How much does an Executor or Administrator get paid?

Executors and Administrators in New York are compensated by commissions (fees) set by statute. You may use our Executor commission calculator to estimate the fees you may be entitled to. Before you do, carefully review the summary of compensation rules provided below. Additionally, it is important to consult with an attorney and possibly an accountant before taking any commission as an executor or administrator.

What are the rules for calculating commissions on New York estates?

The rules regarding executor fees are somewhat complex and are presented here in a simplified manner. Generally, fees are calculated on the combined value of the assets of the estate plus income. However, some assets are usually excluded from the calculation of commissions. For example: All assets passing outside of the estate. For example - accounts or policies payable to named beneficiaries, “in trust for” accounts, joint assets with rights of survivorship, etc. Assets which are specifically given to a person or organization - specific bequest. Real estate that is not sold by the executor or administrator. The Surrogate’s Court Procedure Act 2307 sets forth the executor / administrator fees rates as follows: (a) For receiving and paying out all sums of money not exceeding $100,000 at the rate of 5 percent. (b) For receiving and paying out any additional sums not exceeding $200,000 at the rate of 4 percent. (c) For receiving and paying out any additional sums not exceeding $700,000 at the rate of 3 percent. (d) For receiving and paying out any additional sums not exceeding $4,000,000 at the rate of 2 1/2 percent. (e) For receiving and paying out all sums above $5,000,000 at the rate of 2 percent. As an example, if the value of the estate, subject to commissions, is $1,000,000 (receiving and paying), the fee would be calculated as follows: $100,000 x 5% = 5,000 $200,000 x 4% = 8,000 $700,000 x 3% = 21,000 Resulting in an Executor’s Fee of $34,000

Are Executor’s or Administrator’s Fees Taxable Income?

Yes. Commissions received by you as executor or administrator are taxable to you as income. On the other hand, estate funds received by you as a beneficiary are not considered taxable income. Thus, before accepting any compensation, you should discuss the issue with your tax advisor.

What if there is more than one Executor or Administrator?

Fees or Commissions for Multiple Executors or Administrators For estates valued at less than $100,000 where there is more than one executor or administrator (“fiduciary”), the full fee / commission allowed to a single fiduciary must be divided among all of the fiduciaries according to the services rendered by them respectively. For estate valued at $100,000 or more but less than $300,000 each fiduciary is entitled to the full fee allowed to a sole fiduciary unless there are more than 2 fiduciaries in which case the full fee allowed to 2 fiduciaries must be divided among them according to the services rendered by them respectively, unless the fiduciaries have otherwise agreed in writing between or among themselves. For estates valued at $300,000 or more each fiduciary is entitled to the full fee allowed to a sole fiduciary unless there be more than 3, in which case the fee to which 3 would be entitled must be divided among them according to the services rendered by them respectively unless the fiduciaries have have otherwise agreed in writing among themselves.

Rudolf J. Karvay

Probate & Estate

Litigation Attorney

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How much does an Executor

or Administrator get paid?

Executors and Administrators in New York are compensated by commissions (fees) set by statute. You may use our Executor commission calculator to estimate the fees you may be entitled to. Before you do, carefully review the summary of compensation rules provided below. Additionally, it is important to consult with an attorney and possibly an accountant before taking any commission as an executor or administrator.

What are the rules for

calculating commissions on

New York estates?

The rules regarding executor fees are somewhat complex and are presented here in a simplified manner. Generally, fees are calculated on the combined value of the assets of the estate plus income. However, some assets are usually excluded from the calculation of commissions. For example: All assets passing outside of the estate. For example - accounts or policies payable to named beneficiaries, “in trust for” accounts, joint assets with rights of survivorship, etc. Assets which are specifically given to a person or organization - specific bequest. Real estate that is not sold by the executor or administrator. The Surrogate’s Court Procedure Act 2307 sets forth the executor / administrator fees rates as follows: (a) For receiving and paying out all sums of money not exceeding $100,000 at the rate of 5 percent. (b) For receiving and paying out any additional sums not exceeding $200,000 at the rate of 4 percent. (c) For receiving and paying out any additional sums not exceeding $700,000 at the rate of 3 percent. (d) For receiving and paying out any additional sums not exceeding $4,000,000 at the rate of 2 1/2 percent. (e) For receiving and paying out all sums above $5,000,000 at the rate of 2 percent. As an example, if the value of the estate, subject to commissions, is $1,000,000 (receiving and paying), the fee would be calculated as follows: $100,000 x 5% = 5,000 $200,000 x 4% = 8,000 $700,000 x 3% = 21,000 Resulting in an Executor’s Fee of $34,000

Are Executor’s or

Administrator’s Fees Taxable

Income?

Yes. Commissions received by you as executor or administrator are taxable to you as income. On the other hand, estate funds received by you as a beneficiary are not considered taxable income. Thus, before accepting any compensation, you should discuss the issue with your tax advisor.

What if there is more than

one Executor or

Administrator?

Fees or Commissions for Multiple Executors or Administrators For estates valued at less than $100,000 where there is more than one executor or administrator (“fiduciary”), the full fee / commission allowed to a single fiduciary must be divided among all of the fiduciaries according to the services rendered by them respectively. For estate valued at $100,000 or more but less than $300,000 each fiduciary is entitled to the full fee allowed to a sole fiduciary unless there are more than 2 fiduciaries in which case the full fee allowed to 2 fiduciaries must be divided among them according to the services rendered by them respectively, unless the fiduciaries have otherwise agreed in writing between or among themselves. For estates valued at $300,000 or more each fiduciary is entitled to the full fee allowed to a sole fiduciary unless there be more than 3, in which case the fee to which 3 would be entitled must be divided among them according to the services rendered by them respectively unless the fiduciaries have have otherwise agreed in writing among themselves.
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