FAIS Network > Payroll Services > Final Payment to Deceased Employees

Final Payment to Deceased Employees

  • Notify HRS (335-4521) or hrs@wsu.eduwhen an employee dies. Department personnel should prepare a termination business process and submit time reports or leave reports to HRS as soon as possible so final payment can be calculated. If deceased employee is paid hourly, make sure all time is submitted and approves in Workday.
  • Payroll Services will stop the deceased employee’s direct deposit and hold the final payment until legal documents are received. Payroll estimates final payment in order to provide advice, along with HRS, as to which legal documents are required.
  • Payroll will need a copy of the certified death certificate prior to final payment being made.
  • The recipient of the final payment may be required to prove relationship to the deceased employee per RCW 49.48.120(4).
  • Final payment is dependent upon the receipt of the proper legal documents such as:
    1. Copy of a court order appointing a personal representative, executor or administrator OR
    2. A copy of signed community property agreement and affidavit OR
    3. A claim of Indebtedness of the State of Washington is presented by the surviving spouse, or if no spouse, child or children, if no children, surviving parents. See OFM link for further explanation of this option. Payments cannot exceed $13,000. OR
    4. An affidavit for personal property for estates under $100,000 per RCW 11.62.020 is presented.
  • Recipient of final payment must complete IRS Form W-9 “Request for Taxpayer Identification Number and Certification”
  • Recipient of final payment must acknowledge receipt of payment.
  • State agencies are not to use wills as a basis for distribution of amounts owed to a deceased employee. WSU is not authorized to determine the legality of any will document that is provided.
  • Link to OFM Deceased Employees Procedures for more information on this subject.


DOCUMENTS REQUIRED BEFORE PAYMENT IS MADE:

*For questions regarding required documentation, please reach out to HRS.

If an executor, administrator, or personal representative for the estate of the deceased has been appointed by a court, all amounts owed are payable to the personal representative.

Personal Representatives may also be referred to as executors or administrators.

Documents required:

  1. A copy of the deceased employee’s certified death certificated, or a certified copy of a certificated of presumed death.
  2. Copy if the court ordered appointing the personal representative.
  3. An IRS Form W-9 providing either the estate’s Taxpayer Identification Number (TIN) or the individual’s social security number (SSN)

Note: A Claim of Indebtedness form should not be completed by an executor, administrator, or personal representative.

If the court has not appointed an executor, administrator, or personal representative, then a surviving spouse or domestic partner registered in the state of Washington may seek payment under one of the following two scenarios.

Note: The state cannot use the beneficiary designations in deceased employee’s wills, state insurance, or state retirement to process disbursements.

1: If there is a community property agreement between the deceased and the surviving spouse or domestic partner registered in the state of Washington, then the agency shall process the total of the deceased’s pay or that portion governed by the community property agreement to the surviving spouse or domestic partner registered in the state of Washington

Documents required:

  1. A copy of the deceased employee’s certified death certificate, or a certified copy of a certificate of presumed death
  2. Copy of the community property agreement between the deceased employee and his or her surviving spouse or domestic partner registered in the state of Washington
  3. Certified copy of the marriage license or Certificate of State Registered Domestic Partnership.
  4. Complete Claim for Indebtedness of state of Washington to Deceased Employees. Either the affidavit or declaration form is acceptable.
  5. An IRS Form W-9 providing either the estate’s Taxpayer Identification Number (TIN) or the individual’s social security number (SSN)

2: If no community property agreement exists, then the agency may process the payment once the surviving spouse or domestic partner registered in the state of Washington has completed a Claim for Indebtedness form.

Documents required:

  1. A copy of the deceased employee’s certified death certificate, or a certified copy of a certificate of presumed death
  2. Certified copy of the marriage license or Certificate of State Registered Domestic Partnership.
  3. Complete Claim for Indebtedness of state of Washington to Deceased Employees. Either the affidavit or declaration form is acceptable.
  4. An IRS Form W-9 providing either the estate’s Taxpayer Identification Number (TIN) or the individual’s social security number (SSN)

The agency may pay the amount owed to the deceased employee to the surviving child or children, or if there are no children, then to the surviving parent or parents of the deceased employee under the following circumstances:

  1. No executor, administrator, or personal representative of the estate has been appointed.
  2. The claimant has completed a Claim for Indebtedness form.

Amounts owed to surviving children who are minors and not emancipated pursuant to chapter 13.64 RCW can only be paid to a legal guardian on the child’s behalf. The legal guardian must also complete the Claim for Indebtedness form on behalf of the surviving child or children.

Note: The state cannot use the beneficiary designations in deceased employee’s wills, state insurance, or state retirement to process disbursements.

Documents required:

  1. A copy of the deceased employee’s certified death certificate, or a certified copy of a certificate of presumed death
  2. Complete Claim for Indebtedness of state of Washington to Deceased Employees. Either the affidavit or declaration form is acceptable.
  3. Proof of legal guardianship, if minor children are claimants
  4. An IRS form W-9 providing either the estate’s Taxpayer Identification Number (TIN) or the individual’s social security number (SSN)

For estates valued at $100,000 or less, chapter 11.62 RCW allows an estate to be distributed upon the presentation of an affidavit. If the agency is presented with an affidavit meeting all the requirements of RCW 11.62.020, it shall pay the total amount owed the deceased to the successor who has completed the affidavit. See SAAM 25.70.30 for the specific requirements of the affidavit. The applicable statutes are attached.

Note: The state cannot use the beneficiary designations in deceased employee’s wills, state insurance, or state retirement to process disbursements.

Documents required:

  1. A copy of the deceased employee’s certified death certificate, or a certified copy of a certificate of presumed death
  2. Original Affidavit (as relates to RCW 11.62.010-.020).
    1. An Affidavit of Successor form is available on OFM’s Payroll Resource site: http://www.ofm.wa.gov/resources/payroll.asp
  3. An IRS Form W-9 providing either the estate’s Taxpayer Identification Number (TIN) or the individual’s social security number (SSN)

FORMS FOR DOWNLOADING