Inheriting an asset can be a daunting task, especially if you’re not familiar with the administrative side of things. There are a few key tasks that you’ll need to take care of before you can start enjoying your new inheritance. It’s important to get these things taken care of as soon as possible so that you can start using and enjoying your new asset. Here are 8 administrative tasks to resolve before inheriting an asset.
1. Probate the asset
If the asset is subject to probate, you’ll need to open a probate case and have the court appoint you as the personal representative. This will give you the authority to manage the asset and distribute it according to the terms of the will. Additionally, there are different ways to avoid Probate, so if the asset is not subject to Probate, you may want to consult with an attorney about how best to avoid it. It’s important to get this taken care of as soon as possible so that you can start managing the asset. This is also a good time to start thinking about how you’re going to distribute the asset once the probate process is complete.
2. Get a tax identification number
If the asset is a piece of property, you’ll need to get a tax identification number for it. This will allow you to pay any taxes that are due on the property. You can usually get this information from the county assessor’s office. Additionally, if the property is located in a different state, you’ll need to get a tax identification number for that state as well. If you don’t have a tax identification number, you may end up owing a lot of money in taxes. It’s important to get this taken care of as soon as possible so that you don’t have to worry about it later.
3. Transfer the title
If you’re inheriting a piece of property, you’ll need to transfer the title into your name. This can usually be done at the county recorder’s office. You’ll need to bring a copy of the death certificate and the will if there is one. You may also need to bring other documents, depending on the state in which the property is located. It’s important to get this taken care of as soon as possible so that you can start using the property. Also, if you plan on selling the property, it will be much easier to do so if the title is in your name.
4. Get insurance
If you’re inheriting a piece of property, you’ll need to get insurance for it. This will protect you from any damages that might occur to the property. You can usually get this information from the agent who handled the estate. Additionally, if you’re inheriting a car, you’ll need to get car insurance for it. You can usually get this information from the DMV. It’s important to get this taken care of as soon as possible so that you’re not left with a huge bill if something happens to the property. This is also a good time to start thinking about how you’re going to use the property.
5. Make repairs
If you’re inheriting a piece of property, it’s likely that it will need some repairs. This is especially true if the property has been vacant for a while. You’ll need to get estimates for the repairs and then decide whether or not you’re going to do them yourself or hire someone to do them for you. If you’re going to do the repairs yourself, you’ll need to get the supplies and then start working on them. This can be a big job, so it’s important to make sure that you have the time and energy to do it. If you’re hiring someone to do the repairs, you’ll need to find a reputable contractor and then sign a contract with them. It’s important to get this taken care of as soon as possible so that you can start using the property.
6. Pay bills and other expenses
One of the first things you’ll need to do when inheriting an asset is to pay any outstanding bills or expenses associated with it. This may include property taxes, utility bills, insurance premiums, and more. Be sure to budget for these expenses in advance so you’re not caught off guard. Additionally, you may want to consider setting up a separate bank account for these expenses so you can easily track them.
7. Notify relevant parties
If you’re inheriting a piece of property, you’ll need to notify the relevant parties of your intent to do so. This includes the mortgage lender if there is one, as well as the insurance company. Be sure to do this in writing so there’s no confusion down the road. Additionally, if you’re inheriting a car, you’ll need to notify the DMV. They’ll likely want to transfer the title into your name and issue you a new registration. It’s important to get this taken care of as soon as possible so that you can start using the property.
8. Hire an attorney
If you’re inheriting an asset, it’s a good idea to hire an attorney to help you with the process. They can help you transfer the title, pay any outstanding bills or expenses, and more. Additionally, they can help you navigate any legal issues that may arise. This is especially true if the asset is a piece of property, as there are often many complex legal issues involved. It’s important to find an attorney that you trust and feel comfortable working with. Also, be sure to ask them about their fees in advance so you’re not surprised by the cost.
Inheriting an asset can be a complicated process. However, if you take the time to do your research and hire an attorney, it can go smoothly. Be sure to follow these tips so that you can properly inherit an asset. Additionally, if you have any questions, be sure to ask your attorney. They can help you navigate the process and make sure that everything is taken care of. It’s important to get this taken care of as soon as possible so that you can start using the property.