Indiana Law Blog
Introduction
When a court appoints you as a guardian, the responsibility doesn’t end with the initial appointment.
In Indiana — and in most states — guardians must file annual or biennial reports that update the court on the ward’s well-being and finances. These reports are essential: they ensure transparency, protect the ward, and demonstrate to the court (and other interested people) that you are fulfilling your duties. Missing deadlines or filing incomplete reports can lead to penalties, potential liability, or even removal as guardian. Here’s what you need to know to stay on top of your annual reporting obligations.
Why Annual Reports Matter
Annual reports serve two main purposes:
- Accountability: They show the court that the ward’s money and assets are being used appropriately with the principal purpose of caring for the ward.
- Well-being: They provide information on the ward’s health, living situation, and overall care.
The court views these reports as a safeguard, helping protect vulnerable individuals and ensuring guardians act responsibly.
What’s Included in an Annual Report
While requirements can vary by county and state, most annual reports ask for the following:
- Personal Care Update
- The ward’s current residence.
- Physical and mental health status.
- Services received (medical care, counseling, therapy).
- Changes in daily activities or support needs.
- Financial Information
- Beginning and ending account balances.
- Income received (Social Security, wages, pensions).
- Expenses paid for the ward’s care, housing, and needs.
- Significant financial transactions (buying, selling, or transferring assets).
- Future Needs
- Anticipated changes in care or living arrangements.
- Any requests for new authority from the court.
Tips for Staying Compliant
1. Stay Organized Year-Round
Don’t wait until the report is due. Keep a dedicated file (paper or digital) with receipts, bank statements, medical records, and notes about the ward’s care.
2. Use Separate Accounts
Maintain a separate bank account for the ward’s funds. This makes it easy to track income and expenses and prevents accidental commingling.
3. Mark Your Calendar
Most reports are due annually on the anniversary of your appointment. Put reminders in your calendar 60 and 30 days ahead of the due date.
4. Ask for Help if Needed
Courts often provide templates for reports, and local guardianship associations or attorneys can assist if the forms are confusing.
5. File Early
Don’t risk missing the deadline. Submitting your report ahead of time shows diligence and prevents last-minute stress.
5. Consult Experts
If you need help, Ask! If you do not know how to keep books, ask a bookkeeper. If you do not know how to invest, ask an investment consultant. Start with an expert, and you’ll save time and show the court that you are taking the wards interests seriously.
Consequences of Missing or Inaccurate Reports
Failing to file annual reports — or filing incomplete ones — can have serious consequences:
- Court orders to appear and explain the delay.
- Additional audits of your management.
- Possible removal as guardian.
- In extreme cases, personal liability for mismanaged funds.
Conclusion
Annual reporting may feel like another piece of paperwork, but it is central to the guardianship process. These reports protect the ward, build trust with the court, and help you stay organized as a guardian. By keeping thorough records and staying proactive, you can make the process straightforward and stress-free.
If you’ve been appointed as a guardian and are unsure about the reporting process, the attorneys at Harshman Ponist Smith & Rayl, LLC can walk you through each step and ensure you remain in compliance.