How to Settle a Deceased Person's Business Affairs

There are many places that need notification after a death in the family.  Notification of all these facilities ensure benefits are paid to the survivors in a timely manner.

Difficulty Level: Average      Time Required: N/A

Here's How:

1. Collect any wills, power of attorney, insurance policies, bank account information, social security number, birth certificate, marriage license, citizenship papers, employee benefits, and last three tax returns.
2. Ask the funeral home for a minimum of six death certificates.
3. Contact the executor of the estate and an attorney for reading of the will.
4. Obtain information on any state or inheritance taxes from the attorney.
5. Schedule the reading of the will and the distribution of all financial holdings.
6. Arrange the transfer of titles of cars, home, or other properties.  Death certificates may be required.
7. Contact the insurance company and request a death claim form.  Return it with a copy of death certificate.
8. Go to the nearest Social Security office and bring the death certificate, deceased's social security card, your social security card, and proof of relationship -- for example, marriage or birth certificate.  
9. Notify the benefits department of deceased's place of employment.  Provide them with the documentation they request.
10. If deceased is a veteran, locate veteran discharge papers.  Notify the Department of Veterans Affairs in your state or call 1-800-827-1000.
11. Contact any creditors. 
12. Track all mail to the deceased and notify the senders.
    

Tips:

1. Contact an attorney regarding appropriate action if the deceased has no will or has orphaned children.
2. Maintain detailed records of all business affairs and legal actions.
   

Actions to be Taken

ACTIONS TO BE TAKEN

1. Make necessary funeral arrangements.
2. Notify relatives and friends.
3. Collect copies of last will; certified copies of death certificates (minimum of six from funeral director); insurance policies; latest financial statement; location and account numbers for bank statement; birth certificate; marriage license; social security number; veterans administration number and record; list of employer fringe benefits and last three tax returns.
4. Contact attorney to notify witnesses to will and schedule meeting to handle estate settlement.
5. Advise executor of estate, if known.
6. Contact banks to verify status of checking, savings and safety deposit box.
7. Notify casualty insurance broker to modify casualty and homeowner insurance as necessary.
8. Locate securities and contact security broker to arrange (if necessary) retitling of securities.
9. Have executor adjust ownership of any insurance policies on the lives of others owned by the deceased.
10. Have executor retitle real estate that was owned by the deceased (if necessary).

INSURANCE POLICIES

1. Contact insurance company, agent or advisor (local office) and obtain death claim form.
2. Complete form and return it along with a certified copy of death certificate and policy.

SOCIAL SECURITY

1. Apply to nearest Social Security Office in person and bring:

1. Social Security number of deceased.
2. Certified copy of death certificate.
3. Proof of relationship (marriage license, birth certificate)

2. Follow up if benefits are not received within 60 days.

FRINGE BENEFITS (GROUP INSURANCE, ETC.)

1. Contact the employer of the deceased's employee benefits department immediately and request a listing of death benefits payable and how paid.

2. Provide employee benefits department with adequate number of certified death certificates and any other documentation required.

VETERANS' BENEFITS

1. Inquire in person (local VA office) as to eligibility.

1. Deliver required documentation:
2. Birth certificate.
3. Social security number.
4. Death certificate.

2. Records. SAFE DEPOSIT BOX

    1. Arrange with executor to inventory contents.

    2. Determine contents, if any, may be removed with receipt.

FILING OF TAX RETURNS

1) Make a decision on who is to file appropriate tax returns:

1. Estate Tax Return - Form 706.
2. Residence State Inheritance Tax Report.
3. Inheritance or estate tax returns for other states where applicable (property holdings).
4. Fiduciary Income Tax Return.
5. Individual Income Tax Return.
6. Estate Accounting.

2. While the above returns should be reviewed by the probate attorney, they may be prepared by your attorney, CPA or a bank trust department. One firm or individual should prepare all the returns and you should have a clear understanding of fees before the work is begun.

List of Important Papers

Use this list to keep track of important documents. This will come in handy at many times, not just when you are planning a funeral or coping with a death in the family member.

Military Families

Survivor Assistance

To assist TROA members and their spouses, the Personal Affairs Department has put together a valuable booklet for military retirees who are getting their personal affairs in order: Help Your Surviving Spouse-Now! Perhaps the most significant part of this publication is the Personal Affairs Workbook. This workbook was designed to assist military retirees and spouses in organizing all of their personal affairs information on one document. You can download the Personal Affairs Workbook.

Also available is the Survivor Checklist. This pamphlet lists tasks that must be addressed by the surviving spouse after the retiree's death. The checklist is mailed to the surviving spouse of a member when TROA is notified of the retiree’s death.

Frequently Asked Questions

Q. Who at TROA headquarters should my spouse notify of my death?
A. Your surviving spouse should simply call our standard toll-free number (800) 245-8762 and they will be directed to the proper department.

