Detailed Answer
When you serve as a personal representative for an estate in North Carolina, preparing and filing the final accounting is one of your last tasks. The final accounting summarizes every dollar that came into and went out of the estate. The clerk of superior court reviews this report before signing an order to close the estate. Follow these steps to prepare and file a complete and accurate final accounting:
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Compile Financial Records
Gather all bank statements, canceled checks, deposit slips, invoices, receipts and other documents covering the period from your appointment date through final distribution. Maintain an estate-only bank account to keep personal and estate funds separate. Record each transaction by date, description, payor/payee and amount.
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Complete the Final Accounting Form (AOC-E-501)
Download the “Final Account of Personal Representative” (Form AOC-E-501) from the North Carolina Judicial Branch website. Enter the estate name, file number, reporting period and your contact information. List total receipts under the “Receipts” section and total disbursements under the “Disbursements” section. If your estate had many transactions, attach a schedule detailing each entry.
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Include Supporting Schedules and Attachments
Attach an inventory summary (Form AOC-E-505) showing estate assets. Include sale or settlement statements, invoices for funeral expenses, bills paid on behalf of the estate and any fee petitions for commissions under North Carolina General Statute 28A-25-3. List attorney fees separately and attach any supporting invoices.
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File and Serve the Final Accounting
File the original accounting with the clerk of superior court in the county where the estate opened. Under N.C. Gen. Stat. § 28A-18-2, you must serve a copy on all heirs, beneficiaries and interested parties within 10 days of filing. Prepare and file an affidavit of service with the clerk.
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Attend Hearing (If Required) and Obtain Court Order
The clerk reviews the accounting and may schedule a hearing if an heir or creditor objects. Attend the hearing, answer questions, and address any objections. Once the clerk approves, they sign an order allowing you to distribute the remaining assets and close the estate. File that order in the estate file.
Key Takeaways to Streamline Your Final Accounting
- Use an estate-only bank account to prevent commingling funds.
- Maintain clear, chronological transaction records.
- Claim commissions and fees only as permitted by statute.
- Serve all interested parties on time and file proof of service.
- Double-check calculations to avoid delays in court approval.
Call to Action
Closing an estate requires attention to detail and knowledge of North Carolina probate rules. Pierce Law Group has attorneys experienced in estate administration who can guide you through preparing and filing your final accounting. Email us at intake@piercelaw.com or call (919) 341-7055 to schedule a consultation and ensure your estate closes smoothly.
