Detailed Answer
Administering an estate in Missouri involves several costs. The total cost depends on factors such as court fees, executor or personal representative fees, attorney fees, appraisal and valuation fees, bond premiums, publication and notice costs, accounting and tax preparation expenses, and the payment of debts and taxes. Below is a breakdown of these factors under Missouri law:
1. Court and Probate Fees
The probate court charges filing fees and miscellaneous costs for opening and closing an estate. Missouri Revised Statutes § 473.783 sets the schedule of probate costs, which vary by county. Typical fees include:
- Petition to probate a will or appoint a personal representative
- Filing an inventory of assets
- Submission of final settlement documents
Refer to the statute here: Mo. Rev. Stat. § 473.783.
2. Executor or Personal Representative Fees
Missouri law allows the personal representative to petition for compensation. Courts may award a statutory fee based on a percentage of the estate’s value or approve reasonable hourly rates. While there is no fixed percentage in the statutes for executor fees, courts often look to guidelines similar to attorney-fee standards.
3. Attorney Fees
Attorneys handling probate in Missouri commonly charge either a percentage of the estate (often 3–5%) or an hourly rate. Flat fees are also possible. Courts review fees for reasonableness under Mo. Rev. Stat. § 473.840, which governs compensation for services rendered in estate administration.
4. Appraisal and Valuation Fees
Many estate assets—real estate, securities, collectibles or business interests—require professional appraisal or valuation. Appraisal fees depend on the asset type, geographic location, and complexity of valuation.
5. Bond Premiums
If the court requires a bond for the personal representative, the estate pays a bond premium, typically 1–3% of the bond amount. Bond requirements and exceptions are outlined in Mo. Rev. Stat. § 473.360. The court may waive the bond if the will or beneficiaries consent.
6. Publication and Notice Costs
Missouri law requires notice to creditors by publication in a local newspaper and by mail. Costs depend on the newspaper’s rates and the number of notices mailed. Proper publication protects the personal representative from undisclosed creditor claims.
7. Accounting and Tax Preparation
Preparing final federal and state estate tax returns, as well as ongoing income tax filings for the estate, incurs accountant or CPA fees. Complexity, the number of assets, and the need for tax elections (e.g., § 6166 installment payment) affect costs.
8. Debts, Taxes and Other Liabilities
Paying outstanding debts, medical bills, and final income taxes reduces the net distributable estate. Late payments can trigger interest and penalties. If the estate exceeds exemption thresholds, estate or inheritance tax may apply.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a licensed attorney in Missouri to discuss your specific situation.
Helpful Hints
- Obtain multiple fee estimates from probate attorneys and appraisers.
- Review the probate court clerk’s published fee schedule in your county.
- Keep detailed records and receipts for all estate-related expenses.
- Ask the court to waive bond requirements if beneficiaries agree.
- Consider informal probate or small-estate procedures for lower-value estates.