Notifying Beneficiaries

A common question we get is about when and how an executor should notify beneficiaries that they are named as such in the will. Executors who use executor.org are familiar with the many steps that are part of the executor role and know that one of the last things in the administration of the estate is distributing assets to the beneficiaries. Conscientious executors want to avoid the common mistakes executors can make and understand they won’t necessarily know, at the beginning of the process, what a beneficiary might ultimately get.  It’s no wonder executors are sometimes confused by what to say and when to say it.  

But communicating with beneficiaries is incredibly important and how and when this communication is handled can significantly impact relationships, family dynamics and the smooth administration of the estate. To help the executor with the critical role of communication, here are some tips for communication with beneficiaries. 

Timing

Typically, the deceased’s loved ones expect to be beneficiaries of the estate.  Once you have the will and know you will be executor of the estate, you can let the deceased’s loved ones know that you are named as executor in the will. You can tell them that the first step is to file the will with the probate court. 

Once the will is probated, you can reach out to beneficiaries to let them know they are named in the will as a beneficiary. You can also let them know that there is an official process you must follow and you cannot distribute any of the estate’s assets to the beneficiary until this process is complete.

What to Communicate

An executor should communicate with the prospective beneficiaries throughout the estate administration process and share details about what it will entail. Even a quick update can be beneficial because it lets the beneficiaries know you are working on your executor duties and can help them understand where the estate administration is in the process. While it’s crucial to be transparent, try to strike the right balance in giving them important information but not overwhelming them with too much information before the estate is settled.

In some cases, an item mentioned in a will is no longer part of an estate. And in other cases, an estate is insolvent.  Because of situations like this, it is important that an executor follows the tasks of the executor role exactly and does not give estate assets to beneficiaries prematurely or promise beneficiaries anything about the estate until the final distribution.   

We shouldn’t need to say it, but the executor has no discretion or influence when it comes to distribution of the estate assets and should not make statements about who can receive what if those statements are not directly from the will.  The executor will make a fair plan for distributing assets if the will is not explicit.   

Sometimes, someone believes they are going to be a beneficiary, but they are not listed as such in the will. An executor may even receive questions about an inheritance from these people. The executor does not have to keep these people in suspense and can tell them they are not named as beneficiaries in the will. If this would put the executor in a tough position, this is where an estate attorney can help and you can ask them to assist in this communication.  

How to Communicate

Communication can and will differ depending on the executor and the executor’s relationship with the beneficiaries. When relationships are close and amicable, an executor can keep beneficiaries updated with a text message or email. But when there is no relationship or where animosity exists or is likely to occur, a formal letter or email is advisable. An estate attorney can help with communication in these cases. 

While well thought out written communication is often advisable, a face-to-face meeting may also be appropriate, particularly if sensitive issues may arise. Again, an estate attorney can be a big help in these cases.

Conclusion

Communicating with beneficiaries is a critical task for an executor that requires sensitivity and clarity. Maintaining open lines of communication will enhance the administration of the estate and is another way to show respect to the deceased.

An executor has many tasks to complete, including 15 primary executor duties. At executor.org, we give you a customized list of executor duties and can even help answer important questions like how to manage family relationships after a parent’s death.