freedomatlast
Thinks s/he gets paid by the post
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How many here who have settled an estate took an executor's or administrator's fee?
Administrators or Executors Fee When Settling Estate
- Thread starter freedomatlast
- Start date
When executor for my Mom, didn't specifically take a fee. However, she had named me beneficiary on a small life insurance policy left from her former employer. Effectively, that policy I considered an executor fee, worked out to be about 1.2%
When she passed away, she also knew that my sister had terminal cancer.
When executor for my sister's estate, no fees taken, even though I'm the trustee of her 10 year trust.
Being semi-retired, had the time and talent to handle both estates somewhat simultaneously.
In both cases, I was the primary "doer" only using a lawyer for advice and transfer of real estate billed on an hourly basis. Each was settled for about $1,000 in legal fees.
When she passed away, she also knew that my sister had terminal cancer.
When executor for my sister's estate, no fees taken, even though I'm the trustee of her 10 year trust.
Being semi-retired, had the time and talent to handle both estates somewhat simultaneously.
In both cases, I was the primary "doer" only using a lawyer for advice and transfer of real estate billed on an hourly basis. Each was settled for about $1,000 in legal fees.
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So far one will, one estate and one trust (ongoing), no fees.
Meadbh
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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I was coexecutor of my mother's estate and since I was also her sole heir it would have been pointless to take an executor's fee. One situation where it might make sense would be if the executor's fee reduced the residual value of the estate or a legacy below a tax threshold.
harley
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Same here. Main heir and executor. It wouldn't make sense to take a fee.
However, if this was a significant estate and there were other heirs and I was the executor, I'd probably take a fee. I'm just starting the process, but it looks to be a PITA, even with a small and simple estate. Something bigger and needing to deal with other people would make a job, not an adventure.
Having said that, if it was just a split between family members, a fee might be more trouble than it would be worth. I might meet with everyone and try to come up with an acceptable fee, or maybe portion out some of the work to make it more equitable.
However, if this was a significant estate and there were other heirs and I was the executor, I'd probably take a fee. I'm just starting the process, but it looks to be a PITA, even with a small and simple estate. Something bigger and needing to deal with other people would make a job, not an adventure.
Having said that, if it was just a split between family members, a fee might be more trouble than it would be worth. I might meet with everyone and try to come up with an acceptable fee, or maybe portion out some of the work to make it more equitable.
Rustic23
Thinks s/he gets paid by the post
Executor of my brother's estate. I took no fee.
No will, and it required sale of real estate. It took about a year. His tax records were also a mess. However, the estate went to other brothers, sisters, nieces and nephews.
No will, and it required sale of real estate. It took about a year. His tax records were also a mess. However, the estate went to other brothers, sisters, nieces and nephews.
38Chevy454
Thinks s/he gets paid by the post
I am executor of my parent's estate, and took no fees for the role. It was pretty easy with trust set up by parents and equal 1/3 to each of three children.
If you are an executor for a friend or relative and have no stake in the proceeds (not a beneficiary), then I do feel it is right to give yourself some pay for your time, if you want to.
If you are an executor for a friend or relative and have no stake in the proceeds (not a beneficiary), then I do feel it is right to give yourself some pay for your time, if you want to.
My sister is the family stuckee - she has been executor for dad and brother. She took no fee, but did pass through expenses related to tax prep and legal advice.
My husband is currently co-executor of his dad's estate, he is not charging. Again, an attorney is involved (to handle settling of a group owned property that has an outdated title - a big mess) - those legal fees are being charged to the estate.
In a similar situation - he is his mother's legal guardian. He is reimbursed for actual expenses (postage, notaries, etc.) but does not charge for his time handling her financial and legal affairs. He did arrange with the court to give a monthly stipend to his sister, who's local to his mom, since she does all the "on the ground" day in, day out, handling of his mother.
My husband is currently co-executor of his dad's estate, he is not charging. Again, an attorney is involved (to handle settling of a group owned property that has an outdated title - a big mess) - those legal fees are being charged to the estate.
In a similar situation - he is his mother's legal guardian. He is reimbursed for actual expenses (postage, notaries, etc.) but does not charge for his time handling her financial and legal affairs. He did arrange with the court to give a monthly stipend to his sister, who's local to his mom, since she does all the "on the ground" day in, day out, handling of his mother.
No fee when I handled my mother's estate but the will specified no fee anyway. Since I was an heir anyway the thought simply never occurred to me.
powerplay
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I took a trustee fee last year for the trust I manage from my uncle's estate. It was 1.5% of the amount in the trust and was the advice from the attorney. I did not take a fee for any of the 5 years I have managed the trust and had to clean out and sell the house. Last year my aunt passed which triggers distributing the trust assets I thought it would all be wrapped up after the 2013 taxes were filed, then EJ sent a corrected tax statement. Amended tax returns had to be filed. Now I don't know what to expect and if there are more surprises out there so will hold off at least into 2015 before paying out the remainder of the trust to the beneficiaries.
Asher Aion
Recycles dryer sheets
Handled MIL estate, some real estate and investments. No fee was discussed, but did charge expenses to the estate. MIL's account manager at her bank was actually quite helpful. Asked for some advice from our lawyer once. Process took two years due to time of her passing (tax time) but I was in no hurry to speed it along because of some of my inlaws. It does require some legwork to complete.
meierlde
Thinks s/he gets paid by the post
I again took no fee for administering my parents estates, but of course did pass the fees and costs properly charged to the estate to it. Note that does include electric telephone and the like on a residence until sold or transfered. (Did not take mileage charge on a 500 mile round trip 2 times a month to check on the house either, although I suspect I could have). I did the lawn maintenance but the attorney told me I could have had the estate pay to have it done.
Note that Turbotax business will do form 1041s so I used it for the estate returns, had the first one checked by the attorney and did the others myself (since there was an annunity that could not be directly distributed)
Note that Turbotax business will do form 1041s so I used it for the estate returns, had the first one checked by the attorney and did the others myself (since there was an annunity that could not be directly distributed)
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yakers
Thinks s/he gets paid by the post
So far, grand parents, parents, uncles & aunts have all had their estates settled by family members without executor fees.
harley
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
What's an electric telephone?
meierlde
Thinks s/he gets paid by the post
That is electric and telephone i.e. utilities.
Dog
Full time employment: Posting here.
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I'm currently administering my Mom's Will through probate and tracking hours just in case I decide to collect a fee. It is taking a lot of time and is quite stressful ( emotional). I'll wait until it is finalized and decide at that time. Family is fine with it - they are happy they don't have to deal with it.
Sent from my iPhone using Early Retirement Forum
Sent from my iPhone using Early Retirement Forum
pb4uski
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I am a co-trustee for my Dad's living trust and manage the trust's investments, prepare trust tax returns, etc. No fee for those.
I was my grandmother's guardian and later executor of her small estate and my mom, aunts and uncle insisted that I take a fee (I intended to do it for free so it was more like a gift from them to me).
I was also my great aunt's guardian and later executor of her estate and my aunt insisted that I take a fee and I was comfortable with it since I was not an heir in great aunt's will and her heirs generally sat on their hands and did nothing in her waning years, plus it was a very time consuming "job".
I was my grandmother's guardian and later executor of her small estate and my mom, aunts and uncle insisted that I take a fee (I intended to do it for free so it was more like a gift from them to me).
I was also my great aunt's guardian and later executor of her estate and my aunt insisted that I take a fee and I was comfortable with it since I was not an heir in great aunt's will and her heirs generally sat on their hands and did nothing in her waning years, plus it was a very time consuming "job".
