The Court has granted you authority to oversee the administration of an estate. The Judge has signed the Letters of Administration appointing you as personal representative. There is potentially a lot of work ahead of you. Fulfilling your role as personal representative can be time consuming and even frustrating. Will you get paid for your time and troubles? According to Florida Statute 733.617, a personal representative is entitled to receive compensation. The amount of compensation is based on the value of the estate including the inventory value and income earned by the estate during the administration. The following is considered reasonable compensation in a formal administration:
- 3% for the first $1 million
- 2.5% for all above $1 million and no exceeding $5 million
- 2% for all above $5 million and not exceeding $10 million
- 1.5% for all above $10 million
In the administration of some estates additional tasks are required, tasks that the Florida Statute considers out of the ordinary. Florida Statute 733.617 (3) states these duties can “include but are not limited to: (a) The sale of real or personal property. (b) The conduct of litigation on behalf of or against the estate. (c) Involvement in proceedings for the adjustment or payment of any taxes. (d) The carrying on of the decedent’s business. (e) Dealing with protected homestead. (f) Any other special services which may be necessary for the personal representative to perform.” When a personal representative engages in these additional legal responsibilities during the administration of the estate, additional compensation is allowed. As personal representative, you decide whether or not to take payment for the services provided. But if you choose to do so, payment of the entitled percentage can be made from the estate without a court order.