Estate fees

Pop202

I'm the beneficiary of a property, the value of which represents only around 25% of the estate. The remainder is cash and is being inherited by another person. This person is the Executor and has appointed the Solicitor. 
How should the fees for the administration of the estate be split? In my mind I should only incur the costs relating to the sale of the property rather than the administration of the entire estate. I've not received anything from the solicitor to confirm their charges, nor agreed any fees with them.

Robin9

The solicitors fees  will come out of the estate first (plus any other costs) before the benefactors

With respect the solicitors fees do not involve you - unless you are selling the property.

Pop202

Thank you. Sorry, I should have made it clear. The property is being sold via the estate, hence my expectation that I should incur the fees relating to the clearance and sale of the house but not the fees associated with the administration of the personal finances and probate.  

Linton

All the debts owed by the estate including executor expenses should be paid by the estate before distribution. The beneficiaries dont pay, it's the estate as a whole that pays.  How that affects how much each beneficiary receives depends on the exact wording of the will.

For example, if the will says person A gets X where X is an object or a specific amount of money and B gets what is left then that is what each gets.  The debts result in less money for B since "what is left" has been reduced by the payment of debts.

If the will says something different then let us know.  Why is the estate selling the house rather than simply transfering ownership? Was this required by the will?

If the solicitor has been engaged by the executor on behalf of the estate then you have no say in the matter.  It is up to the executor to agree the terms and to ensure that the solicitor is paid.  You should not expect to hear from the solicitor unless the executor has given permission.

Pop202

The property and it's contents were specifically left to myself. The bank accounts were specifically left to the Executor.  There then follows a comment in the Will that the residue of the estate, less all deductions of fees associated with the funeral and administration of the estate will be split between the beneficiaries.  It's actually a very simple estate comprising of a bank account plus the house so there won't be any residue from life insurance policies or pensions.  I was asked by the Solicitor if I wanted the house in my name or sold so for ease I said to sell it as I have no need for the property.

Linton

Pop202 said:

The property and it's contents were specifically left to myself. The bank accounts were specifically left to the Executor.  There then follows a comment in the Will that the residue of the estate, less all deductions of fees associated with the funeral and administration of the estate will be split between the beneficiaries.  It's actually a very simple estate comprising of a bank account plus the house so there won't be any residue from life insurance policies or pensions.  I was asked by the Solicitor if I wanted the house in my name or sold so for ease I said to sell it as I have no need for the property.

I dont know what happens about the costs of the sale of the house.  That may have been agreed by you when you asked for the house to be sold.  As specified by the will the rest of the administration costs reduce the residue  which is split between the beneficiaries, so you all pay your fair share.

If there is insufficient residue to pay the debts there is a problem in that the terms of the will cannot be followed. I am not a lawyer but as I understand things in this case the executor will have to take the money from the bank account and effectively reduce their own legacy.  My reasoning is that you were specifically left the house and the contents whereas the executor was (presumably) left the contents of the bank account with no specification of how much that might be.

I suggest the executor consults their solicitor.  The advantage of having a solicitor is that impartial  advice regarding the law will hopefully avoid arguments between the benefuciaries.

Dave_5150

Pop202 said:

The property and it's contents were specifically left to myself. The bank accounts were specifically left to the Executor.  There then follows a comment in the Will that the residue of the estate, less all deductions of fees associated with the funeral and administration of the estate will be split between the beneficiaries.  It's actually a very simple estate comprising of a bank account plus the house so there won't be any residue from life insurance policies or pensions.  I was asked by the Solicitor if I wanted the house in my name or sold so for ease I said to sell it as I have no need for the property.

You inherited the house and contents. You are responsible for any costs associated with their sale or disposal after they were inherited (unless the will states otherwise).

I would expect you will simply receive the money from the house sale less any associated costs. But you should clarify that with whoever is handling the sale for you.