Executor Compensation and Fees (IL)
If the will does not specify how executor compensation should be calculated, IL estates must follow state compensation rules (see IL calculator below).
In Illinois, the estate executor is known as a "representative".
In determining executor fees, the state of Illinois uses the commonly accepted principle of "reasonable" compensation, and says nothing further in the law. However, there are slightly more detailed rules for professional lawyers that provide a bit more insight into the meaning of "reasonable", including:
- Nature of the work involved (time, effort, difficulty, skills required)
- Compensation customarily charged (in the community for similar services)
- Size of the estate (and the results obtained)
- Any time limitations
- Experience and capabilities of the person
It's common in Illinois to use a "services-rendered" approach, and bill by the hour (the hourly rate can be determined according to the factors above). Executors have also traditionally set fees as a percentage of the overall estate value, but while this is common (and mandated by law) in many states, it may be relevant that IL frowns on professional lawyers setting their fees solely by estate size. In light of this consideration, please note that the EstateExec calculator below also includes complexity as a factor when estimating value-based compensation, and that the official rules for lawyers do indeed mention size of the estate as a compensation factor.
To make all this a little more concrete, an IL estate worth $500K that required 650 hours of effort might generate $19K in executor fees (see calculator below).
IL Compensation Calculator
EstateExec provides the following executor compensation estimator for IL estates, but please keep in mind that there are no hard and fast rules for IL estates, and ultimately you must determine what would be reasonable for your particular circumstances. 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.
Below EstateExec provides two compensation approaches used in various incarnations throughout the United States: you can decide which, if either, is appropriate for you. The first uses a sliding percentage scale based on the total estate gross value (the larger the estate, the smaller the percentage); the second simply compensates the executor for the value of his or her time, and is probably the more common approach in IL. See estimation methodology for details.
See also Compensation for general remarks on executor compensation.