Closed estate recieves money

I recieved a check for an estate that was closed in 1996. I was executor for the estate of my sister. What do I do with the money?

First of all...
Is the estate subject to estate taxes? If the estate is in the $600,000 range you may have an estate tax due. If so, consult an attorney for sure. Also, check for the state estate tax threshhold. There may be a state estate tax due. Executors can be held liable for these taxes.

If no estate taxes are due, simply disburse the funds according to the provisions of the will. Upon disbursing the funds you should get a signed receipt from the beneficiary acknowledging receipt of the funds. Also you should receive a release from the beneficiary releasing you of liability concerning disbursement of funds. Also you should get a refunding agreement from the beneficiary whereby the beneficiary agrees to refund (pay back) the money if another beneficiary makes a rightful claim on the funds or if estate taxes are due to be paid on the funds.

Check with a local estate attorney on the estate taxes and for a receipt, release and refunding agreement form.

Good luck.