WindUp Estate Accounting & Tax Estate Administration 9.0 USER GUIDE

Transcription

1 Estate Accounting & Tax Estate Administration 9.0 USER GUIDE

2 Contents CHAPTER 1 INTRODUCTION... 1 Introduction...2 What is Estate Accounting?...2 Statement of Original Assets...3 Capital Receipts...3 Capital Disbursements...4 Revenue Receipts...5 Revenue Disbursements...5 Investment Account...6 Schedule of Compensation...6 Capital (Assets)...6 Revenue (Income)...7 Care and Management...7 Original Liabilities...8 Trustee Liabilities...8 Conventions...9 Logon...9 Terms...9 Record Navigators...10 Status bar Prompts...10 Dates...11 ToolBars...11 CHAPTER 2 GETTING STARTED Using WindUp for the First Time...14 Registration...15 Creating a New Estate File...16 Part I: Estate Administration...16 Contact Fields...17 Adding Contacts...17 Entering Information about the Estate...19 Matter Page...20 Estate Page...21 Original Assets Page...22 Beneficiary Page...24 Trustee Page...25 Contact Page...26 Notes Page...27 Timekeepers Page...27 Part II: Accounting Information...28 Slips...29 Date Validation...29 Next Button...29 WindUp User Guide Contents 1

3 Original Assets...29 Cash Original Assets...30 Accrued Interest for Original Assets...30 Deposit/Sale...30 The sale of Treasury Bills will automate two transactions. The first will be a capital receipt for the book value of the entry and the second will be an Interest revenue entry for the interest portion of the transaction.purchase...31 Purchase...32 Cheques/Payment...33 Create New Account...34 Bank Interest...34 Bank Charges...35 Transfer...36 Interest Reinvestment...36 Dividend Reinvestment...37 Return of Capital...38 Foreign Interest...39 Foreign Dividend...39 Book Entry...40 Market Value...41 Asset Distribution to Beneficiary...41 Entering Assets when not using Slips...42 Sort Field...42 Num...42 Asset Type Field...42 Asset Type 1 - Original Assets...43 Asset Type 2 Investments Brought Forward...43 Asset Type 3 - Investments (in period)...43 Asset Type 4 - Estate Accounts...43 Asset Type 5 - Balances Brought Forward...44 Asset Type 6 - Care and Management...44 Asset Type 7 Original Liabilities...44 Asset Type 8 Trustee Liabilities...44 Asset Class...44 Date...46 Asset Description...46 Asset Description Change - F Value...46 Entering Transactions...47 Transaction Type Field...48 Transaction Type 1 - Revenue Receipt...48 Transaction Type 3 Capital/Investment Receipt (total sale)...48 Transaction Type 4 Capital/Investment Receipt (partial sale)...49 Transaction Type 5 - Capital Receipt (No Asset)...50 Transaction Type 6 - Capital Disbursement...50 Transaction Type 9 - Investment Disbursement (purchase)...50 Transaction Type 10 - Distribution to Beneficiary total asset...50 Transaction Type 11 - Distribution to Beneficiary partial asset...51 Transaction Type 12 - Bank Transfer...51 Transaction Type 13 - Recording Entry (i.e. stock split)...51 Account...52 Date...52 Description...52 Value...52 Liabilities...52 WindUp User Guide Contents 2

4 Other transactions...53 Selling Bonds...53 Mutual Fund dividend reinvestments...53 Realize cash...54 Distribute in specie items...54 Partial Sale...55 CHAPTER 3 CREATING DOCUMENTS Creating Documents from WindUp...57 List of Available Documents...57 Court Forms - Rule Alberta...61 British Columbia...64 Nova Scotia...64 Creating Documents...67 Set Default Jurat...68 Set Jurisdiction...68 CHAPTER 4 REPORTS Generating Estate Reports...70 Asset Reconciliation...70 Asset Transaction Report...70 Bank Statements...70 Statement of Accounts (No Compensation)...71 Summary...71 Summary of Assets...71 PDF Report Format...71 CHAPTER 5 SPECIAL FEATURES On Screen Reconciliation...73 Account Balance...74 Archive (Defining the Start Date)...74 Entering Files with Previous Accounting Periods...75 Compensation...78 Calculators...78 Interest Calculator...79 Calculator...80 Foreign Tax Calculator...80 Copy Estate to / from Disk...80 Quick Entry...81 Trust Units...82 WindUp User Guide Contents 3

5 Cheque History...83 Transaction Screen Options...83 CHAPTER 6 QUICK START Enter Bank Accounts...85 Enter Original Assets...85 Enter Original Liabilities...86 Begin Realizing Original assets...86 Money Instruments such as bonds...87 Investments such as stocks...87 Cash...87 Making Investments...87 Trustee Liabilities...88 CHAPTER 7 BALANCING ACCOUNTS On Screen Summary...90 Data Entry Errors...90 Empty Fields...90 Incorrect Dates...91 Report Date Filters...91 Assets with type 3 transactions...91 Duplicate Transactions...91 Incorrect Transaction Types...91 Balancing Assistance...91 Printing Reports...91 Review Bank Account month by month...91 Review Summary report month by month...92 WindUp User Guide Contents 4

6 Chapter 1 Introduction WindUp User Guide 1

7 Introduction Welcome to WindUp the estates software solution from Emergent Technologies. Built in the Microsoft Office environment, WindUp produces Estate Accounts in Court Passing format, Income and Capital Tax Schedules, a variety of Investment Reports and many more accounting schedules and balancing reports. WindUp s technology maintains a centralized contact database. This combined with its document assembly engine allows you to easily produce Court Forms, standard letters and other documents using Microsoft Word. WindUp is easy to learn, even for those with little or no Windows experience. Using this guide as a reference tool, you will be producing balanced estate accounts with all the necessary documents quickly and easily. And best of all, you will have an electronic record of everything. Let s get started! What is Estate Accounting? Estate accounting is a method of accounting used for the administration of estates, trusts and guardianships. Estate trustees and guardians have a duty to keep a complete and accurate set of accounts of their administration for beneficiaries to review upon request. The format for these accounts may vary depending on their purpose. For example, if the accounts are being passed before a court they must have separate capital, revenue and investment accounts, together with a list of original assets and investments held by the estate at the beginning and end of the accounting period. If the accounts are being provided to a client, a somewhat more simplified format may be acceptable. The following is a breakdown of the different components of court passing accounts used by the Office of the Public Guardian and Trustee for estates and guardianships. Examples for both estates and guardianships are shown. WindUp User Guide Chapter 1 Introduction 2

8 Statement of Original Assets For an estate matter, this is a list of the assets held by the deceased at the date of death, along with their associated market or probate values. For a guardianship, this is a list of the assets held by the incapable at the date of declaration of incapacity, along with their associated market values. These values are fixed at this date and, as a rule, will not change throughout the administration. This schedule will not normally include those assets jointly owned with a right of survivorship, (e.g. proceeds of a joint bank account) or assets payable to named beneficiaries, (e.g. a life insurance policy held by the deceased, but payable to a friend or relative). Note: Included in the original assets of an estate are calculations of interest accrued and owing to date of death and also any shares quoted ex-dividend at date of death, i.e. dividends that are declared but not paid. Capital Receipts Capital receipts are funds realized from the sale of original assets. Some examples are: proceeds from the sale or redemption of stocks and bonds owned by the deceased at death; proceeds from the deceased s bank accounts; life insurance payable to the estate; Canada Pension Plan Death Benefit 1 ; accrued interest 2 on bank accounts, term deposits, bonds and mortgages; ex-dividends 3 ; adjustments on sale of investments by the trustees (capital gains). 1 Although considered a capital receipt for estate accounting, CPP Death Benefit is taxed in the hands of the executors, i.e. it is treated as capital for estate accounting purposes and revenue for tax purposes. 2 Accrued interest is calculated from the date of the last interest payment up to and including the date of death. 3 Dividends declared but not paid at the date of death are considered capital for estate accounting purposes. WindUp User Guide Chapter 1 Introduction 3

9 There will be times when it is necessary to enter a Capital Receipt that is unrelated to any estate asset. We will refer to these as Capital Receipts - No Assets. Some examples are: refunds from telephone rentals; driver s license refunds; cable fee refunds. Capital Disbursements Capital disbursements are payments made from the estate on account of debts of the deceased, the estate, distributions to beneficiaries and expenditures made by the estate. Some examples are: payment of credit card accounts and car loans; funeral expenses, burial and cemetery costs; probate fees; fee for provincial death certificate; legacies to beneficiaries; distribution of residue; legal accounts for estate administration; income tax on terminal return and /or capital gains; appraisal and valuation expenses; adjustments on sale of investments by the trustees (capital losses). For guardianships, examples of capital disbursements could be: principal portion on mortgage payment; medical expenses; nursing home costs. WindUp User Guide Chapter 1 Introduction 4

