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Detailed Answer

This answer explains, in plain language, the typical statements and financial documents you will be expected to prepare and file for annual and final probate accountings in Wisconsin. It is written for someone with no legal background and uses common probate practice in Wisconsin courts. This is general information only — not legal advice.

When an accounting is required

In Wisconsin, whether an accounting is required — and how detailed it must be — often depends on the type of administration you are in (supervised versus independent) and any specific court orders. In supervised or estate administrations where the court retains active oversight, the personal representative (executor or administrator) normally files periodic accountings and a final accounting. In many independent administrations, there may be less formal reporting unless a beneficiary or the court requests an accounting. Check the local probate rules or court order that opened the estate for specific timing and filing rules. For the state statutes and local forms, see the Wisconsin Legislature site (https://docs.legis.wisconsin.gov/statutes) and the Wisconsin court forms page (https://www.wicourts.gov/forms1/circuit/index.htm).

Core contents of an accounting (both annual and final)

Every probate accounting—annual or final—should clearly show the movement of estate assets from the starting inventory through the ending balance, and must be supported by records. Typical required sections and documents include:

• Verified inventory or schedule of assets: A list of all estate assets at the opening of the accounting period or at date of death (for a final accounting, show assets at opening and at closing). Include descriptions and values for bank accounts, cash, real estate, vehicles, stocks/bonds, business interests, retirement accounts (if controlled by the estate), and personal property.
• Receipts (money into the estate): Itemized list of all receipts since the prior accounting (or since opening the estate). Examples: sale proceeds, rental income, dividends, interest, tax refunds, life insurance or retirement plan proceeds paid to the estate, and any amounts collected from debtors. Attach bank statements and deposit records that match the receipts listed.
• Disbursements (payments out of the estate): Itemized list of all payments made by the estate: funeral expenses, creditor claims paid, mortgage or loan payments, property maintenance, taxes (estate and income taxes), attorney and accountant fees, fiduciary (personal representative) compensation, appraisals, and distributions to beneficiaries. Provide invoices, canceled checks, receipts, and bank statements that support each payment.
• Bank and investment statements: Complete statements for the estate bank accounts and any investment accounts covering the accounting period. These are primary supporting documents and courts expect them with an accounting.
• Detail of asset sales and appraisals: If estate assets were sold (real estate, vehicles, artwork), include closing statements (e.g., HUD/Closing Disclosure), bills of sale, and copies of appraisals or valuation reports that show fair market value if required by the court. If distributions are made in-kind (property transferred directly to beneficiaries), show the appraised values used to calculate the distribution.
• Proposed distribution statement: For a final accounting, a clear proposed distribution schedule showing who gets what, with dollar amounts and references to the decedent’s will or Wisconsin intestacy rules if there is no will.
• Taxes and tax returns: Copies of estate fiduciary tax returns (federal Form 1041) and the decedent’s final individual return (Form 1040) for periods covered by the accounting. Also show copies of any state fiduciary returns or correspondence with tax authorities and receipts for tax payments made by the estate. (IRS resource for fiduciary returns: https://www.irs.gov/forms-pubs/about-form-1041.)
• Creditor claim filings and resolutions: Copies of creditor claims filed with the estate and documentation showing how each claim was resolved (paid in full, partially paid, disallowed, or settled).
• Fiduciary compensation and attorney fees: A clear statement of any fees claimed by the personal representative and by the decedent’s attorney. Provide the court fee petition or detailed billing statements supporting the requested compensation.
• Beneficiary receipts and releases: Signed receipts, waivers, or releases from beneficiaries acknowledging distributions and, if applicable, agreeing to waive further accounting or claims.
• Oath or verification and required court forms: Most courts require the accounting to be verified (signed under oath) by the personal representative. Use the local probate accounting form or file a verified petition or report as required by the court’s rules.

Differences between annual and final accountings

Annual accounting (if required):

• Focuses on activity during the accounting year.
• Shows opening balance, receipts and disbursements for the year, and ending balance.
• May request the court to allow ongoing fees or distributions for that period.

Final accounting (required to close the estate):

• Summarizes the entire administration from opening to closing.
• Shows how all creditors were paid or handled, taxes were paid, expenses and fees were allowed, and how remaining assets were distributed to beneficiaries or heirs.
• Is accompanied by a proposed order asking the court to allow the account and discharge the personal representative once the court approves distributions and fees.

Practical presentation and format

Courts prefer organized, easy-to-follow accountings. Typical organizational tips:

• Provide a two-column ledger or spreadsheet: one column lists receipts (with date and source), the other lists disbursements (date, payee, purpose), with running totals.
• Number and tab supporting documents and match them to line items in the accounting.
• Label bank statements and match deposits/payments to the ledger.
• For large or complex estates, include a short narrative or cover memo summarizing key events (property sales, major repairs, claim disputes, settlement agreements).

Common problems that cause delays

• Missing bank or brokerage statements for key periods.
• Unclear or unsupported disbursements (no invoice or cancelled check).
• Unresolved creditor claims or tax issues.
• Failure to provide required local court forms or a verified oath.

For further direction on forms and filing procedures, consult the Wisconsin court forms page (https://www.wicourts.gov/forms1/circuit/index.htm) and the Wisconsin statutes overview (https://docs.legis.wisconsin.gov/statutes).

Helpful Hints

• Open a dedicated estate bank account immediately and deposit all estate receipts there. Keep that account’s statements intact; courts expect them as primary evidence.
• Keep a contemporaneous ledger or spreadsheet showing every receipt and payment. Linking each ledger line to a scanned supporting document speeds review and reduces questions.
• Get written appraisals for real estate, jewelry, artwork, and business interests if their value materially affects distributions.
• Keep canceled checks, invoices, and receipts for major expenses (funeral, repairs, commissions). Photocopies or scanned copies are usually acceptable if legible.
• If you expect to request fiduciary or attorney fees, prepare detailed time records and a fee petition. Courts evaluate reasonableness; vague billing invites reductions.
• Track creditor deadlines and preserve proof of mailing for creditor notices. Disputed claims should be documented in the accounting with court rulings or settlement terms.
• Include tax reporting early: consult an accountant about filing final personal returns and any estate fiduciary returns; attach filed returns or proof of filing to the accounting.
• Check local circuit court rules or ask the probate clerk about required forms and whether your county requires supervised accountings or standardized forms.
• When in doubt about a complex valuation, tax implication, or contested creditor claim, consult a probate attorney or a certified public accountant experienced in estate matters.

Disclaimer: This article explains common probate accounting practices in Wisconsin and is intended for educational purposes only. It does not constitute legal advice and does not create an attorney-client relationship. For advice specific to your situation, consult a licensed Wisconsin probate attorney or the probate court handling the estate.