Estate law

[blackpowder]

Am executor of parents estate. Am finding the legal and tax costs going to be large. Do all firms take percentage of estate as fee plus hourly???
My parents refused to plan for this so some fault is theirs. But I will say the commission paid 'advisors' over the years their advice changed. Divorce never thought of for example.
Earlier threads spoke of tax changes and the farm. This % bleed every generation has me thinking one more reason you wont have to worry about traditional family farms in a while.
I guess I should know. Is there no reasonable way to hire legal work??

[LEP]

As far as I know, unless the law firm is named as executor they should only be able to charge their usual economical rate of a few hundred an hour plus disbursements.

If they are named executor they get a percentage that is usually negotiated when set up 3 to 6% plus disbursements.

If it is outside that amount get a second opinion from a good ( expensive) lawyer.

As far as the tax bill, it is alittle late but still worth getting good advice. I have been happy with MNP.

I am not in any way affiliated with MAP. Just a customer for estate planning.

[pgluca]

Am executor of parents estate. Am finding the legal and tax costs going to be large. Do all firms take percentage of estate as fee plus hourly???
My parents refused to plan for this so some fault is theirs. But I will say the commission paid 'advisors' over the years their advice changed. Divorce never thought of for example.
Earlier threads spoke of tax changes and the farm. This % bleed every generation has me thinking one more reason you wont have to worry about traditional family farms in a while.
I guess I should know. Is there no reasonable way to hire legal work??

Many Law Firms will give you the impression that a percentage of the estate for doing the legal work or probate is a standard thing. It definitely is not. You can negotiate anything except the government probate fee, and for a lot of estates a probate is not required. You do need advice especially if you have not done it before. You can do most of it yourself, but make sure you educate yourself so you don't get in a bind. Estates vary greatly in their complexity and how many and how well the beneficiaries get along.
If there is going to be acrimony then I would let the lawyers handle it, who needs the stress. But you can still negotiate, there are a lot of law firms out there. Good Luck and my condolences on the loss of your parents.

A percentage is a ridiculous concept as a well planned estate is the same amount of work for the lawyer whether is worth $50,000 or 5 million.

[sumdumguy]

I suppose when they see a farm estate, dollar signs flash before their eyes, especially if they can get a percentage. If you are inclined, youcan do it all yourself/yourselves during the cold months. The Estate department at the court house in Regina will walk you through every step of the way, they did with ours. It was no problem if there is a will and everyone is ok with it.

If you need a lawyer, shop around and negotiate a set fee. Some estates can get pretty messy, that's for sure, especially with ex wives and non-farming siblings.

Deepest codolences and best of luck navigating thw waters of estate dispoaition. Let us know what you learn along the way.

[fjlip]

Hope they never set up a trust, took 40 years to get one wound up.

[food4u]

That was one thing my late father was very adamont about" was staying way from Trust Companies".

[SASKFARMER3]

On a estate I was involved in we almost had the wool pulled over us by a sask bank saying they will help with the paper work and would take a fee. We asked around did the paper work before they got a nickel. If you have a good lawyer a good accountant and a bank that lets things ge done it's rather easy. Now the fed gov took almost two years to finally send the final notice that they weren't taking any more.

[farmaholic]

Sorry to hear about the loss of your parent BP.

RE Estates....I do think a person should try to have thier affairs in order to make it easier for survivors/beneficiaries. Unfortunately, I've been accused of wanting to control from the grave....especially protecting the estate from matrimonial property division. NOTHING IS BLACK AND WHITE IN THAT DEPARTMENT AND SHOULDN'T BE TREATED AS SUCH. Maybe proper documentation of what came from where and when really needs to be taken into consideration. Nobody should get rich by simple association or osmosis.

I have no experience or advice when its comes to dealing with estates.

And why should I care after I'm dead? Because it's my families wealth not anyone else's! Too many times the in-laws have no use for thier spouse's parents. ....but they sure have use for their assets!

Hope that post doesn't turn into a bit of a derail.

[the big wheel]

Not easy to find a good lawyer with reasonable fees there really should be people looking into the shit that happens.
It's not complicated as they make it out and the losers drag things out. A good accountant can figure it all out for a lot less and have the lawyers basically sign the forms.

[blackpowder]

Preliminary update.
Lawyer secretary told me by law they can charge up to 1% + their flat fee of $2250. Tune changed when I requested a quote before they did anything.
Capital gains however another matter. Glad to update occasionally. Liable for alot as executor.

[grassfarmer]

Preliminary update.
Lawyer secretary told me by law they can charge up to 1% + their flat fee of $2250. Tune changed when I requested a quote before they did anything.
Capital gains however another matter. Glad to update occasionally. Liable for alot as executor.

Hope you can get it all sorted out with too much hassle BP. Executor status can certainly be a burden in some cases, long after winding up the estate is over. In my wife's case it's being responsible for a trust favouring an adult sibling that can't handle money. It's a lifetime commitment dealing with requests for money at any time of day or night.

[blackpowder]

My intention with this as with other legal type posts made in past is to prevent others' mistakes. And maybe learn.

[blackpowder]

And a belated thank you for the condolences. Mother was born poor, lived poor, worked like hell, worked harder at dying. Suffered 8 months worse than a dog. Played the cards she was dealt. Webster doesnt know the definition of stoic.

[Oliver88]

Many Law Firms will give you the impression that a percentage of the estate for doing the legal work or probate is a standard thing. It definitely is not. You can negotiate anything except the government probate fee, and for a lot of estates a probate is not required. You do need advice especially if you have not done it before. You can do most of it yourself, but make sure you educate yourself so you don't get in a bind. Estates vary greatly in their complexity and how many and how well the beneficiaries get along.
If there is going to be acrimony then I would let the lawyers handle it, who needs the stress. But you can still negotiate, there are a lot of law firms out there. Good Luck and my condolences on the loss of your parents.

A percentage is a ridiculous concept as a well planned estate is the same amount of work for the lawyer whether is worth $50,000 or 5 million.

There is a lot to learn I see and yes the impression is given that a percentage of the estate is a "standard" thing.

Thanks Blackpowder for bringing up this topic.
Sorry to hear about your loss, take care.