A personal representative is an individual who deals with estate administration after a death. There can be one or more personal representatives. They will have the job of looking after the deceased’s affairs and winding up their estate.
If the deceased left a valid Will, the personal representative will be the executor or the executors named in the Will.
If the deceased did not leave a Will, the personal representative is known as an administrator and is usually someone who is legally entitled to inherit the deceased’s estate.
What are the Duties of the Personal Representative?
Personal representatives of a Will are responsible for finalising all of the deceased’s affairs. They have a duty to act in the best interests of the beneficiaries at all times.
Their job includes collecting the deceased’s assets, clearing all of their debts, preparing estate accounts and distributing the estate to those entitled to inherit.
This can be a complex and time-consuming job. Personal representatives will also be personally liable for any errors they make that cause a loss to the estate, for example, failing to pay tax on time and incurring penalties and interest. Due to the job being onerous, personal representatives often ask a probate solicitor to deal with the estate administration on their behalf.
Unless the estate is a small estate, the personal representative will usually need to apply for a Grant of Probate or, if the deceased did not leave a Will, a Grant of Letters of Administration. This is the document that gives them legal authority to deal with the deceased’s finances.
The jobs that a personal representative must undertake include the following:
After the Death
- Register the Death - and obtain several copies of the death certificate so that they can be sent to asset holders
- Arrange the Funeral – this can also be done by the deceased’s next of kin, but the estate will usually cover the costs
- Locate the Will
- Secure the Deceased’s Assets - for example, making sure their property is safe and insured, storing an unused car somewhere and checking that it is adequately insured
- Valuing the Estate -
- Writing to asset holders such as banks and building societies to notify them of the death, sending a copy of the death certificate, and asking for a value of the deceased’s holding with them
- Writing to creditors such as mortgage lenders and credit card companies to notify them of the death, enclosing a copy of the death certificate, and requesting a statement showing the amount owed
- Valuing other assets such as property, cars, furniture, jewellery and art, which can be done by comparison or by requesting a probate valuation
- Calculating Inheritance Tax - and whether this is due, taking into account the Inheritance Tax threshold and any available allowances and exemptions
- Requesting Inheritance Tax References - if Inheritance Tax is due, a request needs to be sent for an Inheritance Tax reference number from HM Revenue & Customs
- Completing Inheritance Tax Forms - generally a summary plus a form for each type of asset and liability
- Paying Inheritance Tax - this is paid using the deceased’s money if this is available
- Applying for Grant of Probate - an application needs to be submitted to the Probate Registry for a Grant of Probate or a Grant of Letters of Administration and requesting extra copies to be sent to asset holders
- Placing Statutory Advertisements - these can be placed in the Gazette and local newspaper asking for unknown beneficiaries and unknown creditors to come forward if there is a risk that these exist
Once the Grant of Probate or Grant of Administration Has Been Received
The Probate Registry can take up to three months or so to process an application, depending on their workload. Once a grant has been received, the next stage of the estate administration can be dealt with as follows:
- Send a copy of the Grant of Probate or Grant of Letters of Administration to each asset holder and ask them to close the account or other holding
- Clear all of the deceased’s debts, including tax liabilities, and request receipts confirming that this has been done
- Complete the sale of the deceased’s home
- Sell other assets where necessary
- Prepare detailed estate accounts
- Transfer assets to beneficiaries if this is a requirement and obtain signed receipts
- Distribute the estate in accordance with the Will or, if the deceased did not leave a valid Will, in accordance with the Rules of Intestacy
Who Can Apply to be a Personal Representative if There is No Will?
If the deceased did not leave a Will, then their estate will pass to close family members in strict order of priority as set out in the Rules of Intestacy. It is usually the case that someone entitled to inherit the estate will take on the role of personal representative. This is often the deceased’s spouse, but could also be one or more of their children.
What is the Order of Intestacy?
The Administration of Estates Act 1925 sets out the Rules of Intestacy detailing who is entitled to inherit if someone does not leave a valid Will.
If the deceased was married or in a civil partnership and had children, then their spouse or civil partner will inherit the first £322,000 of their estate plus all of their personal possessions. The remainder of the estate will be split in half. Their spouse or civil partner will receive one half, while their children will share equally in the other half.
If the deceased was married or in a civil partnership but had no children, their spouse or civil partner would inherit everything.
If the deceased had no spouse, civil partner or children, then the next category of relative entitled to inherit is their parent or parents. This is followed by siblings, then half-siblings, then grandparents and finally aunts and uncles or the children of aunts and uncles.
The Rules of Intestacy leave nothing to cohabiting partners or stepchildren, meaning it is particularly important to leave a Will if you have this type of family situation.
Contact Our Wills and Probate Solicitors
If you are the personal representative of an estate and you would like assistance in dealing with the estate administration, please feel free to call us.
If you would like to speak to one of our expert Wills and probate lawyers, email us at info@witansolicitors.co.uk or fill in our contact form and we will talk through your situation with you and discuss how we can help. We have offices in Birmingham, Northampton, London and Wellingborough.
FAQ
What is the difference between an executor and a personal representative?
An executor is one type of personal representative and is appointed to the role in a Will. The other type of personal representative is an administrator, appointed if the deceased did not leave a Will.
Who is entitled to be a personal representative?
Anyone named as an executor in the deceased’s Will is entitled to be their personal representative. They can choose not to act if they wish, although they must make sure that they do not take any part in the estate administration if they do not want to be an executor.
An alternative is to have power reserved. This means that an executor will not have to deal with the estate administration but could choose to have the power to do so given to them in the future if necessary.
If the deceased did not leave a Will, then someone entitled to inherit their estate under the Rules of Intestacy can apply to be their personal representative.
What does a personal representative do after a death?
A personal representative is responsible for winding up all of the deceased’s affairs. This can be a very time-consuming role, so you are strongly advised to consider whether you have the time to devote to this before you take it on. Some aspects can also be complex, including filling in the HM Revenue & Customs forms, calculating Inheritance Tax and preparing estate accounts.
If you have been appointed as a personal representative but do not have the time available to devote to the estate administration, you can appoint a probate solicitor to deal with this on your behalf. They will generally be paid from the estate funds.
Can I be an executor of a Will if I am a beneficiary?
Estate executors are often beneficiaries, in fact, they are frequently the main beneficiary and this is perfectly acceptable.
