Executor Compensation and Fees (MO)
If the will does not specify how executor compensation should be calculated, MO estates must follow state compensation rules (see MO calculator below).
In Missouri, the estate executor is known as a "personal representative".
If executor compensation details are not addressed by the will (or relief from those terms is granted by the court), then Missouri law determines minimum compensation based on the value of the standard estate assets at the time of disbursement or distribution, and the proceeds of any real estate sold under order of the probate court:
- 5.0% on the first $5K
- 4.0% on the next $20K
- 3.0% on the next $75K
- 2.75% on the next $300K
- 2.5% on the next $600K
- 2.0% on the anything more
So, for example, a Missouri estate worth $50K at the time of disbursement or distribution would yield a minimum of $1.8K in executor fees, and one worth $500K would generate at least $14K in executor fees.
These are minimum fees; additional executor compensation is permitted if needed to make it "reasonable", and such additional compensation need not be in response to "extraordinary" services.
Note that funds which pass directly to named beneficiaries, such as life insurance policies or 401Ks, are not included in these calculations.
If there are 2 or more executors, aggregate compensation may not exceed twice the schedule above, or 5% of the valuation as defined above, whichever is less. Exceptions are possible if extraordinary services were performed, or if property was required by the courts to be managed without being sold.
Extraordinary services are commonly interpreted to mean such things as running a business, conducting litigation, preparing tax returns yourself, handling tax audits, and so on. However, MO specifically precludes professional accountants from charging for their accounting services unless the will, the court, or the heirs allow it (presumably because the decedent expected the executor to use his or her skills in settling the estate).
Finally, even if a will specifies the compensation for the executor (and there is no contract with the decedent regarding compensation), the executor may renounce the relevant provision before being assigned executor, and be entitled to reasonable compensation as per above.
MO Compensation Calculator
EstateExec provides the following executor compensation estimator for MO 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 provide inputs for the fields below (you can create an estate for free).
See also Compensation for general remarks on executor compensation.