How a Financial Adviser Can Help You with Estate Settlement

When someone dies, their loved ones have to go through the process of settling their estate. Financial planning is one of the most crucial elements of estate settlement. This is a difficult task, especially if you don’t have any experience with it.

If you’ve been named executor of an estate or are in charge of the financial affairs and don’t know where to begin, working with a financial advisor that specializes in estate settlements would be beneficial.

These experts assist in the management and execution of the settlement process, ensuring that it runs smoothly and without stress for all parties involved.

In this blog post, we will discuss the role of a financial adviser in estate settlement and what you need to know before working with one.

What is Estate Settlement?

Estate settlement is the process of distributing a deceased person’s assets and paying any debts or taxes that are owed. The will of the deceased determines who is responsible for the settlement.

If he had written a will or a trust, he would have named an executor. The executor will be in charge of the estate’s settlement. If the deceased hasn’t appointed an executor, the probate court chooses an administrator for the estate.

How Can a Financial Adviser Help With Your Estate Settlement Process?

They can help you with a variety of tasks, including the following:

Uncover Hidden Assets

One of the main ways a financial adviser can help during the estate settlement process is by uncovering any hidden assets that may be part of the estate. Finding assets can be difficult following the death of a spouse or loved one.

If the deceased had worked with a financial advisor before, it should be easy to identify where their assets are. The financial advisor can offer insights into financial accounts as well as paperwork about different investments and retirement accounts owned by the deceased.

The deceased may have investments you cannot find or any other estate-related information; hiring a qualified professional can uncover hidden assets that may not have been included in the deceased’s will and the proper course of action to take when handling that person’s estate.

Negotiate With Creditors

If the deceased has any outstanding debts, the financial adviser can help negotiate with creditors to get the best possible repayment terms. This can be especially important if there isn’t enough money in the estate to cover all of the debts.

Preparing and Filing of Estate Income Tax

One of the main duties of a financial adviser during the estate settlement process is to help ensure that all estate income taxes are paid. They can also help minimize the tax burden on the heirs by maximizing deductions and credits.

Other aspects financial advisors can help with:

● Determining the value of the estate’s assets.

● Distribution of assets to beneficiaries.

● Sorting paperwork.

How to Choose the Right Financial Adviser for Your Needs?

Choosing the right estate settlement financial adviser is important. There are a few things you should keep in mind.

First, make sure to choose an experienced and reputable adviser and who you feel comfortable working with. You should also ensure that they are accredited and bonded in your province. You can ask family and friends for recommendations, or you can search online for reviews of estate settlement financial advisers.

Second, make sure to interview several different advisers before making a decision. This will give you a chance to ask questions and get to know the adviser before committing to working with them.

Finally, ask about fees before you agree to work with an adviser. Some advisers charge by the hour, while others charge a percentage of the estate’s assets. Make sure you understand how the adviser charges and get a fee estimate in writing before agreeing to work with them.

Final Thoughts

Overall, a financial adviser can be a valuable asset during the estate settlement process. They can help manage the assets, negotiate with creditors, and pay any applicable taxes.  Most importantly, if you consult with a financial advisor well ahead of time, they can also assist with retirement planning and philanthropic giving well before that date of death to ensure that all tax planning steps are in place. If you are the executor of an estate, be sure to consult with a financial adviser to ensure that all of the bases are covered.