Executor fees: can an executor get paid in Australia?
Executors can claim commission for their work – usually 1-3% of the estate. Here's when it applies and how to approach it.
Yes – executors can claim commission in SA, typically 1-3% of the estate value depending on complexity and time taken. But commission requires either the will to authorise it, the beneficiaries to consent, or court approval. Most family executors waive commission.
The statutory position
Under the Administration and Probate Act 1919 (SA), executors may be paid commission ‘just and reasonable’ for their pains and troubles. The rate depends on the estate's size and the work involved.
Typical rates
1-2% for simple estates; 2-3% for complex estates; higher rates sometimes approved for particularly difficult administrations. Large estates often attract lower percentage rates in absolute value.
How commission is claimed
Three paths: (1) the will explicitly authorises commission; (2) all beneficiaries consent in writing; (3) the executor applies to the court for an order. Applying to court is rare – it's usually easier to get beneficiary consent.
Professional executor fees
Solicitors and trustee companies acting as executors charge different fee scales than family executors. These are usually disclosed upfront and can be significant – particularly for large estates.
Family executors typically waive commission
Most family members who act as executor waive commission – they're often also beneficiaries, and taking fees feels uncomfortable. But for significant estates involving substantial work, claiming appropriate commission is legitimate and often the right choice.
Summary
Executors can claim commission for their work – usually 1-3% of the estate. Here's when it applies and how to approach it.
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Disclaimer: This article is general information only and does not constitute legal advice. Estate planning is deeply personal - every family's circumstances are different. For advice specific to your situation, please contact Rosewood Succession Solicitors.