When a guardian of property in Maryland is appointed to manage the property of an incapacitated person, he or she is required to file an accounting each year. There is information available about the types of property that must be included in the accounting.
The guardian of property must account for the incapacitated person’s real estate, cash, personal property, stocks, bonds and other property.
The accounting must include information about the location of the incapacitated person’s real property, the balance of mortgages or other liens on the property and the name of the lender. It must also list the names of all financial institutions where the incapacitated person’s money is held, along with the account numbers and account types.
The guardian is also responsible for itemizing any personal property valued over $1500.
Income and assets
The guardian must account for any income the incapacitated person received with documentation such as bank statements. This may include earnings, pensions, retirement benefits, social security benefits and account interest.
Also, any disbursements made or expenses paid on behalf of the incapacitated person must also be included. These must be demonstrated with receipts, invoices or other similar documentation.
Guardianship assets are required to be held and managed as separate property. The assets cannot be co-mingled with the guardian’s own accounts. Also, the guardian should not make disbursements in cash whenever possible in order to maintain accurate accounting records.
If the incapacitated person passes away or the guardianship otherwise ends, the guardian is required to notify the court within 45 days, file a report and account for distribution of any remaining assets. An experienced attorney can answer questions about guardianships and provide advice.