Does an Executor Get Paid?
A lot of estate planning relates to money. Money is an asset that can be bequeathed, donated, or placed in a trust. Beneficiaries receive payment, in a manner of speaking. But what about executors?
When choosing an executor, you must ask yourself some variation of these questions: Whom do I trust absolutely? Who is the best person to handle all the affairs associated with my estate and my assets in a responsible, honest, fair, and legal way? You might ask other questions as well. You might consider choosing a person you are sure would take on the task of executor out of love, loyalty, or friendship. Or you might think of someone with a sense of duty, honor, or responsibility. These are, of course, all extremely important criteria when considering the best candidate for the role of executor.
Now here is some information that some may find surprising. For an estate that is probated, the executor, administrator, or personal representative (another legal term for this person) is entitled to payment from the estate. The person whose will/estate is being probated might decide on the fee. They may even include a specific payment amount in their will. Sometimes the beneficiaries of the estate decide on the fee while the estate is open, and the court is involved. State law also has something to say about the fee, in some instances. Here in California, an executor is paid a fee based on set percentages of the total value of the estate in question.
If you are ready to begin, or update, a personal estate plan that includes a will, or you would like to talk further about designating an executor, I am available to help with these matters. Or if you need help probating an estate of a loved one, I can help as well. Please bring me any questions or concerns and we can work together to resolve them, along with creating a plan that meets your particular needs. Please contact us at your convenience, at 818.956.9200.
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