Administrator/Administratrix - An individual who is handling the estate of a person who passed away without a Will.
Beneficiary - An individual who is entitled to receive money from a decedent’s estate. Note: There are various classifications of beneficiaries which will dictate matters such as inheritance tax.
Decedent - A person who has passed away.
Estate - The total of an individual’s assets/items which includes, but is not limited to, house, car, bank accounts, stocks, investment properties, businesses, jewelry, memorabilia, etc.
Executor/Executrix - An individual who is handling the estate of a person who passed away with a will.
Fiduciary - Anyone with the financial responsibility to handle the affairs of another. (A company like a bank can also serve as a fiduciary.)
First and final formal accounting - A document outlining all of the assets that constitute the estate, a list of all debts paid on behalf of the estate, the amount remaining to be distributed and to whom and in what amounts the remainder is to be distributed. (Please contact the appropriate county surrogate’s office for assistance on what this form looks like.)
Intestacy statute - When an individual dies without a will each state will provide instructions on how a decedent’s assets should be distributed. NJ’s intestacy statute can be found at N.J.S.A. 3B et seq.
Intestate - When an individual dies without a will and the assets of his/her estate must be distributed in accordance with intestacy statutes.
Health Directive/Living Will - A document outlining an individual’s preferences for life sustaining drugs, resuscitation, etc. This document also appoints someone else to make medical decisions on behalf of the individual making the document.
Last Will and Testament - A document that outlines how an individual wants her/his assets to be distributed when s/he passes away.
Letters of Administration - The document the county surrogate’s office will provide to the individual who seeks to be named the administrator/administratrix of a decedent’s estate.
Letters Testamentary - The document the county surrogate’s office will provide to the executor/executrix which gives that individual the official authority to carry out the wishes set forth in a decedent’s will.
NJ Inheritance Tax Form - Once an individual passes away, the administrator or executor must complete a NJ Inheritance Tax Form. Please note that just because you have to file a form it does not necessarily mean that taxes are owed.
Non probate assets - Items of value that are not considered part of an individual’s estate and, therefore, are not subject to distribution through an individual’s will. Examples include: pension, life insurance policy, pay on death accounts, property where the right of survivorship is preserved.
Power of Attorney - A document that gives an individual the ability to handle another person’s affairs while they are living if they are unable to do so for some reason such as being hospitalized, in a coma, dementia, etc.
Probate assets - Items of value of an estate that are accounted for and distributed in accordance with the terms of a will or in accordance with intestacy statutes.
Refunding and release bond - A document that all beneficiaries must sign and have notarized identifying their share of the inheritance. This document can be obtained from the county’s surrogate’s office and must be filed with the surrogate’s office before assets can be given to beneficiaries.
Renunciation - When an individual formerly declines to exercise his/her right to be the administrator/administratrix of an estate and/or declines to accept his/her share of the inheritance.
Testator/Testatrix - The individual who is drafting the will and setting forth his/her wishes upon his/her passing.
Trust - A document that sets aside a certain amount of money and determines when, how, and to whom it should be distributed. A trust can be created in a will (called a testamentary trust) or it can be create while an individual is alive (called an inter vivos trust).
Terms ending in -tor and -trix signify male or female individuals.
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