10 Revenue Receipts Revenue receipts are funds earned on original assets, as well as income earned on investments made by the trustees after the date of death. Some examples are: dividends declared after death; interest earned on bank accounts; interest on Canada savings bonds, GICs, Treasury Bills ; rents received from estate property; interest on life insurance policies paid after death. For guardianships, examples of revenue receipts would be: pension payments i.e. CPP and OAS; annuity payments; income from RRIF s; credits. Revenue Disbursements Revenue disbursements are payments made by the trustees out of the revenue account. Some examples are: payment of income to an income beneficiary; payment of expenses incurred in the earning of income, e.g., investment management fees; taxes on income retained in the estate; bank charges (including safety deposit box rental); accrued interest on purchase of bonds/gic s/term deposits 4. For guardianships, examples of revenue disbursements would be: interest portion on mortgage payment; medical expenses ; nursing home costs; income tax installments. 4 This type of accrued interest occurs when investments are purchased by the trustee at a later date than the investment became available. In such a case the estate would have to purchase, not only the principal but also the interest already earned on the investment. WindUp User Guide Chapter 1 Introduction 5

11 Investment Account The investment account reflects details of any investment or reinvestment of funds made by the trustee during the administration of the estate or guardianship. Details of purchases and sales of investments are recorded here. Note: Gains or losses arising from the sale of investments are shown in the capital account, i.e. capital receipts for gains and capital disbursements for losses. The investment account should also reflect the conversion or exchange of one class of securities for another, as well as redemptions and reissue by corporations 5. The investment account does not include original assets 6. Schedule of Compensation The Court determines the rate of compensation paid to trustees. However, a rule of thumb has evolved over time to enable trustees to calculate compensation on an average estate of average complexity. There are three areas where compensation is calculated: Capital (Assets) Compensation is calculated from capital receipt and disbursement transactions during the period, usually at 2.5% of the total, excluding balances brought forward and book transfers 7. The Court has the discretion to adjust this rate down where the receipts include transactions of large values resulting in an award of a lower amount of compensation than that claimed in the accounts. Example: One of the original assets of an estate with a total value of $2,000,000 is a shareholding with a date of death value of 5 Stock splits must be reflected in both the capital receipt and investment disbursement sections of estate accounts. 6 Original assets such as stockholdings, bonds, GICs were investments made by the deceased while alive. After death, these personal investments become original assets of the estate and are no longer considered to be investments. Estate investments are only those investments made by the trustees during the administration of the estate. 7 Recording entries including disbursements to a sub-trust or capitalization of revenue are examples of book transfers. WindUp User Guide Chapter 1 Introduction 6

12 $1,500,000. The Court would probably reduce the compensation allowed on a receipt of an item this size from the usual rate of 2.5%. The Court does not usually allow a trustee to claim compensation on items such as: payment of fees for the preparation of income tax returns; capital losses; prior compensation payments to an executor/estate trustee. Compensation is not payable or calculated on the investment account. The compensation for these receipts and disbursements is calculated separately (see Care and Management). Compensation is not calculated on unrealized original assets within the period. Rather, it is taken at the time of their sale (or realization) when the value is reported as a capital receipt. Revenue (Income) Compensation is calculated from the revenue receipt and disbursement transactions during the period usually at 2.5% of the total, excluding balances brought forward and book transfers. Care and Management The rule of thumb established for care and management allows for 2/5 of 1% of the average annual market value of the estate during the period. Generally, care and management fees can only be calculated on assets which require care and management, i.e. where bonds or GICs are being renewed or shares are being bought and sold. If no active investing occurs, notwithstanding that income may be generated, the value of these shares and other inactive assets should not be included in the care and management calculation. The Court requires that the valuation of those assets included in the calculation for care and management be provided in order to justify the compensation being claimed. WindUp User Guide Chapter 1 Introduction 7

13 If G.S.T. is payable on the compensation, a separate item showing the G.S.T. calculation should appear on the Schedule of Compensation. Original Liabilities Most persons have incurred some liabilities that remain unpaid at the date of death. Each liability source encountered should be recorded in the appropriate secured, unsecured, commercial or contingent liabilities. The creditor s name and full disclosure of the debt particulars known are required together with the amount of debt outstanding plus accrued interest at the date of death for completeness purposes. Trustee Liabilities Trustee Liabilities are used to isolate this debt activity from other accounts for clear audit process WindUp User Guide Chapter 1 Introduction 8

14 Conventions This guide uses the fictional estate of John Henry Smith to provide examples of data entry tips and features. The conventions below will be referenced throughout the guide. If you are new to Windows, please take a moment to acquaint yourself with their functionality. Logon The logon screen holds your user name or you user account name, which might be different than your actual name. The Logon Name by default is user1. The Password field should be left blank, unless your administrator has assigned you a password for WindUp. Terms Click Click once with the left mouse button. Double Click Click twice in quick succession with the left mouse button. Right Click Select Scroll Zoombox Click once with the right mouse button. Highlight the applicable menu option or point to the applicable button and click. Move up or down through the options on a dropdown list or a page of records using the mouse and scrollbar or the up and down cursor keys. A Zoombox is a button on a screen that looks like this: WindUp User Guide Chapter 1 Introduction 9

15 Record Navigators Throughout the various screens in WindUp you will notice Record Navigators, shown below: Current Record Total Records First Record Previous Record Next Record Last Record New Record Use the buttons on the Record Navigators like those on a VCR to move throughout the records. Depending on which screen is active, records will be Assets, Transactions, Estate Files, Beneficiaries, etc.. Record Selectors - Saving and Deleting Records The column on the far-left side of a record is called the Record Selector. When you create a new record or edit an existing one, the record selector will display a pencil. This indicates that the record is in "edit mode". Once the record is saved the pencil will change to a triangle. You can save a record by moving to the next record or by clicking on the Record Selector. To delete a record, click on the record selector and press the delete key on the keyboard. Status bar Prompts Refer to the status bar prompts at the bottom left of your WindUp window if you are unsure of the data or type of data required in a specific field. WindUp User Guide Chapter 1 Introduction 10

16 Dates Enter dates in the format consistent with your Window System setup. (Example: mm dd yy OR dd mm yy) WindUp will display the date in the format MMM-dd-yyyy (Example: Jan ). NOTE: For faster data entry on the Asset and Transaction Screens, enter dates using the format mmddyy (no slashes or spaces required). ToolBars WindUp displays one custom Toolbar that you will find very useful for creating files, documents and accounting reports. The WindUp Toolbar looks like this: These icons perform the following functions: 1. Create New Estate File 2. Open Existing Estate File 3. Print Estate Accounting Report 4. Create Probate Document 5. Undo 6. Cut 7. Copy 8. Paste 9. Find 10. Sort Ascending 11. Sort Descending 12. Accrued Interest Calculator 13. Business Calculator 14. Foreign Interest Calculator 15. Spell Checker 16. Investment Report Wizard 17. Close all open Reports WindUp User Guide Chapter 1 Introduction 11

17 When you are in MS Word you will see the toolbar shown below. This toolbar allows you to create and manage documents from WindUp without actually opening the WindUp program These icons perform the following functions: 1. Create a New Document directly from word 2. Save a document to Emergent Corporate Manager or Estate Planning and Vault Manager. 3. Save a Document to WindUp 4. Unprotect a document to provide full access to text 5. Prepare a document that will be ed to a client as an MS Word Attachment. 6. Refresh document fields to update changes made in a document. 7. Import Clauses. NOTE: This tool is only used in the Estate Planning and Vault Manager Product. WindUp User Guide Chapter 1 Introduction 12

18 Chapter 2 Getting Started WindUp User Guide 13

19 Using WindUp for the First Time When you start WindUp you will be required to Login. Enter your name (and password, if you have one) and click OK. A Splash screen will appear and then you will see the following screen (Open Estate File): From this screen, you can create a new estate, edit an existing one or access the Report Options screen. The dates shown on this screen represent the following: Edited: Last date that the estate was updated. Archive: Start date of the previous accounting period. Start: Start date of the current accounting period. Death: Date of death. Accounting: Is this file licensed for Estate Accounting? Administration: Is this file licensed for Estate Administration? File status will display all files which have an Open Status. Switch the status to closed to view all files. To see all files, regardless of status, switch the list to All. The file status is set on the Matter tab next to the status drop down. WindUp User Guide Chapter 2 Getting Started 14

20 Registration Emergent Technologies asks that you register WindUp so that we may verify you as a registered user and provide benefits and services. With your WindUp Software you should receive a license key to enter and register your version of WindUp. You can enter your license key by selecting File > Maitenance> and Enter License Key. NOTE: Copy and Paste your license key into this window. The Ability to publish WindUp Reports into PDF format is also available to Registered Users. Call Emergent Technologies for Information about this feature and your authorization code. WindUp User Guide Chapter 2 Getting Started 15

21 Creating a New Estate File WindUp deals with an estate file in two parts; Firstly, there is Estate Administration this is where beneficiaries, trustees and other contacts and entities are entered into WindUp for the purpose of creating Court documents and correspondence. Secondly, there is Estate Accounting this is where assets and transactions are entered in order that accounting reports can be generated. Part I: Estate Administration To enter a new estate, click on NEW from the Open Estate File screen, shown above. The following screen will be displayed: This is the Estate screen where all the relevant information about an estate is stored (apart from accounting information). Clicking on the various tabs along the top of the Window will show different pages containing information fields pertaining to that aspect of the estate. Fill in as much information as you can using the following as a guide for data entry: WindUp User Guide Chapter 2 Getting Started 16

