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Faizan
If you've been appointed the executor or administrator of an estate -- also known as a personal representative -- compiling an inventory of the late person's assets is an important part of your duties. Laws vary according to state as to inventory requirements, but if an inventory must be filed with the court, it's the personal representative who signs the document.
Inventory Forms
The probate court in the county in which the deceased resided at the time of his death can provide you with forms for completing the inventory. Depending upon state law, you must complete the inventory within a specific time frame -- generally three or four months -- after your formal appointment by the probate court as executor or administrator.
Asset Values
When compiling the inventory, use the fair market asset value as of the date of the decedent's death. For inventory purposes, it doesn't matter whether assets have gone up in value or declined since that date. While banks, brokerage companies and mutual funds can provide you with the value of the decedent's accounts as of the date of death, you will have to hire an appraiser to assess the value of real estate, motor vehicles, boats, art, antiques, jewelry and similar items.
What to Include
Inventory forms require basic information, such as the date of the decedent's death, his Social Security number and address, as well your name and address as the personal representative. Inventory forms vary by state, but usually include different schedules for real estate solely owned by the decedent; solely owned bank and brokerage accounts, stocks bonds and mutual funds; cash, promissory notes and other debts owed to the decedent. You must also include personal property of value owned solely by the decedent -- such as motor vehicles, art, jewelry and life insurance payable to the estate -- along with assets the decedent owned jointly with others. Along with the fair market value of each item, you must include account numbers or descriptions of the personal property.
Filing the Inventory
Depending on state law, you may have to file the inventory with the probate court within an allotted time period, after having the document notarized. The court or the estate's attorney can advise you on the procedure in the particular state. In Michigan, for example, the personal representative doesn't have to file a formal inventory in most cases, although it is recommended to do so to establish a permanent record. Instead, state law requires submitting information "sufficient to compute the inventory fee within 91 days of appointment," according to the Kent County Probate Court website. The inventory fee charged by the court is based on the estate's value. In Virginia, the inventory must be filed with the county circuit court's Commissioner of Accounts.
Inventory Forms
The probate court in the county in which the deceased resided at the time of his death can provide you with forms for completing the inventory. Depending upon state law, you must complete the inventory within a specific time frame -- generally three or four months -- after your formal appointment by the probate court as executor or administrator.
Asset Values
When compiling the inventory, use the fair market asset value as of the date of the decedent's death. For inventory purposes, it doesn't matter whether assets have gone up in value or declined since that date. While banks, brokerage companies and mutual funds can provide you with the value of the decedent's accounts as of the date of death, you will have to hire an appraiser to assess the value of real estate, motor vehicles, boats, art, antiques, jewelry and similar items.
What to Include
Inventory forms require basic information, such as the date of the decedent's death, his Social Security number and address, as well your name and address as the personal representative. Inventory forms vary by state, but usually include different schedules for real estate solely owned by the decedent; solely owned bank and brokerage accounts, stocks bonds and mutual funds; cash, promissory notes and other debts owed to the decedent. You must also include personal property of value owned solely by the decedent -- such as motor vehicles, art, jewelry and life insurance payable to the estate -- along with assets the decedent owned jointly with others. Along with the fair market value of each item, you must include account numbers or descriptions of the personal property.
Filing the Inventory
Depending on state law, you may have to file the inventory with the probate court within an allotted time period, after having the document notarized. The court or the estate's attorney can advise you on the procedure in the particular state. In Michigan, for example, the personal representative doesn't have to file a formal inventory in most cases, although it is recommended to do so to establish a permanent record. Instead, state law requires submitting information "sufficient to compute the inventory fee within 91 days of appointment," according to the Kent County Probate Court website. The inventory fee charged by the court is based on the estate's value. In Virginia, the inventory must be filed with the county circuit court's Commissioner of Accounts.
Posted in: Estate Laws
