Understanding Executor Fee Structures and Probate Compensation Standards in California

Executor compensation in California can easily become a flashpoint. Estates are increasingly complex, timelines stretch longer, and beneficiaries scrutinize costs closely.

This guide, Calculate Executor Fees In California, explains how fees are determined in 2025, which expenses qualify for reimbursement, and the statutory guardrails courts apply. It’s written for both executors and beneficiaries to help everyone understand the calculations, the limits, and the practical steps that keep probate moving smoothly and transparently.

Executor compensation framework under California probate law

California’s Probate Code provides a structured system for paying personal representatives (executors or administrators). In most cases, the court awards “statutory compensation,” a tiered percentage of the probate estate’s gross value. On top of that, courts may approve “extraordinary compensation” for work beyond the routine, think complex real estate sales, litigation, or tax controversies.

Key principles that shape the framework:

• The base fee is calculated on the gross probate estate, not reduced by debts or loans tied to assets (like a mortgage).
• Non-probate assets, trust property, life insurance with named beneficiaries, payable-on-death accounts, don’t enter this calculation.
• Co-executors share a single statutory fee unless the court orders otherwise.
• The court reviews and approves compensation, typically at the time of accounting, to ensure it’s reasonable and properly supported.

Methods used to calculate executor fees in 2025

California’s statutory schedule (Probate Code §10800) remains the foundation in 2025:

• 4% of the first $100,000 of the estate’s gross value
• 3% of the next $100,000
• 2% of the next $800,000
• 1% of the next $9,000,000
• 0.5% of the next $15,000,000
• Above $25,000,000, a “reasonable amount” set by the court

A quick example

If the probate estate is appraised at $1.2 million (gross), the statutory fee is:

• 4% of $100,000 = $4,000
• 3% of $100,000 = $3,000
• 2% of $800,000 = $16,000
• 1% of $200,000 = $2,000

Total statutory compensation: $25,000.

Extraordinary compensation

Under Probate Code §10811, courts may award additional fees for extraordinary services, using either a task-based or “lodestar” (reasonable hours × reasonable rate) approach. Examples include:

• Managing contested creditor claims or litigation
• Structuring and closing complicated property sales
• Navigating business interests, tax audits, or hard-to-value assets

When a will sets compensation

A will can set or limit compensation. If it states a specific fee or directs no compensation, the executor can accept the document’s terms or, in some cases, decline and request the statutory amount instead. Courts weigh the will’s language, fairness, and the executor’s consent.

Note: Calculate Executor Fees In California | Article 3 focuses on what’s typical in court practice so both executors and beneficiaries can project costs with confidence.

Reimbursable expenses allowed for estate administrators

Executor compensation is separate from expense reimbursement. Reasonable, necessary expenses paid to administer the estate are typically reimbursed from estate funds when supported by receipts and included in the accounting. Common reimbursables include:

• Court filing fees and certified copies
• Publication costs for the probate notice
• Probate referee and appraisal fees
• Bond premiums (if a bond is required and not waived)
• Postage, shipping, notary, and courier costs
• Insurance, storage, and necessary property maintenance
• Locksmith, cleanup, and secure document retrieval
• Accounting and tax preparation costs
• Mileage or modest travel necessary for administration

Two practical pointers stand out. First, keep expenses in the estate’s name whenever possible to simplify records. Second, avoid paying large or unusual costs without court authorization: if a question arises later, advance approvals help. See more below on resolving disputes if reimbursement is challenged.

Statutory limits guiding executor compensation amounts

California’s tiered schedule acts as a ceiling for ordinary services, with courts overseeing reasonableness at each step. Several limits and guardrails matter in day-to-day practice:

• One fee for co-executors: The statutory amount is a single fee shared among personal representatives unless the court orders a different split for good cause (e.g., one co-executor did most of the heavy lifting).
• Attorney’s fees are separate: The estate’s attorney may also receive statutory compensation under Probate Code §10810. When a personal representative also serves as the attorney, courts scrutinize requests to prevent double recovery for the same work.
• Above $25 million: Courts award a “reasonable amount” for values over $25,000,000 based on complexity, time, and results, no automatic percentage applies there.
• Extraordinary work is not automatic: A petition must detail the tasks, time spent, and justification, often with a lodestar declaration. Courts can trim requests if they overlap with ordinary duties.
• The will’s voice still counts: If a will caps or waives compensation and the executor accepts those terms, the court will generally honor that choice.

Bottom line: the statutory schedule limits ordinary pay, while the court polices any add-ons to keep the total fair to the estate.

Balancing fair pay with beneficiary expectations

Executors owe beneficiaries a fiduciary duty, and compensation should reflect value, no more, no less. Clarity and documentation go a long way toward aligning expectations:

• Share the projected fee early, using the statutory formula and the inventory/appraisal to estimate the number.
• Keep a time log. Even for statutory work, a log shows diligence and can support extraordinary requests if they arise later.
• Communicate reasons for key decisions that affect cost, repairs, listing price, timing of sales, or hiring specialists.
• Avoid optics problems: competitive bids, arm’s-length sales, and written justifications prevent misunderstandings.

When beneficiaries understand how the math works and see organized records, compensation rarely becomes the headline issue.

Disputes that arise over executor fees and resolutions

Fee disputes typically stem from valuation disagreements, duplication of effort between the executor and professionals, or extraordinary-fee requests that feel too high. Common resolution tools include:

• Informal meet-and-confer: Sharing time records, receipts, and the statutory breakdown often narrows issues fast.
• Mediation: A neutral can broker adjustments, e.g., trimming a portion of extraordinary time or reclassifying tasks as ordinary.
• Court hearings: Beneficiaries may object to the accounting or fee petition. The court can reduce or deny fees if duties were neglected, the estate was mismanaged, or documentation is thin.
• Surcharge risk: In serious breaches (self-dealing, commingling, missed deadlines causing loss), courts can impose a surcharge and, in extreme cases, remove the personal representative.

Proactive transparency is still the best prevention. Clear logs, prompt updates, and receipts tend to dissolve objections before they harden into litigation.