22 Contact Fields WindUp uses a centralized contact database to store information on the contacts (people or companies) that have a role to play in an estate. Once contacts are entered into the contact database they can be assigned to play many different roles within an estate or over many estates. Once you are on a field where a contact should be entered, simply type the name of the contact into the field, last name, then first. If that contact already exists in the database WindUp will locate it and complete the name, and you can move on to the next field. If the contact does not already exist, windup will ask you to quick add the contact. Adding Contacts Always enter names with the format: Enter Contact Name as Last name, First Name Last name, First name You will see the following screen: All contacts must be added to the database, even if you only plan to use them once. Select Yes to add the contact and No to change the contact information. WindUp User Guide Chapter 2 Getting Started 17

23 Windup will provide a confirmation screen. At this point you can make any necessary changes to the contact name. After selecting OK, you will see the new contact available in a drop down list. You must select the contact from the drop down list, even if it is already in the deceased field. To add additional demographic information about the contact, right mouse click on the contact name and select Open Contact. The General Screen allows you to enter address and phone information for the contact WindUp User Guide Chapter 2 Getting Started 18

24 NOTE: The File As field is very important. The format of the contact name in this field defines how the name will be formatted in most documents. Please include a middle name if appropriate. Full capitalization is not necessary - enter names in the format John Henry Smith. The details tab provides space for municipality, region and occupation. These fields are needed for the deceased and trustees Entering Information about the Estate The following section will outline fields of particular importance, as well as guide you generally through entering estate information for the purpose of administration. WindUp User Guide Chapter 2 Getting Started 19

25 Items with a * are required for estates that will be used for accounting. Matter Page * Deceased Enter the name of the deceased person, last then first. If WindUp does not complete the name automatically, then you must add the contact to the contact database. * File Number This field is required and will be displayed on the Open Estate File screen. It must be unique. WindUp User Guide Chapter 2 Getting Started 20

26 Estate Page Report Heading - The data entered in this field will be printed on the header of any accounting reports produced by WindUp. (Eg: The Estate of Bob James or The Estate Accounts of Bob James) WindUp will populate this field. Report Suffix - Text entered in this field will be printed on the header of any accounting reports, underneath the Reporting Heading. (Eg: Canadian Funds) * Death / Start Date - Enter the date of death or start date for the accounting period in the format mm/dd/yy. This is a required field. Will Date - Enter the date of execution of the will. To change the default jurat to your jurat, select File > Maitenance and Set Default Jurat Text. Jurat -The default jurat will appear on all affidavits. It will default to the city of death but is editable by the user. Court The court city for probate forms must be selected from the drop down of available courts. TIP: To Add your Court City to the list, select a court that you do not use. Holding your mouse over the court, right mouse click and select Open Contact. When the Court Contact opens, click on the Address button and change the address to your courts address. Maker sure that you set the city to the correct court city. Select OK to save the changes and return to the matter. You may need to restart WindUp to see the changes to the list. WindUp User Guide Chapter 2 Getting Started 21

27 Original Assets Page All Original Assets and Original Liabilities can be added to a matter. Totals of Assets, Liabilities and a Grand total of the estate will appear on the screen. Enter the values as of date of death. Enter Original Assets using the Asset Slip All Original Assets or liabilities can be entered using the Original Asset slip. The date of death is automatically entered and the next button allows for the efficient entry of many items. To quickly calculate the probate fee add one entry called total original assets and provide the total value of the estate. Probate Fee Windup will calculate the probate fee for the default jurisdiction. Enter all Estate assets to calculate the appropriate fee. Type This will define the item as an asset or liability. Enter a type 1 for an asset or a type 7 for a liability. Other types are available, but will only be accommodated in the accounting section of the application. WindUp User Guide Chapter 2 Getting Started 22

28 Class The class of the asset will define what type of Asset it is. Select the appropriate class that best describes the asset. For Real Estate, select the class that has the appropriate province which defines the location of the property. Date - Enter the data of death in this field. Units - For Assets with units, such as stocks or Mutual Funds, enter the number of units of the field provided. For assets that do not have units, leave this field blank. Description - Enter the description of this asset or liability. Double click on this field if you need more space to enter information. Value Enter the value of the Asset or Liability at the date of death. WindUp User Guide Chapter 2 Getting Started 23

29 Beneficiary Page Beneficiary - Each beneficiary will occupy one sub-record of the Beneficiary Page. Beneficiaries can be added to the contact records by using Add Contact (right click). Relation - This field stores the relationship between the beneficiary and the deceased. Type - If this field is left blank, beneficiary is assumed to be the type. Be sure to enter the appropriate data if that is not the case. Class - This is where you will assign a distinguishable class to a beneficiary (ie. minor, incapable w/guardian, incapable w/out guardian, charity, other). WindUp User Guide Chapter 2 Getting Started 24

30 Trustee Page Trustee Each Trustee will occupy one sub-record of the Trustee Page. Right mouse click and Update the Trustees Region, Municipality and occupation to complete affidavits. WindUp User Guide Chapter 2 Getting Started 25

31 Contact Page Personal Relations Enter related contacts to the Deceased and their Relationship to the deceased. Offices Enter contact information for courts, or other government offices in this field. Banks Enter the bank name and account number. WindUp User Guide Chapter 2 Getting Started 26

32 Notes Page Enter notes about the estate in the format you would a memo to file. Timekeepers Page Enter the names of the lawyers, clerks and secretaries that will be working on this file. The names will be used for signature lines on correspondence. WindUp User Guide Chapter 2 Getting Started 27

33 Part II: Accounting Information To enter assets and transactions into WindUp you must be in the Accounting screen. You can get here by selecting an estate from the Open Estate File screen and clicking on: The Accounting screen looks like this: WindUp User Guide Chapter 2 Getting Started 28

34 Slips WindUp Slips are designed to be similar to bank slips to help enter assets and make processing of transactions easy and quick. Date Validation All Windup Slips will verify the date entered. If the date is either before the start of the accounting period, or after today's date, a notice will appear. This feature will prevent date entry errors from occurring. However, if you still want to use the date, simply choose OK and the transactions will be processed. Next Button Some Windup slips have a next button. By selecting this option, the existing window will close and commit the transactions and the form will open again. If you need to do another type of transaction, select the OK button. Original Assets Type Select the type of item this is. Original Asset or Original Liability. Class - Define the class of this asset. Classes are used for grouping of items only and have no effect on values. WindUp User Guide Chapter 2 Getting Started 29

35 Units Enter the number of units if this asset has units, such as Stocks or Mutual Funds. Description Enter the description of this asset. Value Enter the value of this asset. Cash Original Assets If the class selected is for a Bank Account that has transactions after the date of death, WindUp can create the Original Asset and the Bank Account, as well as realized the Original Asset into the Bank Account by selecting thise checkbox. Accrued Interest for Original Assets For Original Assets such as Bonds, WindUp will Calculate the Accrued Interest until the date of death. When asked to Calculate the accrued Interest, choose Yes and the Accrued Interest Calculator will appear. Enter the Interest Rate and Last Payment Date and select Calculate. WindUp will display the amount of Accrued interest. Choose OK and WindUp will create two Original assets. The first item will be the face value for the bond itself the second asset will be the accrued interest amount of the bond. Deposit/Sale Deposit/Sale will accommodate any transaction associated with the sale of an existing asset or a receipt of income. WindUp User Guide Chapter 2 Getting Started 30

36 Use a Capital Receipt (No Asset) when money is deposited into the estate which is not associates with an asset, such as Newspaper subscription refund. Date The date of this transaction Transaction Type The Available types of transactions are: a. Revenue Receipt b. Interest Revenue c. Dividend Revenue d. Revenue Receipt (No Asset) e. Capital/Investment Receipt (Total Sale) f. Capital/Investment Receipt (Partial Sale) g. Capital Receipt (No Asset) Bank Account Select the bank account where the money will be Deposited to. Asset Select the asset which is being affected by this transaction. Units If this asset has units, enter the amount of units involved in this transaction, if this is a partial sale. Description The transaction description will auto populate. It can be changed. Value Enter the Gross value for this transaction. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Sale of Treasury Bills The sale of Treasury Bills will automate two transactions. The first will be a capital receipt for the book value of the entry and the second will be an Interest revenue entry for the interest portion of the transaction. WindUp User Guide Chapter 2 Getting Started 31

37 Purchase Use this slip when purchasing an asset after the start date of the period. Date - The date the asset has been purchased Existing Asset/New Asset Create a new asset by entering a description for this asset or purchase more of an existing asset. Asset Class Define the grouping of this asset. Asset class has no effect on financial calculation. Units Enter the number of Units for this asset if it has units, such as Shares or Mutual Funds. This is the description of the purchase of this asset. Not the asset itself. Description Enter the Description for the transaction for this asset. Value The Value of the Purchase. This may not be the tota calue of the asset if it is an additional purchase of an existing asset. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Accrued Interest Entry for Bonds When Purchasing a Bond, the option to enter accrued interest will be available. If an accrued interest amount is entered, the accrued interest will be recorded as a revenue disbursement and the purchase amount will be recorded as an investment disbursement. WindUp User Guide Chapter 2 Getting Started 32

