Tennessee State Law on Payment to Estate Executors

By Jennifer F. Bender

Estate executors perform essential tasks in administering a decedent's estate. The administration process includes identifying heirs, completing an inventory of the estate, distributing the estate and preparing annual accounting statements to the court. This process can become complex if disputes arise among heirs, creditors or debtors of the estate. Tennessee state law compensates estate executors based on a reasonable fee as decided by the court.

Estate executors perform essential tasks in administering a decedent's estate. The administration process includes identifying heirs, completing an inventory of the estate, distributing the estate and preparing annual accounting statements to the court. This process can become complex if disputes arise among heirs, creditors or debtors of the estate. Tennessee state law compensates estate executors based on a reasonable fee as decided by the court.

Petition

In Tennessee, the estate executor files a petition with the court to receive payment for his duties. The petition includes a description of the assets of the estate along with a description of the services rendered. The estate executor requests an amount of compensation and then verifies that a copy of the petition was sent to all interested parties. The amount of compensation is based on the value of the estate and services provided by the estate executor.

Protect your loved ones. Start My Estate Plan

Court

The probate court in Tennessee presiding over the estate determines the fee for the estate executor. The court decides on an amount which it deems fair, reasonable and appropriate given all the circumstances involved in settling the estate. These factors include the size of the estate, involvement of estate executor in settling the estate and relationship of estate executor to the decedent. The court will also take into consideration any complex litigation involved in the settlement of the estate. If the testator indicates in his will how much the executor should be paid, the court will take this into account, but must set the fee in accordance with state statute.

Reasonable Fees

In determining the reasonable fees presented to estate executors, Tennessee courts take into account the value of the decedent’s gross estate. If the value of the estate is under $50,000 a minimum fee of $500 to the estate executor is considered reasonable. The percentage of the estate executor's fee decreases as the value of the estate increases. For example, for an estate valued at around $1,000,000, the estate executor would receive .5 to 1 percent of the estate's value. For an estate over $1,000,000, the estate executor would receive .25 to .50 percent.

Extraordinary Services

Tennessee courts also take into account extraordinary services when determining fees for an estate executor. Extraordinary services can prolong the administration of an estate and consume more of an estate executor's time. Examples of extraordinary services include sales or mortgages of real or personal property and lengthy contested litigation involving claims against the estate. Complex tax returns or audits by any federal or state agencies can take up more of an executor's time. Finally, the managing or selling of the decedent's business can be a consuming process. Tennessee courts value this extra time and compensate estate executors accordingly.

Protect your loved ones. Start My Estate Plan
Maine Statutes for Executors of Wills

References

Resources

Related articles

What Monetary Percentage Does an Executor of a Will Get in California?

California law allows an executor of an estate to receive compensation for his work on the estate. Specifically, the California Probate Code grants a certain percentage of the total assets of the estate to an executor. The percentage an executor may take depends on the total amount of the assets in the estate.

How Much Can an Executor Charge for Services in Ohio?

When you die, someone must carry out the task of collecting and distributing your property. The process is known as probate, and the person you name in your will to be in charge of administering probate is known as the executor. Although the amount of work involved in a probate proceeding can vary, executors in Ohio are entitled to compensation from your estate for their services, and this compensation is based on the total value of your property.

California Executor Checklist

The executor is the person who manages the estate of the deceased, also known as the decedent, during the probate process. The executor is responsible for paying debts of the estate and distributing assets to the heirs. California law allows for the compensation of executors from the estate assets.

LegalZoom. Legal help is here. Start Here. Wills. Trusts. Attorney help.

Related articles

What Can an Executor Legally Charge the Estate for in Texas?

When a person dies in Texas, some or all of the estate's assets will go through a court probate process before being ...

Can Executors of Estates Get Paid?

When a testator draws up a will, she usually names an executor who is responsible for carrying out the will's ...

What Is the Statutory Amount to Pay an Estate Executor in Illinois?

When you die, an executor must collect your remaining assets, pay your creditors, and distribute your property ...

Who Pays the Cost for the Attorney Fees & the Executor of Probate?

By creating a will and naming an executor, you set forth instructions for the transfer of assets from your estate to ...

Browse by category
Ready to Begin? GET STARTED