Short Answer

In North Carolina, a personal representative must file an annual account if the estate stays open beyond one year and a final account to close. Each account must be backed by vouchers and records: monthly estate bank statements for the entire period, images of canceled checks, deposit slips, itemized receipts/invoices, signed beneficiary receipts for distributions, and closing/settlement papers for any asset sales. The clerk also looks for proof of creditor notice and claim resolution before approving a final account.

Understanding the Problem

You’re the personal representative in North Carolina and need to know exactly which bank statements and other documents you must submit with each annual accounting and the final account to close the estate. You also sold the house but do not have the closing paperwork.

Apply the Law

North Carolina requires a personal representative to file an annual account if the estate remains open beyond one year, and a final account to close. The Clerk of Superior Court audits these accounts. Accounts must show the opening balance, all receipts and disbursements, distributions, and the balance on hand, and must be supported by vouchers (proof) for every transaction. The annual account is tied to a fiscal year you select; the final account can be filed once all claims are paid or provided for and distributions are ready.

Key Requirements

• Estate bank records for full period: Monthly statements for the estate account(s) covering the entire accounting period, all pages, plus reconciliations showing the ending balance matches the account.
• Vouchers for every disbursement: Canceled check images (front and back or equivalent proof), itemized invoices/receipts, paid bills, and deposit slips for receipts.
• Distribution receipts: Signed receipts/releases from heirs or devisees for any distributions (use the AOC receipt form if helpful).
• Asset sale documentation: Closing disclosure/HUD-1 or ALTA settlement statement, deed, broker statement (if applicable), and proof of deposit of net proceeds into the estate account.
• Creditor notice and taxes: Publisher’s Affidavit, Affidavit of Notice to Creditors (AOC-E-307), and any required tax certification.
• Claim support and priority: Itemized statements and insurance offsets for creditor claims; do not pay unsupported claims. Follow the statutory order of payment.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-21-1 (Annual accounts) – Annual account due based on selected fiscal year; clerk audits.
• North Carolina Gen. Stat. § 28A-21-2 (Final account) – Final account timing and early filing when claims are resolved.
• North Carolina Gen. Stat. § 28A-21-3 (Contents of accounts) – Lists what an account must show; vouchers required.
• North Carolina Gen. Stat. § 28A-19-6 (Order of payment of claims) – Sets the priority for paying claims (e.g., funeral expenses have high priority).

Analysis

Apply the Rule to the Facts: As personal representative, gather monthly statements for each estate bank account for every month in the accounting period, with check images and deposit proof. Because the nursing home’s claim lacks itemization and insurance details, request an itemized bill and explanation of benefits; do not pay until properly documented and prioritized. For the home sale, obtain the recorded deed and the closing disclosure/HUD-1 and show the deposit of net proceeds into the estate account. For reimbursement of your funeral, landscaping, and headstone advances, submit receipts and your proof of payment (and canceled checks) as vouchers; funeral costs are paid early in the claim order.

Process & Timing

1. Who files: Personal representative. Where: Clerk of Superior Court in the North Carolina county of administration. What: ACCOUNT (AOC-E-506) with supporting vouchers and attachments; if using a fiscal year, file ELECTION OF FISCAL YEAR (AOC-E-514). Include Publisher’s Affidavit, AFFIDAVIT OF NOTICE TO CREDITORS (AOC-E-307), and bank/investment statements. When: Annual account is due by the 15th day of the fourth month after your selected fiscal year ends; the final account is due by the later of one year after qualification, six months after any required tax release, or the annual-account deadline unless extended.
2. The clerk audits your account. Expect requests for missing vouchers, full bank statement cycles, and proof of sale proceeds and deposits. Timeframes vary by county; pre-audit review can reduce back-and-forth.
3. Once the final account is approved and all claims are paid or provided for and distributions documented with signed receipts, the clerk enters an order discharging you from further duties.

Exceptions & Pitfalls

• Missing bank coverage: Submit monthly statements for the entire period, all pages. Include check images showing payee and endorsement; many clerks expect front and back images.
• Uncleared checks at period-end: Reconcile accounts; avoid cutting large checks just before the close. Provide proof when items clear or adjust the reporting period.
• Using the wrong account: Use a dedicated estate account under the estate EIN. Avoid holding general estate funds in an attorney trust account; it can be treated as commingling and invite scrutiny.
• Unsupported claims: Do not pay claims lacking itemization or insurance adjustments (e.g., nursing home balances). Demand documentation; classify disputed or unliquidated claims and reserve funds until resolved.
• Real property paperwork: If real estate is sold to pay claims or under will authority, include the court order (if any), closing disclosure/HUD-1, deed, and proof of deposit of net proceeds into the estate account.
• Post-death income and non-estate items: Do not report non-estate rents or proceeds unless the estate had authority over the property; keep those out of the estate account unless they become estate assets to pay claims.
• Reimbursement documentation: For PR reimbursements, provide both the original bill and proof of your payment; funeral expenses are paid early in priority but still need vouchers.

Talk to a Probate Attorney

If you’re preparing an annual or final probate accounting and need to know exactly what to attach, our firm can help you organize the records and meet the court’s requirements. Call us today to discuss your timeline and document checklist.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.