38 Cheques/Payment The Cheque/Payment Slip is a Cheque writer that can process the transaction as well as print your cheque. Cheque No. Enter the number of this cheque Bank Account Select the bank account where the money will be withdrawn from. Date Enter the date of this cheque or transaction. Transaction Type Select the type of transaction this is. Thios can be either a Capital Disbursement or a Revenue Disbursement. Names in this list are from the beneficiaries tab entered in WindUp Administration Name Select the name of a Beneficiary from the drop down list, or enter another name if it is not there. All names entered will be stored with the estate and can be selected again. Amount Enter the amount of this cheque. The amount will be written out in text for you. Memo Enter a memo for the cheque and to add to the transaction description. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Position of Cheque WindUp can print two types of cheques. Forms that have the cheque at the top and forms that have the cheque at the bottom. WindUp User Guide Chapter 2 Getting Started 33

39 Print Cheque With this checkbox selected, WindUp can print the actual cheque. Create New Account Use the New Bank Account to create new bank accounts; Investment Accounts; Income Account or Trust Account. Date Enter the date the account was opened Class Choose the type of Account Description Enter the Account Name Bank Interest Enter Bank Interest Using the Bank Interest Slip. Date Enter the date of the interest. Value Enter the amount of interest. Bank Account Select the Bank account where the interest is deposited. WindUp User Guide Chapter 2 Getting Started 34

40 Description The description field will populate when the cursor tabs in. Change this description if necessary. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Bank Charges Date Enter the date of the charge. Value Enter the amount of charge. Bank Account Select the Bank account where the charge is deposited. Description The description field will populate when the cursor tabs in. Change this description if necessary. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. WindUp User Guide Chapter 2 Getting Started 35

41 Transfer Use this slip when transferring money from one account to another. Debit From Enter the Account where the money is being transferred from Credit To Enter the Account where the money from the transfer will be deposited. Date Enter the date of Transfer Amount Enter the Amount of the Transfer. Interest Reinvestment Use the Interest Reinvestment slip when reinvesting interest back into an investment. WindUp will record the receipt of interest and purchase additional value of the asset. Date Date interest was paid and money was reinvested. Asset The Asset where the reinvestment took place. WindUp User Guide Chapter 2 Getting Started 36

42 NOTE: If the reinvestment is applied to an original asset, WindUp will create an investment in the period and increase the value of this item. It will not increase the value of the original asset. Bank Account If the interest went through a bank account, select it. Otherwise, leave this field blank. Units This is an optional field if units are needed. Description - The description of the reinvestment. Value The Value for the reinvestment. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Dividend Reinvestment Use the Dividend Reinvestment Slip when Recording transactions such as Mutual Fund Dividend Reinvestments. WindUp will record the receipt of the Dividend and purchase for units or shares of the asset. Date Date Dividend was paid and money was reinvested. Asset The Asset where the reinvestment took place. NOTE: If the reinvestment is applied to an original asset, WindUp will create an investment in the period and increase the value of this item. It will not increase the value of the original asset. Bank Account If the Dividend went through a bank account, select it. Otherwise, leave this field blank. Units This is an optional field if units are needed. Description - The description of the reinvestment. Value The Value for the reinvestment. WindUp User Guide Chapter 2 Getting Started 37

43 Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Return of Capital The Return of Capital slip will reduce the value of the selected asset, but will not produce a capital gain or loss for the item. Date The date the transaction took place. Asset The Asset which will be reduced. Bank Account The Bank account where the proceeds were deposited. Units The Number of Units the asset was reduced by. Description Description for the transaction. Value The amount the asset has been reduced by. This will also be the book value for the asset reduction. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. WindUp User Guide Chapter 2 Getting Started 38

44 Foreign Interest Record Foreign Interest using this slip. Date The Date the Interest was received. Asset The Asset that earned the interest. Bank Account The Account where the money was deposited. Description Enter a description for this transaction. Value The Amount of interest for this transaction. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. Foreign Dividend Use the Foreign Dividend Slip to Enter Foreign dividend and record the Retaining Amount. Date Date Dividend was received. WindUp User Guide Chapter 2 Getting Started 39

45 Asset Asset that earned the dividend. Gross Value Enter the Gross value for this dividend. Bank Account Select the bank account where the dividend was deposited. Description Description for this transaction. Percentage The percentage is defaulted to 15.00%. It can be changed. Compensation If the compensation box is checked, the standard compensation rate will be applied to this transaction. If it is unchecked, no compensation will be charged. After entering these items, click on the calculate button. This will figure out the NRT and the Net Amount. Book Entry Use the Book Entry slip to enter recording entries, such as stock splits. Date The Date of this Entry. Bank Account Select a bank account if required. Asset Choose the asset for recording this entry. Units/Shares Enter the units or shares if required. Description Enter the description of this recording entry. WindUp User Guide Chapter 2 Getting Started 40

46 For stock splits, enter the additional number of units received and not the total number of units held after the split. WindUp keeps a running total of the number of units. If the change of units is a reduction, enter the decreased amount of units as a negative number. Market Value WindUp will track the market values of an asset and produce a Market Value Report. To view all Market Value entries for an asset, select the T to the right of the asset and click the Market Value tab. Asset Distribution to Beneficiary The Asset Distribution to Beneficiary Slip allows for the realization of an asset and distribution of the proceeds to a beneficiary. Define the Date of the transaction, the transaction type, bank account, asset, beneficiary and amount to complete this transaction. WindUp will dispose of the asset and complete a capital distribution to the beneficiary. Since Windup expresses all items in dollar values, the asset must be disposed of in a dollar value, even of the physical asset was given to a beneficiary. WindUp User Guide Chapter 2 Getting Started 41

47 Entering Assets when not using Slips Each Asset of an estate is recorded on this screen and takes up one full line. When you open the Accounting screen WindUp provides you with a blank record field. To enter a new asset, use the Record Selector at the bottom of the window or scroll down to the bottom of the page to reach the blank record field. To enter a new asset you must complete the Type field and the Value field. The following guide will help you complete the information fields on the asset screen: Sort Field Each time a new asset is created the Asset Number will increase by one. The Sort Field default value is also this number. The Sort Field is valuable for changing the order in which assets appear on accounting reports. For example, in the screen above, you will notice 10 assets with a Class type of S. This means that these assets are all Shareholdings. When a statement of accounts is printed, all of these assets will be displayed under the heading SHARES. You can define the order of the assets by changing the value of the Sort Field. NOTE: The Sort Field can take up to 2 decimal places. Num Each new asset that is added is given a number that increases incrementally. This is a reference number that will never change or be overwritten. Asset Type Field This field is where the asset is defined for estate accounting purposes. All personal belongings, investments, bank accounts and investments made by trustees after an estate comes into existence are considered to be Assets of the estate. Generally speaking, all WindUp User Guide Chapter 2 Getting Started 42

48 assets of an estate are either original assets (held at date of death) or investments (purchased after death). WindUp categorizes assets using the following types that appear in the dropdown list for this field: Asset Type 1 - Original Assets Choose this if the deceased owned the asset or the right to the asset at the time of death. Asset Type 2 Investments Brought Forward This Asset Type is used when you are entering accounts for a file that has a previous accounting period. Asset Type 3 - Investments (in period) Use this Asset Type when entering investments made by the estate trustee. A separate asset must be set up for each investment in the period in order for WindUp to calculate any gains or losses and keep track of the book value of the investment. Entering an investment asset is a two step process; First, the asset must be entered (when entering an investment always enter a value of $0.00 in the value field). Then, an Investment Disbursement transaction must be entered to show that funds from the estate account were invested. For more information about entering transactions, see the next section. Asset Type 4 - Estate Accounts Choose this type if the asset is a bank or brokerage account opened for the estate. The value given to assets with this Asset Type must always be $0.00. NOTE: Every Estate file must have at least one Asset Type 4. Estate trustees will often use as an estate account a bank account that the deceased used before death. If this is the case, this bank account will have to be entered into WindUp twice: Once as an WindUp User Guide Chapter 2 Getting Started 43

49 Original Asset (Asset Type 1) with a value of the balance of the account at the date of death, and once as an Estate Account (Asset Type 4) with a value of $0.00. See the next section for the transactions necessary to deal with this situation. Asset Type 5 - Balances Brought Forward This Asset Type is used when you are entering accounts for a file that has a previous accounting period. Balances for assets like revenue, capital or investment Asset Type 6 - Care and Management This is not an asset. WindUp will calculate the Care and Management amount for inclusion on the Compensation Schedule. Simply enter an asset with an Asset Type of 6, a date within the accounting period and the average value of monies under investment throughout the accounting period. WindUp will calculate 2/5ths of one percent of this amount and add it to the Compensation Schedule. Asset Type 7 Original Liabilities Choose this if the deceased had any liabilities at the time of death. Asset Type 8 Trustee Liabilities Use this type when money is being sent from the estate to a trustee. Asset Class When presenting a set of accounts, it is appropriate to group assets under subheadings. For example: if an estate contained a car, some jewelry, artwork and furniture, then all of these separate assets could be grouped under the subheading Personal Effects. Such subheadings are referred to as Class Types. WindUp comes installed with a comprehensive list of Class Types and the option is available under the Tools menu for the user to add more as required. To assign a Class Type to an asset, open the Class dropdown list, select the desired Class type and press ENTER. WindUp User Guide Chapter 2 Getting Started 44

