Tracking your time as an executor of an estate is crucial for transparency, accountability, and ensuring you are fairly compensated for your efforts. Here are some best practices to help you track your time effectively:
1. Set Up a Time-Tracking System
Use a Time-Tracking App: Consider using a time-tracking app or software like Toggl, Harvest, or Clockify. These tools can help you log your hours accurately and categorize tasks.
Maintain a Manual Log: If you prefer a manual approach, use a dedicated notebook or a spreadsheet to record your time. Include columns for the date, start and end times, duration, and a description of the task.
2. Categorize Your Tasks
Administrative Tasks: Time spent on paperwork, filing documents, and communicating with the probate court.
Financial Management: Managing bank accounts, paying bills, filing taxes, and handling investments.
Property Management: Securing, maintaining, and preparing real estate or other properties for sale.
Communication: Time spent communicating with beneficiaries, attorneys, accountants, and other relevant parties.
Meetings and Appointments: Attending meetings with professionals, court appearances, or consultations.
Other Tasks: Any other activities related to the administration of the estate.
3. Be Detailed and Specific
Task Descriptions: Provide detailed descriptions of the tasks you perform. Instead of writing “worked on estate,” specify “reviewed and organized financial statements” or “met with real estate agent to discuss property sale.”
Time Intervals: Record your time in specific intervals, such as every 15 minutes or 30 minutes, to ensure accuracy.
4. Record Time Daily
Daily Entries: Make it a habit to log your time at the end of each day or immediately after completing a task. This helps ensure you don’t forget or misremember the time spent.
5. Use Consistent Formatting
Consistency: Use a consistent format for all entries. This makes it easier to review your log and prepare reports if needed.
6. Review and Adjust Regularly
Regular Review: Periodically review your time log to ensure accuracy and completeness. Adjust any discrepancies as soon as they are identified.
Monthly Summary: At the end of each month, prepare a summary of your activities and hours. This can be useful for reporting to beneficiaries or the probate court.
7. Maintain Transparency with Beneficiaries
Regular Updates: Provide regular updates to the beneficiaries about your activities and time spent. This can be in the form of monthly reports or during family meetings.
Be Open to Questions: Be prepared to answer any questions beneficiaries may have about the time you’ve logged and the tasks you’ve performed.
8. Document Supporting Evidence
Keep Receipts and Invoices: Maintain copies of receipts, invoices, and other supporting documents related to expenses incurred while performing your duties.
File Correspondence: Keep copies of emails, letters, and other correspondence related to the estate administration.
9. Prepare for Compensation Requests
Detailed Invoice: When requesting compensation, provide a detailed invoice or report outlining the hours worked, tasks performed, and the total amount requested based on the agreed-upon rate.
Backup Documentation: Include backup documentation if required, such as copies of your time log and summaries of major activities.
10. Seek Professional Advice
Consult with an Attorney: If you are unsure about the appropriate way to track time or handle compensation, consult with an estate attorney for guidance.
Follow Legal Requirements: Ensure your time-tracking and compensation practices comply with state laws and the terms of the will.
By following these best practices, you can ensure that your time as an executor is well-documented, justified, and transparent, which helps in managing the estate effectively and maintaining trust with the beneficiaries.