topic | organize finances and pay bills
Step 6: pay miscellaneous bills
In most cases, the executor should not use personal funds to pay bills of the estate. An estate checking account should already be established (see the Topic: Gather Information and Make Notifications) and should be used to make payments. Keep detailed records of all transactions.
If there are insufficient funds, some assets may need to be sold. Liquid Assets may contain helpful information. For guidance in determining what should be sold, consider the help of an estate attorney.
Payments may include:
- incurred medical expenses
- funeral expenses
- property taxes
- insurance premiums
- credit cards
If the assets of the estate do not cover the bills and debts of the estate, payments must be prioritized. State laws determine the priority of payments.
Your organization and attention to detail has helped you avoid the hassle often associated with managing finances. Rest assured, and know that your loved one's finances are in order.
(if this Step is complete)
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