50 WindUp User Guide Chapter 2 Getting Started 45

51 Date Tip: Press <Ctrl>- <D> when the cursor is on a blank field and WindUp will automatically enter the information from the field directly above the cursor. This is useful for entering dates (date of death) for original assets and descriptions (for investments that are similar). Use this field to enter the date that the asset became part of the estate. For original assets, this will be the date of death. For investments, this will be the date the trustee purchased the investment. Dates must always be entered with the format mmddyy. Asset Description The Asset Description field is where information describing an asset is entered. The description entered here will appear in the accounts. Asset Description Change - F9 The description of an asset will change if part of that asset is sold or if a further portion of an investment is acquired, within the period. In such a case, the asset description at the beginning of the period will be different than at the end. To change the description of an asset during the period: Click on the Zoombox next to the description field: Enter the date the Asset Description changed and a new asset description in the Description field. Click OK. Value The Value field for an asset is a numeric field. The value entered will depend on the asset type given to the asset: Original Assets (Asset Type 1) - the probate value (market value at date of death) of the asset Investments in Period (Asset Type 3) - always $0.00 Bank Accounts in Period (Asset Type 4) - always $0.00 Care and Management (Asset Type 6) WindUp User Guide Chapter 2 Getting Started 46

52 - enter the quarterly average market value of investments under administration. Original Liability (Asset Type 7) - the value of the liability at the date of death Trustee Liability (Asset Type 8) always $0.00 Entering Transactions All of the above fields contain information that is essential to either the accounting or the layout of the estate accounts. While some of these fields are optional, as a safety precaution, WindUp will not allow you to move from one asset to another unless the Type and Value fields have been completed. Once Assets have been entered, Transactions can be assigned to them. WindUp tracks transactions by the asset they are linked to. To enter transactions against an asset click on the Zoombox next to the Asset Value field. The following screen will appear. Note: The title bar of the Transaction screen displays information about the linked asset. WindUp User Guide Chapter 2 Getting Started 47

53 Entering transactions is very similar to entering assets. Each transaction is a record that is numbered sequentially. Once a new transaction is created each of the fields should be completed. Use the drop down boxes when available to obtain the appropriate value for that field. Use the following as a guide for selecting the proper values: Transaction Type Field WindUp contains different transaction types to choose from which break down into 6 major categories: Revenue Receipts Revenue Disbursements Capital Receipts Capital Disbursements Investment Receipts Investment Disbursements Transaction Type 1 - Revenue Receipt Revenue Receipts are entered using Transaction Type 1. Examples of revenue receipts include interest (GIC, Bond, bank, etc ), dividends, rental income and foreign interest and dividends. Transaction Type 2 - Revenue Disbursement Revenue Disbursements are entered using Transaction Type 2 and include such things as bank service charges, investment counsel fees, and income tax preparation fees. Transaction Type 3 Capital/Investment Receipt (total sale) Capital or investment receipts are funds resulting from the sale of assets. A Type 3 is used when the entire asset is sold. The value to input is the actual amount received from the sale of the asset. Example: Realizing an Estate Account that was in use before the date of death. WindUp User Guide Chapter 2 Getting Started 48

54 Many times, you will continue to use the bank account that was in use at the date of death as the estate account. As explained on page 23 of this manual, you will have to enter two assets: a Type 1 Original Asset for the bank account with a value of the balance at the date of death, and a Type 4 Estate Account with a 0 balance. You must then enter a transaction (Type 3) to show that the estate account now has the balance as of the date of death. Enter the following transaction: Capital Receipt (Type 3), using the value of the bank account balance at the date of death: The account will be the Estate Account. Transaction Type 4 Capital/Investment Receipt (partial sale) If only a portion of an original asset is sold enter this transaction using a type 4 (e.g. 50 shares out of a total holding of 100 shares). The value to input is the actual amount received from the sale of the asset. NOTE: If an asset has a fluctuating market value and only a portion of the asset is sold, it may be necessary to enter the book value of that portion of the asset in order for WindUp to calculate the appropriate gain or loss on the sale. To calculate book values use the following equation: Book Value = # shares/units sold total # shares/units held x $ value of holding prior to sale To enter a book value for a transaction, click on the Zoombox next to the Transaction value. Enter the book value in the Book Value field and click OK. WindUp User Guide Chapter 2 Getting Started 49

55 Transaction Type 5 - Capital Receipt (No Asset) This is a special Transaction Type created so that you can include, in your accounts, a capital receipt independent of an asset. An example of a transaction of this sort would be a refund of insurance premiums overpaid by the deceased before death. Transaction Type 6 - Capital Disbursement Capital Disbursements are entered using the Transaction Type 6 and include such items as legal fees, distributions and capital tax payments. Transaction Type 9 - Investment Disbursement (purchase) Investment Disbursements are entered using Transaction Type 9. This transaction type is used when estate money is withdrawn to purchase an investment (after date of death). Example: Entering Investment Purchases After the Date of Death Enter an Asset Type 3 with a value of $0.00, then enter the following transaction: The Transaction will show the money being withdrawn from the estate account to purchase the investment. Transaction Type 10 - Distribution to Beneficiary total asset A distribution in specie (sometimes called a distribution in kind ) is a distribution to a beneficiary of an original asset, other than cash. This type of transaction is reflected in the accounts with a Capital Receipt and Capital Disbursement, both with the same value (the value of the asset). To enter both the capital receipt and capital disbursement in one entry, use Transaction Type 10, if the entire asset is distributed. WindUp User Guide Chapter 2 Getting Started 50

56 Transaction Type 11 - Distribution to Beneficiary partial asset Use this Transaction Type if only a portion of an original asset, other than cash, is distributed. Like Transaction Type 10, this will enter both the capital receipt and capital disbursement in one entry. Transaction Type 12 - Bank Transfer When an estate holds more than one estate bank account, it is sometimes necessary to transfer funds from one account to another. Such a transaction is not required to appear in the accounts but must be entered into WindUp in order to reflect true balances in the estate accounts. To perform a bank transfer access the Transaction Form for the estate account from which the funds are being transferred. Enter the transaction using Transaction Type 12, the date and value of the transfer and, in the Account field, enter the Asset No. of the estate account the money is being transferred to. Transaction Type 13 - Recording Entry (i.e. stock split) This Transaction Type is used when a recording entry is to be shown in the Capital Receipts section of the accounts with a $0.00 value. For example, let s say a company offers a stocksplit on a shareholding owned by the estate. This split must be recorded in the accounts. To record the entry properly, insert a transaction using Transaction Type 13, enter the date and description of the split and a $0.00 value. WindUp User Guide Chapter 2 Getting Started 51

57 Account Each financial transaction entered for an asset will involve the transfer of funds. Funds are deposited to or withdrawn from a bank account. Bank accounts are set up as assets, on the Asset Screen, with an Asset Type 4 and reflect actual bank accounts held by the estate. Usually, an estate will have one estate account and, possibly, a broker account. To enter an account for a transaction, open the Account dropdown list, scroll to the appropriate account for the transaction and press ENTER. Date In this field enter the date that the transaction took place. It is a good idea to enter the date that the funds entered or left the actual bank account. This will make it easier to reconcile WindUp bank statements to the actual estate bank statements, i.e. if a cheque was written on April 9 but the money was not withdrawn from the estate account until April 27, enter April 27 as the date of the transaction. Description The Transaction Description field is where information describing a transaction is entered. This description will appear in the accounts. Value The Transaction Value field should be filled with the dollar amount of the transaction. Liabilities From time to time it may be necessary to include with a Statement of Estate Accounts, a Schedule of Liabilities. This schedule will list all pending transactions that have not yet been entered in the estate accounts. To enter a liability, simply enter the pending transaction as you would any other transaction using a Transaction Type 2 or 6 WindUp User Guide Chapter 2 Getting Started 52

58 (depending on whether the liability is of a capital or revenue nature) then click on the Zoombox next to the value field and click on the Liability checkbox. When you print a Schedule of Liabilities these transactions will be listed. Once the transaction has been confirmed, uncheck the Liability checkbox and the transaction will appear in the estate accounts. Other transactions Selling Bonds List the Revenue Receipt and Capital Receipt separately. Mutual Fund dividend reinvestments Record the Dividend Revenue and then purchase additional units. WindUp User Guide Chapter 2 Getting Started 53

59 After purchasing the additional units, change the asset description in the asset description change window accessed by selecting the zoombox to the right of the description Realize cash To realize an original asset of cash, complete a Capital Receipt transaction. Distribute in specie items To distribute an item to a beneficiary, realize the asset WindUp User Guide Chapter 2 Getting Started 54

60 then distribute the value of the item from the bank account. Partial Sale Enter a type 4 transaction and list the book value of the asset. Select the zoombox to the right of the value screen to enter the book value. WindUp User Guide Chapter 2 Getting Started 55

