does the personal representative of an estate get to determine how much lawyer is paid

Sometimes the estate beneficiaries and the personal representative will reach a mutual agreement as to how much and when the personal representative will be paid, regardless of what the will says or what state law provides. This can occur early on in the probate process or toward the end, when the estate is getting ready to close.

Full Answer

When does the personal representative of an estate get paid?

Sometimes the estate beneficiaries and the personal representative will reach a mutual agreement as to how much and when the personal representative will be paid, regardless of what the will says or what state law provides. This can occur early on in the probate process or toward the end when the estate is getting ready to close.

Can a lawyer charge a percentage of an estate?

When Probate Attorneys Charge a Percentage of the Estate In a few states (such as California and Florida), attorneys are allowed to charge a percentage of the estate’s value as the fee for handling probate. In our survey, only 8% of readers who paid a lawyer for help said the estate they were handling paid a percentage-based attorney’s fee.

How much does a personal representative get paid?

It can be tough to determine exactly how much a personal representative will be paid without knowing the details of the estate. As a “lay” representative, meaning someone who is not a professional, a common range of payment is between $15 to $50 per hour.

What is a personal representative in probate?

One of these is your personal representative, the individual who will be responsible for settling your estate and guiding it through probate. A personal representative is sometimes referred to as an " executor ."

Does the Personal Representative of an Estate Need a Probate Lawyer?

Michigan law imposes substantial fiduciary duties on a person appointed by the probate court to serve as the personal representative of an estate. The laws and procedural rules that apply to probate and estate administration are complex and detailed.

How Much Do Michigan Probate Lawyers Cost?

In some states, probate attorneys determine their charges based on a percentage of the assets in the estate. However, Rule 1.5 of the Michigan Professional Rules of Conduct does not permit a lawyer to charge based on the value of the assets in the estate.

Talk With Our Michigan Probate Attorneys

Our lawyers at BRMM have many years of experience assisting clients with probate administration. If you are named as the personal representative of a decedent’s estate and require assistance with estate administration and probate, we can assist throughout the entire process to ensure that all Michigan legal requirements are met.

How to ensure a personal representative is paid?

Perhaps the simplest way to ensure a personal representative is paid is by naming him in the will, along with a dollar amount. Regardless of how much work the representative does, the amount named in the will is the compensation that he will receive.

How much does a lay representative make?

As a “lay” representative, meaning someone who is not a professional, a common range of payment is between $15 to $50 per hour. If the personal representative has a full-time job, the court may use how much he earns as a guideline to how much should be awarded.

What to do if you have been named as a personal representative?

If you’ve been named as a personal representative and aren’t sure what your next steps should be, an estate planning and probate attorney can help you determine exactly what you need to do in order to close the estate.

What happens if a representative is not named in a will?

If the representative is not named in the will, or if he renounces the compensation stated in the will, the Revised Code of Washington allows for the representative to be compensated in a way that is “just and reasonable.”.

Can an estate be missed out on compensation?

By choosing this method, however, there are potential tax benefits to the estate for paying compensation that can be missed out on, especially if the estate is larger. Note that if the beneficiaries of the estate are unhappy with the amount of compensation paid to a representative, they may file an objection with the court.

Can a personal representative be paid in Washington?

The issue of compensation for the personal representative of an estate can be tricky in the state of Washington. Yes, personal representatives can be paid for their time. Unlike other states such as California, there is no specific formula or chart embedded in the Washington state code that regulates personal representatives.

Can a personal representative receive compensation for his time and effort in administering the estate of the deceased?

There are multiple ways that a personal representative can receive compensation for his time and effort in administering the estate of the deceased. Each has advantages and disadvantages that may be worth considering, both during estate planning and by the representative when called upon. These methods are:

What is a personal representative?

A personal representative is sometimes referred to as an " executor .". The term "administrator" is also used in some states. An administrator commonly settles intestate estates—those where the decedent died without leaving a valid last will and testament.

What expenses do executors have to pay?

Paying Ongoing Expenses. Your executor or personal representative must also pay the ongoing expenses of administering your estate. This can include court fees, appraisal fees, and compensation to the executor, attorneys, or accountants. 6 .

What is gross taxable estate?

Your gross taxable estate is the total value of all you own: both probate assets and property that passes directly to a living beneficiary. The estate tax exemption is subtracted from this total value and the tax is due on the balance. Only estates with values of more than $11.58 million are subject to the federal estate tax on ...

