Executor of Estate – Review
When you choose an executor for your will, you need to select someone who is not connected with the family in any way, rather than with an eye on the estate executor fee. It is important to note that by going in for a person who is not related in any way to your family, you are keeping the best interests of your family in mind.riddle and butts
On the other hand, by selecting a person related to the family to keep the executor fee structure low, you will tend to do the utmost harm to the interests of your family. This is because a relative is bound to be influenced by his relation with the family and will tend to have a conflict of interests. Due to this, he may not therefore be in a position to do full justice to the responsibility that the role of executor of the will requires of him.
It is always better in the long run to choose a completely independent executor of will. For, he will then be in a position to resolve the conflicts of interests of various different beneficiaries of the will in a manner that is completely unbiased towards any one of them. This especially may occur when the estate is a large one.
Another important aspect connected to the selection of a completely independent executor of the will is related to the fees that you need to pay to him for discharging his responsibility with complete devotion. This means that you need to pay him the maximum possible fee that is admissible as per law and the courts. This is important because you need to understand that the responsibility of an executor of the will is a difficult one even with the high fee structure.
Most individuals would not be prepared to take up the responsibility even with the high fees that they get. The job and life of an executor is the hardest in the first few weeks. It may continue to be a difficult for even the next few months. Normally, the maximum expected tenure of an executor of the will is about three years.
Gift and estate taxation aspects take up the maximum time in the tenure. Moreover, in case if the taxes are not paid in time, the laws put the penalty directly on the executor of the will. Therefore paying the executor the maximum admissible fess as per law is fully justified.
As per the courts and the laws, the maximum admissible fees payable to an executor of a will ranges between 2% to 4% of the total value of the net estate assets covered under the will. For large estates, the lower figure is admissible, whereas for smaller estates, the higher figure is admissible.
So, all in all, an estate owner who draws up a will must never shy away from paying the maximum admissible estate executor fees to the person on whom such a heavy responsibility is placed upon.