61 Chapter 3 Creating Documents WindUp User Guide 56

62 Creating Documents from WindUp WindUp comes complete with the document templates to complete all of the Court documents under Rules 74 and 75 of the Rules of Civil Procedure (current as of October, 2003). Templates are also included for general correspondence. List of Available Documents Letter to bank re: Payment of Funeral expenses Letter to bank re: Request bank balance Letter to bank re: Closing account with Direction from Trustee Letter to bank re: Transferring Acct to Joint Tenant Name Letter to Broker for Date of Death Values Letter to Credit Card Company Letter to Postmaster Redirecting Mail Letter to MNT Transferring Vehicle Letter to CPP Cancelling Payments Letter to OAS Cancelling Payments Letter Placing Notice to Creditor Advertisement with Notice Letter to Beneficiary Enclosing Accounts for Approval Letter to Beneficiary Advising the Intent to Apply for a Certificate of Appointment Letter to Beneficiary re: Order Resulting from Passing Receipt for Receiving Legacy Release from Beneficiary Release and Indemnity from Beneficiary Letter to Bank Letter for Transfer of Shares Authorization and Direction to deal with Solicitor Consent to Act as Estate Trustee during litigation Direction Tax Payable Application Steps for Certificate of Appointment of Estate Trustee Letter to Court Enclosing Application Letter Paying into Court Brief Report to Client Letter to Court Probate Letter to Legatee enclosing notice of Application Service of notice of Application Power of Attorney Service of Notice of Applicant PGT Service of Notice of Applicant Minor Service of Notice of Applicant Children's Lawyer Service of Notice of Applicant Adult Beneficiary Letter to Beneficiary (Blank) Letter to Trustee (Blank) Letter to Bank (Blank) WindUp User Guide Chapter 3 Creating Documents 57

63 Ontario Court Forms - Rule Notice to Estate Registrar of Deposit of Will or Codicil 74.2 Notice to Estate Registrar of Withdrawal of Will or Codicil 74.3 Request for Notice of Commencement of Proceeding 74.4 Application for Certificate of Appointment of Estate Trustee With A Will (Individual Applicant) Application for Certificate of Appointment of Estate Trustee with a Will (Individual Applicant) 74.5 Application for Certificate of Appointment of Estate Trustee With A Will (Corporate Applicant) Application for Certificate of Appointment of Estate Trustee With a Will (Corporate Applicant) 74.6 Affidavit of Service of Notice 74.7 Notice of an Application For a Certificate of Appointment of Estate Trustee With a Will 74.8 Affidavit of Execution of Will or Codicil 74.9 Affidavit Attesting to the Handwriting and Signature of a Holograph Will Affidavit of Condition of Will or Codicil Renunciation of Right to a Certificate of Appointment of Estate Trustee (or Succeeding Estate Trustee) With a Will Consent to Applicant s Appointment as Estate Trustee With a Will Certificate of Appointment of Estate Trustee With a Will Application for Certificate of Appointment of Estate Trustee Without a Will (Individual Applicant) Application for Certificate of Appointment of Estate Trustee Without a Will (Corporate Applicant) Affidavit of Service of Notice Notice of an Application for a Certificate of Appointment of Estate Trustee Without a Will Renunciation of Prior Right to a Certificate of Appointment of Estate Trustee Without a Will Consent to Applicant s Appointment as Estate Trustee Without a Will Certificate of Appointment of Estate Trustee Without a Will Application of Certificate of Appointment of Foreign Trustee WindUp User Guide Chapter 3 Creating Documents 58

64 74.21 Application for Certificate of Appointment as Succeeding Estate Trustee With a Will Consent to Applicant s Appointment as Succeeding Estate Trustee With a Will Certificate of Appointment of Succeeding Estate Trustee With a Will Application for Certificate of Appointment as Succeeding Estate Trustee Without a Will Consent to Applicant s Appointment As Succeeding Estate Trustee Without a Will Certificate of Appointment of Succeeding Estate Trustee Without a Will Application for Confirmation By Resealing of Appointment or Certificate of Ancillary Appointment of Estate Trustee Confirmation by Resealing of Appointment of Estate Trustee Certificate of Ancillary Appointment of Estate Trustee With a Will Application for Certificate of Appointment of Estate Trustee During Litigation Certificate of Appointment of Estate Trustee During Litigation Bond - Insurance or Guarantee Company Bond - Personal Sureties Registrar s Notice to Estate Trustee Named in a Deposited Will of Application for Certificate of Appointment of Estate Trustee With a Will Registrar s Notice to Estate Trustee Named in a Deposited Will of Application for Certificate of Appointment of Estate Trustee Without a Will Order to Accept or Refuse Appointment as Estate Trustee With a Will Order to Accept or Refuse Appointment as Estate Trustee Without a Will Order to Consent or Object to a Proposed Appointment of an Estate Trustee With or Without a Will Order to File a Statement of Assets of the Estate Order to Beneficiary Witness Order to Former Spouse Order to Pass Accounts Affidavit Verifying Estate Accounts Notice of Application to Pass Accounts Notice of Objection to Accounts Notice of No Objection to Accounts WindUp User Guide Chapter 3 Creating Documents 59

65 74.47 Affidavit in Support of Unopposed Judgment On Passing of Accounts Notice of Withdrawal of Objection Request for Costs Request for Costs Request for Increased Costs Judgment on Unopposed Passing of Accounts Judgment on Contested Passing of Accounts WindUp User Guide Chapter 3 Creating Documents 60

66 Court Forms - Rule Notice of Objection 75.2 Notice That Objection Has Been Filed 75.3 Notice to Objector 75.4 Notice of Appearance 75.5 Notice of Application for Directions 75.6 Notice of Motion For Directions 75.7 Statement of Claim Pursuant to Order Giving Directions 75.8 Order Giving Directions Where Pleadings Directed 75.9 Order Giving Directions Where Trial of Issues Directed Statement of Submission of Rights to the Court Notice of Settlement Rejection of Settlement Notice of Contestation Claim Against Estate FLA1 Election under the Family Law Act Alberta ACC01 Application ACC02 Affidavit ACC03 Notice of Objection or Consent ACC04 Terms of accountant's engagement ACC05.1 Accountant's engagement report ACC05.2 Accountant's engagement report ACC06 Application ACC07 Affidavit ACC08 Reply by the personal representative(s) ACC09 Affidavit of the personal representative(s) objecting to passing accounts formally ACC10 Application ACC11 Affidavit ACC12 Release ACC13 Application C01 Notice of motion C02 Affidavit C03 Caveat C03.1 WITHDRAWAL AND DISCHARGE OF CAVEAT C04 WARNING TO CAVEATOR(S) WindUp User Guide Chapter 3 Creating Documents 61

67 C05 C06 C07 C08 C09 C10 C11 C12 C13 DA01 DA02 DA03 DA04.1 DA04.2 DA05 DA06 DA07 DA08 DA09 DA10 DA11 DA12 DA13 DA14 DA15 DA16 DA17 DA18 NC01 NC02 NC03 NC04 NC05 NC06 NC07 NC08 NC09 NC10 NC11 Application by personal representative(s) Affidavit by personal representative(s) Schedule 2.1 Previous wills Notice to persons interested in the estate Notice of objection to informal grant Direction Notice of contestation Notice of claim and affidavit Application Application Affidavit Terms of accountant's engagement Accountant's engagement report Accountant's engagement report Schedule 1: Inventory of property and debts Dependent Adults Act Application Affidavit Reply by the trustee(s) Affidavit of the trustee(s) objecting to formally passing accounts filing an inventory Application Affidavit Approval of financial statements and consent to the application Application Formal passing of accounts Notice of Reference to Public Trustee Application Affidavit Application by the Public Trustee for approval of accounts as submitted Application by the personal representative(s) for a grant Affidavit by the personal representative(s) on application for a grant Schedule 1: Deceased Schedule 2: Will Schedule 3: Personal representative(s) Schedule 4: Beneficiaries Schedule 5: Inventory of property and debts Affidavit of witness to a will Affidavit of handwriting of deceased Affidavit verifying translation of non-english will AFFIDAVIT OF WITNESS TO SIGNATURE ON DEPONENT'S NAME WindUp User Guide Chapter 3 Creating Documents 62

68 NC12 Renunciation of probate NC13 Reservation of right to apply for grant of probate NC14 Renunciation of administration with will annexed NC15 Renunciation of administration NC16 Nomination and consent to appointment of personal representative NC17 Affidavit to dispense with a bond NC18 Consent to waive bond NC19 Notice to beneficiaries (residuary) NC20 Notice to beneficiaries (non residuary) NC21 Notice to Beneficiaries (intestacy) NC22 Notice to spouse of deceased Matrimonial Property Act NC23 Notice to spouse/adult interdependent partner of deceased Dependants Relief Act NC24 Notice to a dependent child of the deceased Dependants Relief Act NC24.1 Notice to the Public Trustee on Behalf NC24.2 Notice NC25 Affidavit regarding missing or unknown beneficiaries NC26 Rejection notice NC27 Affidavit of service NC28 Application by the attorney for the personal representative(s) for a grant of BOND NC29 Affidavit by the attorney for the personal representative(s) on application for a grant NC30 Application by a personal representative for a grant of double probate NC31 Affidavit by a personal representative on application for a grant of double probate NC32 Application by the personal representative(s) for a grant NC33 Affidavit by the personal representative(s) on application for a grant NC34 NOTICE TO CREDITORS AND CLAIMANTS NC34.1 Statutory Declaration of Publication NC35 Statutory declaration by creditors and claimants NC36 GRANT Probate NC37 GRANT Administration with will annexed NC38 GRANT Administration NC39 GRANT Double probate NC40 GRANT Ancillary grant of probate NC41 GRANT Ancillary grant of administration with will annexed NC42 GRANT Ancillary grant of administration WindUp User Guide Chapter 3 Creating Documents 63

