It is very common for the person who is named as the executor of a will to also be one of multiple beneficiaries in the will. This most commonly occurs when a parent dies, naming one of their children as the executor and listing all of their children as beneficiaries in the will.
Being named as both an executor and a beneficiary of a loved one’s estate is a significant responsibility. While these dual roles are common, they can present unique challenges. Here, we’ll offer help as you navigate these potentially treacherous waters.
As an executor, your primary duty is to manage the estate according to the terms of the deceased’s will and applicable laws. There are many tasks you will undertake in your executor role and the completion of these tasks will require impartiality and adherence to a fiduciary duty, meaning you must act in the best interest of all beneficiaries and the estate.
Wearing two hats—as executor and beneficiary—can sometimes create conflicts of interest. For example, you might need to make decisions about asset valuations or timelines that affect your own inheritance. To maintain transparency, document every decision, communicate openly with other beneficiaries, and seek legal or professional advice if needed.
As an executor, you are entitled to reasonable compensation for your time and effort, which is often outlined in state laws or the will itself. But whether or not to accept executor compensation is a complicated question, especially when the executor is also a beneficiary. Some beneficiaries may refuse to see reasonable compensation as an acknowledgment of the hard work and time an executor puts into completing their complex executor duties and instead may resent the money you receive and the associated reduction in the assets of the estate (thus reducing the share of those assets they will receive as beneficiaries). While you are entitled to executor compensation, you should know what you are facing when making the decision about whether or not you will take executor compensation.
Even if you are doing a great job at avoiding putting your interests first, and all the beneficiaries agree you are behaving well in this regard, they may perceive favoritism on your part. Especially among siblings, there is the potential for the perception that you are treating one sibling better than another, particularly when distributing assets of sentimental value. Remember that you can get the help of a neutral third party like an estate attorney if you need help navigating these conflicts. Also remember that open communication at every step in the executor duties can go a long way in fostering trust among all involved.
Serving as an executor is time-consuming and emotionally taxing, especially if you’re also grieving the loss of a loved one. Make a plan to manage grief and give yourself grace as you work through this process. And always remember that the job of executor is a marathon, not a sprint. Don’t put too much pressure on yourself to get everything done in a day or a week, or even three months. The process will move at its own pace, and typically that means it will take as long as a year, or even more.
Being both an executor and a beneficiary can be demanding, but with knowledge of the role, clear communication, and adherence to legal and ethical guidelines, you can fulfill your executor responsibilities effectively. Using Executor.org’s tools like the custom plan with more than 100 steps will walk you through the process, making the executor role easier. And helpful articles on important topics provide information, tips and advice whether you are planning your own estate or serving in the executor role.