute the objection and the court will make the final determination regarding the objections
If valid, the Account will need to be reviewed and adjustments need to be made. If the objection is not valid, the estate is distributed following the Statement of Proposed Distribution, by Order of Court. Then the Probate and Estate Administration process is finalized.
Assistance with Probate and Estate Administration Finalization
Closing an estate is the last big step towards completing your duties as the Executor or Administrator of the estate. Whether you choose an informal or formal closing option, we will assist you with any legal documents or court representation you need. We help to make the Estate Administration finalization an easier and more efficient process for you.
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Contact Us to Get Started
Complete our online form so we can help you with your estate planning process.
We are happy to provide a free, 30-minute consultation, with legal advice and answer any questions you may have about your current situation. Our goal is to provide you with clear, straightforward information to help you understand what you need.
5349 William Flynn Highway
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