69 NC43 NC44 NC45 NC46 NC47 NC48 NC49 Application for a grant of trusteeship of the estate of a minor child Affidavit on application for a grant of trusteeship of the estate of a minor child Election of a trustee by a minor NOTICE concerning the minor child Affidavit to dispense with a bond GRANT Trusteeship of the estate of the minor child CERTIFICATE OF VALID GRANT British Columbia Form 69 - Affidavit of Executor Form 70 - Affidavit of Administrator Form 71 - Affidavit of Administrator with Will Annexed Form 72 - Notice to Next of Kin Form 73 - Administration Bond Form 74 - Administration Bond on Resealing Form 75 - Caveat Form 76 - Notice to Caveator Form 77 - Citation to Accept Probate as Executor Form 78 - Answer Form 79 - Citation to Propound an Alleged Will Form 80 - Answer Form 81 - Citation to Bring in a Will Form 82 - Subpoena Form 83 - Affidavit to Lead to Resealing of Grant Form 84 - Affidavit in Support of Application to Pass Accounts Form 85 - Citation to Bring in Grant Nova Scotia Form 01 - Certificate of Status of a Grant Form 10 - Grant of Administration Will Annexed Form 10A - Grant of Administration Will Annexed Corporate Form 11 - Application for Extra-Provincial Grant of Probate Form 11A - Application for Extra-Provincial Grant of Administration Form 11B - Application for Extra-Provincial Grant of Admin. w/will Form 12 - Renunciation (Probate) Form 13 - Renunciation (Administration) Form 14 - Renunciation (Administration with the Will Annexed) Form 15 - Renunciation, Nomination and Consent to Appointment WindUp User Guide Chapter 3 Creating Documents 64

70 Form 16 - Renunciation, Nomination and Consent to Appointment w/will Form 17 - Notice of Rejection Form 18 - Security - Bond or Policy of Guarantee of Guarantee Company Form 19 - Security - Personal Bond and Affidavit of Justification Form 02 - Affidavit of Execution of Will or Codicil Form 20 - Grant of Probate Form 21 - Grant of Administration Form 22 - Grant of Administration with the Will Annexed Form 23 - Extra-Provincial Grant of Probate Form 23A - Extra-Provincial Grant of Administration Form 23B - Extra-Provincial Grant of Administration w/will Form 24 - Notice to Beneficiaries (Residuary) Form 25 - Notice to Beneficiaries (Non-Residuary) Form 26 - Notice to Heirs (Intestacy) Form 27 - Notice to Persons Who May Have Statutory Rights Form 28 - Affidavit of Service - Notice of Grant Form 29 - Inventory Form 03 - Affidavit Verifying Translation Form 30 - Notice re Filing Inventory Form 31 - Request for Advertisement Form 32 - Notice of Claim Form 33 - Notice of Contested Claim Form 34 - Affidavit - Insolvent Estate Form 35 - Order - Insolvent Estate Form 36 - Release Form 37 - Personal Representative's Affidavit - No Accounting Form 38 - Consent - Accounting Not Required Form 39 - Application to Pass Accounts by a Hearing Form 04 - Order Appointing a Guardian ad Litem Form 40 - Application to Pass Accounts Without a Hearing Form 41 - Order on Passing Accounts Form 42 - Notice of Objection to Accounts Form 43 - Affidavit of Personal Representative - Passing Accounts Form 44 - Notice of Taxation Form 45 - Notice of Application Form 46 - Affidavit Form 47 - Notice of Objection to Application Form 48 - Order to Produce a Will Form 49 - Order to Bring in Grant Where Revocation is Sought Form 05 - Affidavit of Service Form 50 - Notice of Appeal from Registrar to Judge Form 06 - Subpoena Form 07 - Reservation of Right to Apply for Grant of Probate WindUp User Guide Chapter 3 Creating Documents 65

71 Form 07A - Reservation of Right to Apply for Grant of Administration Form 07B - Apply for Grant with Will Annexed Form 08 - Application for a Grant of Probate Form 08A - Application for a Grant of Probate Corporate Form 09 - Application for a Grant of Administration Form 09A - Application for a Grant of Administration Corporate WindUp User Guide Chapter 3 Creating Documents 66

72 Creating Documents Document creation from WindUp takes place using Microsoft Word. Information entered into the database is extracted and document templates are completed. Once WindUp has completed the document, a hyperlink will be stored in the Docs tab of the Estate Matter in WindUp. To create documents from WindUp, click on the following icon on the WindUp Toolbar: The following screen will appear: Select the desired document(s) and click OK. A list of estates will appear. Choose the desired estate and click OK. The document will be created and information contained in WindUp for this estate will be inserted into the appropriate fields. Some Probate forms are available in PDF format. When Create PDF if available is checked, the document will be created in PDF if available. NOTE: Once document creation is finished the document will be in a protected state. This means that you will be able to jump from field to field using the TAB key to add or edit WindUp User Guide Chapter 3 Creating Documents 67

73 information but you will not be able to adjust the formatting of the document. Click on the Lock/Unlock button of the following toolbar to unprotect the document. Set Default Jurat It is beneficial to set your Jurat to a default value that you use most of the time. The Jurat will be used in all estates. Even though it can be changed for each estate, setting the default will save you time as you add new matters to WindUp. From File Select Maintenance and set default Jurat Text. Enter the new default Jurat and press Set Jurat. Set Jurisdiction WindUp can produce documents for many Jurisdictions. You will need to set the Jurisdiction for the documents you want to see in the document list and produce. Select File then Maintenance and Set Jurisdiction. Select the desired Jurisdiction and press OK. WindUp User Guide Chapter 3 Creating Documents 68

74 Chapter 4 Reports WindUp User Guide 69

75 Generating Estate Reports Once the assets and transactions for an estate have been entered it is time to generate the accounts for the estate. To do this you must be in the Report Screen. You can get here by choosing File, then Print Estate or by clicking on the printer icon on the toolbar. The Report screen looks like this: To generate an accounting report, select an estate, select a report and enter an end date for the accounting period. WindUp provides the option for reports to be viewed on the screen or printed. The following is a brief description of WindUp Estate Account s reports: Asset Reconciliation This report is a balance summary. It shows reconciled balances of cash investments and original assets left in the estate. Asset Transaction Report This report shows each asset along with all of its transactions including income, disbursements and realizations. This report is useful for viewing the history of an asset. Bank Statements The bank statements are WindUp Estate Account s version of the activity in the bank accounts. They are the primary reconciliation WindUp User Guide Chapter 4 Reports 70

76 document to be used for reconciling the accounts to the actual cash values in the bank. Statement of Accounts (No Compensation) This report is a statement of accounts in the required format for filing in the Ontario Court (General Division). This report also includes the Summary (see below). A Schedule of Compensation will automatically be printed with this report. This report comes in two formats; One showing the Investment Account on separtate schedules of receipts and disbursements and one showing one schedule of receipts and disbursements Summary This is a summary of the accounting of an estate showing how the estate investments and cash are represented by the capital and revenue accounts. This report forms part of the Court Report. Summary of Assets This report lists all the original assets of the estate (those given Asset Type 1) and groups them by their given Class Types. WindUp uses Probate Types, which are grouping variables used to group Class Types, to sort assets into seven different categories, e.g. Real Estate, Money on Deposit, Stocks and Bonds, etc... Each Probate Type heads a separate page with its grouped assets and their values listed underneath. The front page of this report totals the values of each separate page. PDF Report Format WindUp can produce reports in PDF format to allow for compilation of the report as well as quick and easy distribution of the reports. Select the PDF button to create the report and then choose a location and name for the PDF file. WindUp User Guide Chapter 4 Reports 71

77 Chapter 5 Special Features WindUp User Guide 72

78 On Screen Reconciliation Balancing your estate accounts is made easy with WindUp s Onscreen Bank Reconciliation tool. To access this feature, you must be in the Asset screen. Then click on the double dollar sign icon on the Asset Toolbar. You will then be prompted to select an estate account and an end date (the start date is defined by the asset date). Once you have made your selections, click OK and the following screen will appear: All of the transactions that have been assigned to the selected estate account will appear in date order on this screen. The Account Total at the bottom of the screen represents the cash balance of the estate account at the end date. The Running Sum value represents the total value of all checked transactions. Clicking on the checkbox to the right of the transaction values will change the Running Sum total. Once all the transactions have been checked both the Running Sum and the Account Total will be the same. WindUp User Guide Chapter 5 Special Features 73

79 Account Balance When no accounting information has been entered on an estate file for a long time, the first thing that is necessary is to check the bank balances. This will tell you whether your accounts balance to cash or not and give you a better idea of where to start with data entry. WindUp offers you a quick way to roll up the account balances on each estate account. Simply click on the single dollar icon on the Asset toolbar: A window will appear showing the account balances in all of the estate accounts for all transactions entered. Archive (Defining the Start Date) The Archive feature of WindUp gives you the ability to alter the start date for an accounting period. This is especially useful if you deal with Trust accounts that are periodically passed before court or if you prepare tax returns and need to filter a discreet accounting period from an estate file. When an estate file is archived the Capital, Revenue and Investment balances are calculated to the end of the period. These balances, along with any unrealized original assets and remaining investments in the period are carried forward into a new accounting period. The new accounting period has a start date of the day following the end date of the previous period. NOTE: Although it is always possible to Roll Back an archived file. it is a good idea to make a copy of the estate file before proceeding with the archive. To archive an estate file: Choose File, Maintenance from the WindUp menu bar Choose Archive Estate WindUp User Guide Chapter 5 Special Features 74

