Your first choice as the executor of your estate may not live close by or even within your state of residence – but, if you are comfortable with them, they are someone you trust and someone with strong financial knowledge and experience it is still possible to designate that person as your executor. It is important, however, to realize there can be problems.
This subject was considered in a recent NWI Times article entitled "Pros and cons of an out-of-state executor."
The two biggest drawbacks are availability and time.
Executors are often required to make personal appearances at court hearings. It can be burdensome and expensive for an out-of-state executor to make the travel arrangements. Logistically, paper correspondence may also take longer.
According to the article, some states have additional requirements when the executor is a non-resident. For example, the state of Indiana requires out-of-state executors to post a bond and appoint someone who is a state resident as a registered agent for service of process. Other states have similar requirements.
On the plus side, appointing an out-of-state executor allows you to designate the best person for the job. Many of the negatives of doing so can be mitigated if the executor hires a local estate attorney to assist with the administration.
Consider contacting an estate planning attorney to guide you in the selection of filling the important position of executor. We can assist with any questions you may have about this issue or estate planning in general, simply visit our Contact page to reach out to us.
Reference: NWI Times (Feb. 7, 2016) "Pros and cons of an out-of-state executor."