What are the responsibilities of an Executor or Administrator? 

When someone dies, everything they owned (their estate) must be administered. This involves identifying assets, settling debts, and distributing assets to those who are entitled to inherit them. This process is called estate administration, and is carried out by either an Executor or Administrator.

Both of these positions are considered Personal Representatives (PRs), which is a legal term used to describe the person(s) responsible for administering the estate of someone who has died. PRs are legally responsible for the assets from the date of death until the date everything has been passed on to the beneficiaries. Being appointed as either an Executor and Administrator involves completing largely the same tasks, with both titles bearing a significant responsibility to act in the best interest of the estate and its beneficiaries, and to honour the wishes of the person who has passed away. In this article, we will run through the responsibilities of an Executor and Administrator and highlight the differences between the two positions.  

The difference between an Executor and an Administrator 

An Executor is a person named in a Will who is legally responsible for managing and settling the estate of someone who has died. Their role is to carry out the wishes of the deceased as outlined in the Will. This includes applying for a Grant of Probate, which gives them the legal authority to act on behalf of the estate and distribute assets to the individuals listed as beneficiaries in the Will. Executors can be family members, friends, or legal professionals such as Solicitors. It is a role that carries significant legal and financial responsibility. 

An Administrator is a person appointed by the Court to manage and distribute the estate of someone who has died without leaving a valid Will (known as dying intestate), or when there is no Executor able or willing to act. Like an Executor, an Administrator is responsible for identifying assets, settling debts, paying any outstanding taxes, and distributing the estate to the legal heirs. However, instead of following the instructions in a Will, the Administrator must follow the rules of intestacy, which are set by law and determine who inherits the estate based on their relationship to the deceased. To gain the legal authority to administer the estate, the Administrator must apply for Letters of Administration from the Court. Once granted, this document allows them to act on behalf of the estate. Administrators have the same legal responsibility as Executors, meaning they must act honestly and carefully, making sure they do what’s best for the estate and its beneficiaries. 

The responsibilities of an Executor or an Administrator

Collect information about the estate

The first step in administering an estate, no matter if you are an Executor or Administrator, is finding out everything that’s contained within the estate. This task may be a lot simpler as an Executor due to the existence of a Will already containing everything the deceased owned. Many different types of assets can make up the estate of someone who has passed away. These may include:

Financial assets 

• Bank accounts (current accounts, savings accounts, ISAs);
• Cash;
• Stocks and shares;
• Premium Bonds and other investments;
• Pension funds (depending on how they are structured);
• Life insurance policies (if payable to the estate). 

Physical property 

• Residential property (e.g., a house or flat);
• Commercial property (e.g., office buildings, retail stores, or restaurants);
• Land;
• Holiday and second homes;
• Rental property.

Personal possessions (also known as chattels) 

• Vehicles (cars, motorcycles, boats);
• Jewellery;
• Art and antiques;
• Furniture and household items;
• Clothing and personal effects. 

Business interests 

• Sole proprietorships;
• Shares in private companies;
• Partnerships.

Other assets 

• Digital assets (e.g., cryptocurrency, online accounts, digital images);
• Intellectual property (e.g., royalties, copyrights);
• Outstanding loans owed to the deceased;
• Refunds, rebates, or overdue bills are due back to the estate. 

In order to collect all of this information, you will need to contact banks, HMRC, and other financial institutions to confirm balances and valuations.  

Pay taxes and settle debts 

Once you have identified everything contained within the estate, you then have to consider any debts and liabilities owed against it. When someone dies, any debts or loans they owed during their lifetime become the responsibility of their estate and must be paid before any assets can be passed on to beneficiaries. Common examples of debts and liabilities that can be held within an estate include: 

Loans and credit 

• Mortgages on property;
• Personal loans (from banks or private lenders);
• Credit card debt;
• Overdrafts on current accounts;
• Car finance or hire purchase agreements.

Household and utility bills 

• Unpaid Council Tax; 
• Outstanding energy bills (gas, electricity, water);
• Telephone, broadband, and TV service bills;
• TV licence fees.

Taxes 

• Income Tax (owed up to the date of death);
• Capital Gains Tax (on gains made before death);
• Inheritance Tax (if applicable - this is usually paid by the estate itself);
• Unpaid self-assessment tax returns (for the self-employed or landlords). 

Personal or informal debts 

• Money borrowed from family or friends;
• Unpaid rent or tenancy arrears. 

Funeral expenses 

• If not prepaid, funeral costs are considered a debt of the estate and take priority for repayment. 

Several factors can cause a deceased person’s estate to be worth less than expected. These may not be obvious at first, but they can significantly reduce the total value of the estate available for inheritance.

Apply for a Grant of Probate or Grant of Letters of Administration 

Before you can formally manage the estate, you will need to be granted the legal authority to do so from the Probate Court. This can be done by applying for either a Grant of Probate or a Grant of Letters of Administration, which gives you legal permission to act on behalf of the estate.  

• Executors apply for a Grant of Probate.
• Administrators apply for a Grant of Letters of Administration.

Depending on the nature of the estate, applying for a Grant of Probate or Letters of Administration may not be necessary. If the estate consists of a small value or contains assets that do not require a Grant to access them, this step may not be needed.  

You can apply for probate online via the GOV.UK website, or by post. If there is a Will, you can apply by post using form PA1P. You will need to submit: 

• The original Will (if there is one) and any codicils;
• An official copy of the death certificate;
• Completed Inheritance Tax (IHT) forms (if applicable);
• The application fee (if the estate is valued at over £5,000 is £300).

Distribute the assets 

Once a Grant of Probate or Letters of Administration has been granted, the assets contained within the estate can be distributed to the rightful beneficiaries. Distributing assets is one of the final and most important duties of estate administration and involves more than simply handing over money or property; it requires legal, financial, and administrative work to ensure everything is handled correctly.  

Depending on whether there is a valid Will or not, the assets will either be distributed to the beneficiaries listed in the Will or according to the rules of intestacy. PRs should keep records of what was distributed, to whom, and when. It’s best practice to ask heirs to sign a receipt upon receiving their share of the estate.