Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed attorney in Illinois for guidance specific to your situation.
Detailed Answer
Under Illinois law, a personal representative (often called an executor or administrator) may receive statutory compensation for estate administration and commissions on the sale of estate assets. These allowances stem primarily from the Illinois Probate Act (755 ILCS 5).
Statutory Compensation for Estate Administration
Section 18-17 of the Probate Act establishes a graduated fee schedule based on the gross value of estate property:
- 5% of the first $5,000
- 3% of the next $75,000
- 2% of the next $250,000
- 1.5% of the next $675,000
- 1% of the next $1 million
- 0.25% of the balance
These percentages apply to total personal property under 755 ILCS 5/18-17(a).
Commission on Sale of Real Estate and Other Assets
Under 755 ILCS 5/18-17(b) and (c), a personal representative may also receive:
- A 5% commission on the gross proceeds from the sale of real estate.
- A 5% commission on the gross proceeds from the sale of intangible personal property (e.g., stocks, bonds).
These commissions are in addition to the statutory fees for estate administration.
Court Approval and Extraordinary Services
If a fee within these limits is unreasonable, or if the representative performs extraordinary services (litigation, complex asset management), the court may adjust compensation under 755 ILCS 5/18-18. The personal representative must file a petition for fee approval in the probate court handling the estate.
Helpful Hints
- Review the full text of 755 ILCS 5 for complete guidance on fee schedules.
- Keep detailed records of all estate transactions and time spent managing the estate.
- Submit a petition for final settlement in probate court to formalize approval of fees and commissions.
- Consult a probate attorney in your county if you expect disputes over compensation.
- Understand that banks and trust companies follow a different fee structure under 205 ILCS 620.