Does an executor get paid in Nova Scotia, and who decides how much?
This answer covers the law of Nova Scotia.
Not automatically, but an executor can be paid. Under s. 76 of the Probate Act, on settlement the personal representative may be allowed, beyond actual and necessary expenses, a commission not exceeding five percent of the amount received, and the court sets it. The amount is for the court to decide, so it is not automatic.
The commission covers all of the personal representative's services in completing administration, and the court may consider the estate's size, care and responsibility, time spent, skill and the success of the administration. The court's powers when accounts are passed include setting the commission. The personal representative must apply to pass accounts within 18 months of the grant unless the court orders an extended period, when seeking a discharge, or when the court orders it.
A fee set out in the will generally replaces the statutory commission unless the executor renounces it within the time limit. A fee agreement between the testator and a proposed executor binds neither the court nor beneficiaries unless it is written into the will. Keep accurate records of the estate's property and debts, and ask a lawyer or accountant about tax on any payment.
Key takeaways
- A commission may be allowed beyond actual and necessary expenses, not exceeding five percent of the amount received.
- The court sets the amount, considering the estate's size, care and responsibility, time spent, skill and success.
- A fee set out in the will generally replaces the statutory commission unless the executor renounces it within the time limit.
- A fee agreement outside the will binds neither the court nor the beneficiaries.