So Your Parents Died...

A Business Owner Asked Me What It's Been Like Executing Two Estates -- And If I?Had Any Tips.

My stepmom passed in the fall of 2022 and then my father passed just a few months after, leaving?about 80% of my stepmom's estate undone. So 2023 was filled with me executing two estates, dealing w/ inheritance taxes, creating and understanding trusts, and in 2024 working on their final tax returns.

Fun? Not at all.?

So this is for Bobbie Bailey, owner of The M Agency in Tacoma, Washington who is now dealing with some of these issues herself. And anyone else who is a little curious.

I'm going to keep it brief and some of my tips will be VERY IMPORTANT chats to have with your folks while they're still alive (should you be so lucky)?to avoid some of the issues I've encountered.

BTW, Gen X, Millenials and Gen Z are due to receive $53 Trillion in assets the next 15 years, but many may never see that money due to unexpected healthcare expenses.?Learn more about that here.

If Your Folks Are Still Alive...

• My dad was just plain weird about money and didn't give me any information, which was a huge setback as I started my journey. So sit down with them and learn about their financial picture, where they have accounts, and what their investments are. And make lists! The more you know the easier it will be.
• Get an intro to their financial adviser so this person knows who you are -- and can reach out if they wish. As our parents fail, these are also key people who can let you know if they're concerned.
• Make sure the will has a poison pill. My dad and stepmom were savvy enough to put in a clause that said if you decided to contest the will, you would lose everything. I can't recommend this enough because friends, siblings and step-siblings can act pretty bizarrely if they think they're owed some kind of an inheritance. They tend to behave if fighting the will causes them to lose everything.?
• I?have a buddy who is testifying in court against step-siblings because there was no poison pill. True story.

When They Die

• To make it easier overall and save money,?we hired my dad's estate attorney. You should also have your attorney estimate what they think things will cost.
• I recommend you track your legal bills?like a hawk and push them to hit deadlines that have been set. Our attorney estimated one amount and came in at more than double that amount -- plus he missed the deadlines he set.
• My family's experience has been they will try to milk you. I complained to the managing partner after missed deadlines and big cost overruns. And while that partner did tell me to jump in a lake, within four hours all of our paperwork had been wrapped up -- two months after the original deadline.?
• Do not be surprised if your inheritance is smaller than you anticipated. Estate taxes are real and there are capital gains taxes in Washington State. I didn't expect to receive much at all, so low expectations can be a good thing.
• Finally, you might get a new understanding of your parents once you execute their estates... and those new realizations are not always positive. They inform you about your parents, sometimes more than you want to know. All of this can be an emotional rollercoaster.?

Take Time to Grieve.

Even though I've been the executor, it's been a grief-filled year. And while I sometimes wouldn't slow down to process my grief, my grief processed me eventually. Seriously, let that occur organically. It's okay to have a spontaneous crying jag on a walk. It's all part of loss.

It's?Been More Good Than Bad.?

Guenther Group Also Had Its Biggest Year Since 2016.

• I'm now a part-time lumberjack having inherited more than 60% of a small family timber farm. And it's been sooo different running this business as compared?to the creative work I do.
• I did more varied work for clients in 2023 than I?have for years, and work poured in the door which was a blessing. I wouldn't trade what I learned this last?year -- and the growth --?for anything.?

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