What an Executor Is, What They Do, and How the Ontario Estate Process Works

When someone passes away in Ontario, a family member or trusted friend is often left with the responsibility of settling their estate. This person is called the executor or the estate trustee. If you’ve been named as an executor, or you are preparing your own will and choosing one, understanding the role is essential. Acting as an executor can be framed as an honour, but it is often time-consuming, complex, and—at times—overwhelming.

This guide will walk you through the role of an executor, the legal responsibilities involved, and the step-by-step process of administering an estate in Ontario. Whether you are researching for yourself, assisting a loved one, or preparing to draft your own will, this article offers a practical and comprehensive overview tailored to Ontario law.

What Is an Executor of a Will in Ontario?

An executor is the person (or institution, more on that below) appointed in a will to manage and distribute the deceased’s estate. In Ontario law, the official term is Estate Trustee.

What the executor’s appointment means

By naming an executor, a person is selecting someone they trust to:

• Carry out the instructions in their will
• Oversee any funeral, memorial, burial and/or cremation
• Protect and manage their assets
• Pay their debts and taxes
• File all required income tax returns
• Distribute the estate to beneficiaries

The executor becomes the legal representative of the estate. In practical terms, this means banks, provincial and federal government agencies, including CRA, insurance companies, and others will only communicate with the executor—not general family members.

Who can be an executor?

In Ontario, an executor must:

• Be over 18
• Have mental capacity
• Be willing to act

Executors do not have to be lawyers, accountants, or financial professionals. However, they must be organized, trustworthy, and capable of handling administrative duties. They are allowed to hire legal and accounting professionals to assist them. There are institutions, like many of the major banks, that can provide professional executor services. These professional executors may be the right choice if there are no suitable individuals to appoint. 

A Step-by-Step Guide to the Executor’s Job

Step 1: Locate the Will and Confirm the Executor

The first duty is to locate the originally signed most recent will. This may be stored:

• In the deceased’s home or safe
• With their lawyer
• In a safety deposit box
• With a spouse or family member

If the will cannot be located, the estate may need to proceed as intestate (without a will), which follows a different set of rules under Ontario’s Succession Law Reform Act.

Once the will is found, the executor should read it carefully, focusing on:

• Funeral or burial instructions
• Gift(s) of specific property
• Who the beneficiaries are
• Whether there is a co-executor or alternate executor

If the named executor refuses to act or is unable to, the alternate executor (if named) can step in; otherwise, a beneficiary may apply to the court to be appointed.

Step 2: Arrange the Funeral and Secure Assets

In Ontario, the executor—not the family—has the legal authority to decide funeral arrangements. Ideally, the executor follows the instructions in the will.

The executor should then immediately begin securing assets:

• Lock the home
• Change locks if needed
• Forward mail
• Review insurance coverage on home, car, cottage, etc.
• Document valuables
• Take possession of keys, bank cards, and personal documents

If the deceased had pets, the executor should also arrange temporary care.

Step 3: Inventory and Valuation of Ontario Assets

The executor must identify, locate, and assign values to:

• Real estate
• Bank accounts
• Investments
• Life insurance (if payable to the estate)
• Business interests
• Vehicles
• Household goods
• Digital assets
• Personal property

Professional valuations may be required for:

• Real estate
• Private company shares
• Valuable art, jewelry, or collectibles

Accurate valuation ensures proper tax filings and fair distribution to beneficiaries.

Step 4: Prepare for Probate (Certificate of Appointment)

What is commonly known as probate, is officially called “A Certificate of Appointment of Estate Trustee”. Often, estates require probate, especially when:

• The deceased owned real estate
• Significant investments or bank accounts exist
• Assets were solely in the deceased’s name

Probate involves preparing:

• The application forms
• An inventory of all estate assets and values
• The original will
• Affidavits from the executor
• Estate Administration Tax payment

Because probate rules in Ontario can be technical, many executors use a lawyer to prepare and file the application. The process is rigid, and if the requirements are not followed correctly, it can lead to unnecessary cost and delay.

Step 5: Notify Beneficiaries, Banks, Government Agencies & Service Providers

The executor must notify:

• Beneficiaries
• Canada Revenue Agency (CRA)
• Banks and investment institutions
• Pension providers
• Insurance companies
• Landlord (if applicable)
• Utility providers
• Credit card companies

The executor will also require:

• Death certificate copies
• Probate certificate (once issued)
• Change-of-address notifications

Step 6: Open the Estate Bank Account

Once the executor receives probate or is otherwise recognized as having authority to act:

• All estate funds must be transferred into a dedicated estate account
• No estate money should be commingled with personal funds

This simplifies accounting and protects the executor legally.

Step 7: Pay Debts, Expenses, and Taxes

The executor must pay:

• Funeral expenses
• Income taxes (final return, possibly a second “rights and things” return)
• Credit card balances
• Lines of credit
• Loans and mortgages
• Accounting and legal fees
• Other estate expenses

Before fully distributing the estate, the executor typically obtains a Clearance Certificate from CRA confirming that all taxes have been paid.

Step 8: Ongoing Accounting and Record-Keeping

Executors must maintain detailed financial records, including:

• Receipts for all payments
• Statements for estate accounts
• Valuation documents
• Transaction logs
• Copies of notices sent to beneficiaries

Beneficiaries are legally entitled to a full accounting before the estate is distributed, except those receiving a specific bequest.

Step 9: Distribute the Estate

After debts and taxes are paid and beneficiaries have reviewed (and ideally approved) the accounting, the executor can distribute:

• Specific bequests (gifts of personal items, money, or property)
• The residue of the estate

Distributions may include:

• Transferring ownership of a home or cottage
• Selling property and distributing the proceeds
• Issuing cheques from the estate account
• Delivering personal items and heirlooms

Once all distributions are completed and final documents prepared, the estate can be closed.

Executor Compensation in Ontario

Under Ontario law, executors are entitled to fair and reasonable compensation, typically calculated up to:

• 2.5% of capital receipts
• 2.5% of capital disbursements
• Plus possibly a care and management fee of 2/5 of 1% (0.4%) per year on the average value of the estate

In some cases, the will specifies the executor’s compensation, which overrides the default guideline. 

Notably:

• Compensation is taxable income
• Compensation is payable by approval of the residual beneficiaries or by Order of the court.

Executors should track their time and tasks to justify compensation.

Risks and Liabilities of an Executor

Many executors are surprised to learn that they can be held personally liable for errors such as:

• Distributing the estate before debts/taxes are paid
• Improper asset valuation
• Poor record-keeping
• Failing to safeguard assets
• Not filing required tax returns
• Delays causing financial loss

This is why executors often retain legal and accounting professionals—especially for estates involving:

• Real estate
• Businesses
• Multiple beneficiaries
• Family conflict
• High-value assets

Having professional support reduces the risk of disputes and personal liability.

When Executors Should Get Legal Help

Executors typically hire an estate lawyer when:

• Probate is required
• The will is unclear
• A beneficiary is disputing the will
• There are minor beneficiaries or trusts
• The estate includes real estate or a business
• The executor wants protection from liability

Legal fees are paid by the estate, not the executor personally.

Need Help as an Executor in Ontario?

If you have been appointed as an executor or are planning your own estate, our wills and estates team at LLDG can support you through every step of the process:

• Probate applications
• Executor guidance
• Estate administration
• Will drafting and estate planning

We help Ontario families navigate estates with clarity, precision, and peace of mind.