Executor Compensation and Fees (IA)
If the will does not specify how executor compensation should be calculated, IA estates must follow state compensation rules (see IA calculator below).
In Iowa, the estate executor is known as a "personal representative".
Iowa statute holds that executors may collect "reasonable" compensation for their services, but not in excess of the following rates as applied to the gross value of the estate (as calculated before considering any debts or obligations):
- 6% for the first $1,000
- 4% for the next $4,000
- 2% for everything more
So, for example, an Iowa estate with a gross value of $4,000 would yield $180 in executor fees, and one worth $100,000 would generate $2,120 in executor fees.
Note that funds which pass directly to named beneficiaries, such as life insurance policies or 401Ks, are not included in these calculations.
IA Compensation Calculator
EstateExec provides the following executor compensation estimator for IA estates, but please keep in mind that circumstances may vary, and that there may be special situations addressed by local custom or law. By using this estimator, you acknowledge that EstateExec provides any results as informational input only, not as legal advice, and cannot be held responsible for any inaccuracies for, or misunderstandings about, any given estate.
You can use this calculator now, but if you use EstateExec to help you track the settlement process, it will automatically perform the sometimes complex calculations to calculate the qualified gross estate value (you can create an estate for free).
See also Compensation for general remarks on executor compensation.