How to avoid having the court appoint an administrator?

Otherwise, you can avoid having the court appoint an administrator by also naming one or more backups in case your first choice isn't available, referred to as "successor" executors or personal representatives. 2 . Check with your first choice and your backups to make sure they're all willing to take on the responsibility of settling your estate.

How much estate tax is due in 2020?

Only estates with values of more than $11.58 million are subject to the federal estate tax on the balance over this amount as of 2020. Some states also impose an estate tax, however, and some have much lower exemption thresholds. The federal exemption is indexed for inflation, so it can increase annually. 3 .

Who distributes the estate to the beneficiaries?

Finally, your executor will distribute the balance of your estate to your beneficiaries. This typically requires filing one or more documents with the probate court first, including a list of the estate's probate assets and their values, as well as an accounting of all debts, taxes, and expenses paid.

Is being a personal representative a responsibility?

Serving as a personal representative can be a huge responsibility, and it's often a time-consuming burden. You should be able to choose the right person or institution for the job with the help of your estate planning attorney.

Total Fees Charged by Estate Administration Lawyers

In our survey, more than a third of readers (34%) said that their lawyers received less than $2,500 in total for helping with estate administration. Total fees were between $2,500 and $5,000 for 20% of readers, while slightly more (23%) reported fees between $5,000 and $10,000.

How Lawyers Charge for Probate and Other Estate Administration Work

The total fees that estates paid for legal services were based on one of three types of fee arrangements charged by attorneys for probate and other estate administration work: hourly fees, flat fees, and fees based on a percentage of the estate’s value.

Free Consultation With Probate Lawyers

More than half (58%) of the probate attorneys in our national study reported that they offered free consultations. The typical time for these initial meetings was 30 minutes, though the overall average was higher (38 minutes).

How much does a probate attorney cost in Washington?

In Washington, probate attorney fees usually range between $150 to $300 per hour. If you have a straightforward probate, then you can expect to pay around $2500 for the entire process, which is usually over within 8 months to a year. However, there may be additional fees that need to be paid.

What is flat fee probate?

Flat Fees. Flat fees are fixed charges for specific tasks. It’s not uncommon for probate attorneys in Washington to negotiate a flat fee for things like filing documents. It’s also a good way for them to charge for the entire process without having to track everything they do down to the minute.

Who requests reimbursement of a creditor?

When this happens, reimbursement is handled through courts, and it has to be requested by the executor or administrator . A creditor claim must be filed by the appropriate parties to the estate and probate court to get compensation. These forms have to include detailed invoices and receipts to get adequately reimbursed.

Can you get reimbursement after probate?

In most situations, you’re better served by contacting a probate attorney to provide assistance. They won’t require payment upfront and can help protect your interests through the entire probate process.

Can you get a lawyer's fee if you win a probate case?

Legal fees can be awarded by the court if you win, but you might not get any reimbursement if you lose the contest. Until the case is resolved, you might not always know who pays proba te attorney fees. In some cases, there is a 2 percent fee owed to the person who is managing the estate, but this is usually waived.

Do you have to pay for legal representation in Washington?

Fortunately, you don’t have to pay for legal representation out of pocket, and nothing is due to initiate the process. Washington’s probate statute instructs attorneys to charge reasonable prices when negotiating a flat or hourly fee. You have three payment options, depending on the attorney you choose:

Does Washington state require attorneys to accept estate taxes?

Depending on the estate’s value and the type of property included in it, these fees can get pretty steep. Still, states cannot legally require attorneys to accept these fees.

Christine Marie Heckler

Previous answer regarding "reasonableness" of fees is good answer. You should also be entitled to reimbursement for "necessary" expenses incurred during the administration.

Benjamin Thomas Vader

I agree with the other two responses. You are entitled to a "reasonable" compensation. What is reasonable is what the judge decides is reasonable under the circumstances of your case.

James P. Frederick

Somethin's happenin' here, what it is ain't exactly clear... "The judge transferred deeds to real estate" Huh? How'd that happen? "I filed a motion and the judge denied it, seeing no problem that the personal rep was barred from estate assets." That doan make...

David L. Carrier

It must be "reasonable." You may be an accountant and an attorney, but bear in mind the worf "reasonable" and that can vary for jurisdicttion to jurisdiction. Check with probate lawyers and you'll have a better idea as to what "will fly". Be sure to brush up on the probate judge---do your research to get a better outcome.