80 The following screen will appear. Select the estate file you want to archive Click on the New Archive button Enter the end date of the current period. This will be the day before the archive date. For example, if the estate year-end is December 31, 2003 and you want the new period to begin on January 1, 2004, you would enter December 31, 2003 as the end date. WindUp will then archive the estate. However, before the file is archived a diagnostic check of the file is completed. This is to ensure that the accounting for the archive period is balanced. If the accounts are not in balance the archive will not occur and you will be prompted to balance the accounts first Entering Files with Previous Accounting Periods Occasionally, you may have to enter the accounts for an existing estate, one that has capital, revenue and investment balances from a previous accounting period, into WindUp. WindUp is well equipped to deal with such files. For accounts with a previous accounting period, the remaining values for the revenue, capital, and investment accounts must be entered, along with the remaining original assets and investments. For such a file the first thing that you will need is a balanced set of accounts from the previous period. Once you have these accounts: WindUp User Guide Chapter 5 Special Features 75

81 Open a new file in WindUp Enter the Start Date of the new period in the Date of Death field on the Main Estate Screen Access the Assets Screen for the new file Enter three new assets to look like the following. Note that each of these assets is given an Asset Type 5, indicating that they are balances brought forward. For each of these new assets a transaction will have to be recorded. It is the transaction that will let WindUp know how much money is held in these accounts. These transactions must be entered with a 0.00 compensation value in order that WindUp excludes them from the compensation calculation. The transaction for the Capital Account asset will look like this: The transaction for the Revenue Account will look like this: WindUp User Guide Chapter 5 Special Features 76

82 If the Revenue account was operating in deficit at the end of the previous period, the Transaction Type would be 2 (for Revenue Disbursement) rather than 1 (for Revenue Receipt) The transaction for the Investment Account asset will look like this: Once the above three assets have been entered with their appropriate transactions, the next step is to enter any investments, bank accounts and original assets remaining at the end of the previous accounting period. Enter investments brought forward using Asset Type 2 (Investments Brought Forward), with the value of the investment at the end of the previous period. The total value of all of the investments brought forward (those Assets with an Asset Type 2), MUST equal the Transaction value for the Investment Account Brought Forward, Transaction Type 9. Enter any estate accounts remaining at the end of the previous period using an Asset Type 4 - Estate Accounts, and their actual value at the end of the previous period. Enter any original assets remaining using an Asset Type 1- Original Assets with the value they had at the date of death. When entering original assets, estate bank accounts and investments remaining from a previous period, only one entry is required. Unlike the Capital, Revenue and Investment accounts brought forward, no transaction is needed. Once all of the above entries have been made, carry on with the accounting for the present period. There are no more special considerations to be given to files with previous accounting periods. WindUp User Guide Chapter 5 Special Features 77

83 Compensation You can set the rate of compensation across the entire estate or individually per transaction. Go to File then Maintenance and choose Compensation to change the rate across a whole estate (the default rate for new estates is 2.50%). Calculators To change the compensation rate per transaction, go to the transaction screen and change the compensation rate for the transaction record. There are three calculators in WindUp on the standard toolbar: WindUp User Guide Chapter 5 Special Features 78

84 Interest Calculator Use the Interest Calculator to calculate the capital and revenue portions of accrued interest up to the date of death. WindUp User Guide Chapter 5 Special Features 79

85 Calculator Use the Calculator to make basic calculations, and display the results in a tape format. Foreign Tax Calculator Use the Foreign Tax Calculator to calculate Non-Resident Tax owing on earnings from foreign sources. Copy Estate to / from Disk WindUp can send a specific estate to a file to send it to another branch office within the firm or to and from another firm. Select File and Maitenance and then Copy to Disk. Select the estate and choose Copy Estate to Disk. Save and name the file. To import an estate into WindUp, select File, Maitenance and Copy Estate from Disk. Select the file and choose OK. WindUp User Guide Chapter 5 Special Features 80

86 Quick Entry Quick Entry is designed to speed up similar entries that are made in an estate. There may be a Bond that pays Interest on a monthly basis. Create a quick entry to simplify the entry of this data.. Open one of the slips, such as Deposit/Sale. Enter the name that you want to use to select this entry. In this case, Interest Payment has been selected. WindUp will ask you if you want to create this quick entry. Select Yes. Enter the rest of the information and select Update Quick Entry. When you need to record an interest payment, just select the Deposit/Sale slip and select Interest Payment, or select Interest Payment from the quick entry window on the main screen. You can update a quick entry by select it, making the necessary changes and clicking the Update Quick Entry Button. WindUp User Guide Chapter 5 Special Features 81

87 Once a quick entry has been created, it can be managed from the Maitenance section. Select File > Maitenance > Edit Quick Entries. Select the desired estate. Changes can be made to the entry, or it can be deleted. There is also a print button to print a list of quick entries. Printing is only possible to the printer. Trust Units Trust Units are a unique asset where income is receipted throughout the year as Revenue, but at the end of the year, the actual breakup between Capital and Revenue is reported. The Update Trust Units feature allows for easy recording of the different capital and revenue adjustments at the end of the Period. WindUp User Guide Chapter 5 Special Features 82

88 Select Update Trust Units under the Advanced Label. When the form appears, select the trust unit asset and then the Revenue Receipts to be adjusted. Enter the Date of the Adjustment and then the Interest Revenue, Dividends Revenue, Capital Gains, Return of Capital and the Net Foreign Income. WindUp will complete a Revenue Disbursement to remove the value from the Revenue Account that has accumulated throughout the period. It will then complete the necessary Revenue and Capital Receipts to correctly record the income of the trust unit. Cheque History Cheques written in WindUp can use names listed in the Beneficiary section, or names can be entered directly onto the cheque. Once a name has been entered, it is saved with the estate and can be selected again. If there is a need to delete or change an entered name, select File > Maintenance and Edit Cheque History. Select the appropriate estate and then change or delete the entry. Transaction Screen Options Transaction Screens can be sorted and remembered by setting these options in File > Maintenance and Set Transaction Screen Options. Sort from the top or bottom of the list by Number, Date or Amount. WindUp User Guide Chapter 5 Special Features 83

89 Chapter 6 Quick Start WindUp User Guide Chapter 6 Quick Start 84

90 This document should only be used in concert with advice from an Estate Accounting authority. Emergent Technologies will not be held liable for the use or misuse of the information contained in this document, without limitation. Enter Bank Accounts Even though WindUp supports a variety of data entry methods, new users or users wishing to follow a consistent data entry process may choose to follow these steps. Note: You may want to create a holding account to process transactions from dividend reinvestments or roll - overs. Enter all Bank accounts that the estate had open at the date of death. If you plan to open a new account to manager the estate, enter it at this point. Broker accounts can also be added at this point. Additional accounts can be added at any time in the future. However, they must be created before transactions can be processed through them. Type 4 Estate Account Class E Bank Account Date Date of death or date account was opened if opened after date of death. Description Bank name, Account number, Transit Number, Bank Address if desired. Value - $0.00 Enter Original Assets At this point, Bank Accounts are only being opened in WindUp, deposits will be made later on. Original assets are assets owned by the estate at date of death and include stocks, bonds, cars, etc. They also include cash in bank accounts at date of death. Type 1 Original Asset Class Enter a class that most closely groups the asset Date Date of Death Value - The Date of Death Value of the asset WindUp User Guide Chapter 6 Quick Start 85

91 Enter Original Liabilities Once you have entered all of your original assets, print the unrealized original assets report. Set the end date to one day after the death date. Compare this report with the information you have. It should be identical. NOTE: Bank Accounts are listed in the description field. They define where the cash is. However, they do not function as bank accounts. They represent the original asset of cash. Not all estates have amounts owing at the date of death. If there are no Original Liabilities do not complete this step. Type 7 Original Liabilities Class CL Commercial Credit Liabilities, NL Contingent Liabilities, SL Secured Liabilities, UL Unsecured Liabilities Date Date of Death Value Value of liability at date of death Once you have entered all of your original liabilities, print the unrealized original liabilities report. Set the end date to the day after the death date. Compare this report with the information you have. It should be identical. Begin Realizing Original assets Transaction Type 1,1a,1b, 1c,1d, 3 or 4 Account The bank account where the proceeds of the transaction will be deposited. Date Date of transaction Description Description of transaction Amount Value of transaction Most common asset transactions follow one of these steps WindUp User Guide Chapter 6 Quick Start 86

92 Money Instruments such as bonds Transaction 1a to receipt the interest Transaction 3 to sell the asset Investments such as stocks Transaction 3 for the full amount. There are no capital gains on original assets. You do not need to realize all original assets before proceeding. In fact, some original assets may not be sold for some time. Cash Transaction 3 for exact amount of asset. Realize this original asset of cash into the identical type 4 bank account if this is cash in a bank account and there are transactions after the date of death. Making Investments If the estate does not wind up immediately, Investments will need to be made. All investments are made by setting up an asset then recording transactions to purchase them. WindUp User Guide Chapter 6 Quick Start 87