What To Do When A Loved One Dies

When a family loses a loved one, the grief is all they can handle at that moment.  But eventually, plans will have to be made to wrap up the affairs of your loved one. For most people, the task of settling an estate is learned the hard way: on the job during a time of grief. Knowing a few critical first steps can go a long way toward helping you get your bearings as you face the job of honoring a loved one’s final wishes

We would like to offer you some guidance during this time and some recommended action steps to take to finalize the affairs of your loved one. It is a big responsibility albeit an unpleasant one, especially while grieving.  But one step at at a time……..

What To Do After Your Loved One Has Been Laid To Rest…

In the days, weeks and months following your loved one’s memorial services, it can be difficult to face the legal, accounting and paperwork that needs to be done. Use a checklist and set due dates for yourself, which will help you avoid procrastinating these tasks.

• You’ll need several copies of the death certificate, which are typically found at your local or state health department. Death certificates are often required for banks and financial institutions, attorneys or probate, and life insurance benefits, pensions, annuities, and Veterans Administration benefits (10 days).
• Locate all important documents (1 month):
  • Tax documents
  • Birth, marriage, and divorce certificates
  • Bank account records
  • Social Security cards or papers
  • Military discharge papers
  • Vehicle registrations, titles, or loans
  • Current bills, debts
  • Investment records and debts
• Notify all legal and financial interests (within 1 month):
  • Creditors (including mortgage lenders)
  • Utility companies (including internet and cell phone providers)
  • Lawyers, accountants, financial advisers
  • Pension agencies
  • Social Security
  • Veterans Administration
  • Motor vehicles division
• File life insurance or final expenses policy claims with their respective companies (1-2 months).
• Meet with a probate attorney – If a probate attorney is required in your state (within the first month) FILE THE WILL in Probate Court.  In some cases, assets can pass to heirs without probate (or via a streamlined probate process), but the law in most states still requires filing the will in probate court.
• Execute the Will – if you are the executor, or have the executor do it.  This will consist of paying debts and distributing assets according to the deceased’s wishes (immediately post-funeral and within 1 year).
• If the death had an impact on your legal documents, adjust them….If you are a surviving spouse or a beneficiary of the person who died, or if the person who died was a beneficiary of yours, you may need to change some legal or financial documents, including your own will, insurance policies and investments (within 6 months).

Remember, as executor, it’s your responsibility to control the assets until the estate is settled. You may have to make decisions about which assets to sell and which to distribute to heirs. If the deceased left a will, you’ll be responsible for contacting those named in the will to inform them about their inheritance and ensure they receive the designated property. Without a will, state law will determine who receives distributions from the estate.

• Do not forget to SET UP an Estate Account – The Estate Account will hold all of the financial assets owed to the deceased, including paychecks, dividend payments and tax refunds. All payments (e.g., for burial expenses, to the IRS, to creditors) will also be paid out of this account.

• Pay Ongoing Expenses and Debts….This is something you may not consider or even want to think about during your grief period, but until the estate is settled, you’ll need to continue paying all of the bills, including the mortgage, utility bills, insurance premiums, etc. Be sure to cancel all subscriptions as well.  In the process of reconciling the estate, you’ll communicate with creditors about outstanding debts and decide how those will be settled. All debts will need to be paid before any assets can be disbursed to heirs.

• File a Tax Return….Finally, an income tax return must be filed for the period from the first date of the tax year until the date of death.

Real Estate Help Center understands the grieving process and that you need time. We are here to help you when YOU are ready. We routinely help families who are in need with the property of their loved one. Contact us for more information.  We are here to help!