Q. Is there any form or checklist that can help remind family members and surviving spouses about the many subjects that need attention at the time of a military member’s death?
A. TROA has developed a Survivor Checklist which can be downloaded from TROA’s Web Site.

Q. What is DIC and when is it payable?
A. Dependency and Indemnity Compensation (DIC) is payable by the Department of Veterans Affairs (VA) when the military member’s death was due to service-connected causes. The monthly rate for this tax-free income for 2000 is $881.00. An additional $222 is payable for each child younger than 18. Also, an additional $191 a month is added to the basic rate if the deceased service member had been entitled to receive 100% service-connected compensation for at least eight years immediately preceding death and the surviving spouse was married to the service member for those same eight years. For more information order TROA’s "Help Your Surviving Spouse Now!".

Q. Are there circumstances whereby DIC is payable to a surviving spouse where death by the military member was not due to service-connected causes?
A. Yes. DIC is also payable if your death is not due to service-connected causes with the following provisions:

	you held the VA total service-connected disability rating continuously for 10 or more years immediately before death, or
	you held the VA total service-connected disability rating continuously since last release from active duty for at least five years, and you were married one or more years on the date of death.

Q. What is the RSFPP annuity?
A. If you were entitled to retired pay before Sept. 21, 1972, you had an opportunity to elect an annuity for your spouse under the Retired Serviceman’s Family Protection Plan (RSFPP). This was formerly known as the Uniformed Services Contingency Option Act of 1953. SBP replaced RSFPP on Sept. 21, 1972. People qualifying for retired pay after that date were not eligible to participate in RSFPP. However, if you were enrolled in RSFPP when SBP became law, you could either continue or cancel that coverage. If you continued RSFPP, a notation or copy of your RSFPP election form should be with your important papers so your spouse will know of the entitlement to an annuity under this plan.

Q. What military benefits does a surviving spouse retain after the death of the military member?
A. After a military member’s death, the surviving spouse and certain unremarried former spouses continue to remain eligible for all the benefits (medical care, commissary, exchange, theater, etc.) previously authorized. One privilege not authorized for the survivor is space-available travel on military aircraft.

What Every Person Should Know

WHAT EVERY PERSON SHOULD KNOW FOR EMERGENCIES

LOCATION OF PAPERS

Important papers should be kept in (most cases) a bank's safety deposit box. However, recognize that when one dies, the bank is usually required to seal the box until such time as it receives authority from the court, executor, etc. You may wish to have originals stored where accessible.

Birth or adoption certificates for all family members

Citizenship papers, if any members are naturalized citizens

Marriage certificate

Marriage and divorce certificates for any previous marriages

Physicians Directive

Last will and testament/trust documents

Deed to cemetery plot

Letter of instruction regarding funeral and or donation of body parts.

EMPLOYMENT INFORMATION

Names and addresses of each spouse's employers

Employer's benefit plans in which each spouse participates such as group insurance, pension plan, 401(K), etc.

Spouse's social security number

Location of social security cards

Length of time each has been covered by the social security program

Location of copies of previous year's income tax returns and supporting data or documents for the past three years, including cancelled check for most recent tax payment

Location of current withholding tax forms and receipts from employers

FAMILY DATA

Name, address and place of birth of each spouse's mother and father

MILITARY SERVICE

Service serial number

Dates of entry and discharge

Location of discharge papers

List of veterans benefits received (disability payments, places and dates of any hospitalization, education )

PROPERTY INFORMATION

Location of:

Safety deposit box

Key to safety deposit box

Papers for any owned real estate, including your home- deed, copy of mortgage, title insurance policy, surveys, closing statements, insurance policies, tax receipts, leases, building cost figures

Checkbooks and savings pass books for all bank accounts

Records of purchase and sale for stock certificate and bonds

List of any personal property not located in home or safety deposit box

Automobile title and registration certificates

Notes or loans agreements relating to debts owed to husband or wife

Income tax basis information for each asset

INSURANCE

Life Insurance: Location of policies, receipts of paid premiums, data on any loans made against the policies

Disability insurance: location of policies

Property insurance on house, car, etc.: location of policies, name of agent

Other insurance policies (hospitalization, mortgage, tuition, etc.): location of policies

PERSONS TO CONTACT IN CASE OF EMERGENCY

Person you have designated as children's guardian Close relatives and/or close friends

Executor of your estate Trustees of trusts

Doctor Lawyer Accountant Financial Planner

Clergyman Banker

Stockbroker Insurance (Life)

Insurance (Property and Liability)

Pharmacist Hospital/HMO

SURVIVOR CHECKLIST: Here are a few items you need to review upon the death of a spouse or close relative

AND MORE: Survivors also need to do the following