Disclaimer: This is educational information only and does not constitute legal advice. Consult a licensed Hawai`i attorney about your specific situation before acting.

Detailed Answer

If you are administering (or preserving) a decedent’s property in Hawai`i, you can usually have the estate reimburse reasonable, necessary expenses you incur to protect, maintain, and prepare estate property for sale or distribution. Who gets reimbursed, which costs qualify, and how to receive payment depend on whether you are the court-appointed personal representative (also called the executor/administrator), acting with written authority (e.g., successor transferee), or acting before appointment. This answer summarizes typical rules and best practices under Hawai`i probate practice and related guidance from the Hawai`i courts and statutes.

Who can be reimbursed?

• Appointed personal representatives: The person formally appointed by the probate court to administer the estate generally has the primary right to pay allowable expenses from estate funds and to be reimbursed for reasonable and necessary outlays made on the estate’s behalf.
• Someone who pays before appointment: A person who pays bills to preserve the property before the personal representative is appointed may be treated as a creditor of the estate and can file a claim for reimbursement. If necessary, the court can approve reimbursement to that person.
• Successor transferees or those acting under written authority: If you act under written authority (for example, under a will provision or a contract with the personal representative), your right to reimbursement depends on that authority and on court approval if required.

Common reimbursable expenses

Generally, expenses that are necessary to preserve, insure, secure, repair, or prepare the property for sale or distribution are reimbursable if they are reasonable. Examples commonly accepted in practice include:

• Homeowner or casualty insurance premiums to prevent loss while the property is administered.
• Utilities (water, electricity, gas) to keep the property in service.
• Emergency or necessary repairs (roof, plumbing, security issues) to prevent further damage or loss of value.
• Lawn care, snow removal, pest control, and basic maintenance to prevent deterioration or code violations.
• Property taxes, sewer, and similar municipal charges that become due during administration.
• Mortgage payments, homeowners association dues, and liens that must be maintained to avoid foreclosure or penalties (note: these often must be handled carefully to avoid affecting creditor priorities).
• Reasonable costs to secure the property—locksmith, boarding of windows, alarm monitoring, or paid on-site security when risks are demonstrable.
• Brokerage, appraisal, inspection, advertising, and closing costs that are ordinary for selling the estate property.
• Professional fees reasonably necessary for administration: attorney fees, accountant fees, and executor/administrator fees (subject to court allowance if required).

Expenses that are often not reimbursable

• Personal expenditures unrelated to estate preservation or administration (for example, improvements intended to benefit a particular beneficiary).
• Cosmetic upgrades undertaken to increase sale value beyond ordinary preparation (unless the improvements are reasonable and clearly necessary and the court approves them).
• Costs incurred after distribution to beneficiaries, unless the expense was necessary for a valid estate purpose and the estate agreement or court order allows reimbursement.
• Unauthorized expenditures where a personal representative acts outside of their authority and lacks court approval.

How to get reimbursed (best practices)

1. Keep meticulous records. Save invoices, receipts, contracts, bank statements, cancelled checks, and before/after photos when appropriate. The court and beneficiaries expect documentation showing the reasonableness and necessity of each expense.
2. Notify beneficiaries. Tell immediate beneficiaries about major expenses or proposed repairs. Early notice can avoid disputes and may reduce the need for court approval.
3. Seek prior court approval for large or non-routine expenditures. If an expense is significant or potentially controversial (major repairs, structural work, or improvements), ask the probate court for authority first. The Hawai`i probate court can issue orders authorizing particular actions and approving reimbursement.
4. File claims properly. If you paid before appointment, file a claim against the estate for reimbursement. If the estate lacks funds, the court can decide whether to allow payment and prioritize claims.
5. Account in your fiduciary accounting. When you submit the estate accounting or petition for final distribution, list each expense, attach supporting documents, and request allowance and payment from estate funds.
6. Understand executor compensation rules. Reasonable fees for administration may be set by statute or approved by the court; these fees reduce the estate before distribution and are treated separately from reimbursable out-of-pocket expenses.

Examples (hypothetical)

Example 1: The roof leaks during administration. The personal representative hires a contractor to make an emergency repair costing $3,000. This is usually reimbursable as a necessary expense to prevent further damage.

Example 2: The personal representative pays $150/month utility bills to keep the house operational while marketing it for sale. These regular utility costs typically qualify for reimbursement.

Example 3: A beneficiary refinish the floors to “stage” the home at a $10,000 cost without court approval. The court may disallow or reduce reimbursement if the work was not necessary or reasonable.

Relevant Hawai`i resources

For practical steps and local forms, refer to the Hawai`i State Judiciary probate self-help pages: https://www.courts.state.hi.us/self-help/probate/. For the Hawai`i Revised Statutes and guidance about fiduciary duties and probate procedure, see the Hawai`i Legislature’s online statutes at: https://www.capitol.hawaii.gov/hrscurrent/. These resources explain courtroom procedures, filings, and available forms.

Because probate rules and the need for court orders vary by case facts (e.g., whether the estate is independently administered or supervised), consult a Hawai`i probate attorney for specific authority on paying or recovering a particular expense.

Helpful Hints

• Document everything: receipts, invoices, contracts, and photos. Courts favor clear records.
• Prioritize safety and code compliance: costs to prevent code violations or hazards are more likely to be allowed.
• Get written bids for large repairs and choose reasonable, competitive pricing.
• Communicate with beneficiaries early about major decisions and expenses to reduce disputes.
• When in doubt, ask the court for permission first. A short court order avoids later objections to reimbursement.
• If you pay before appointment, preserve proof you acted to protect estate assets—this helps a later claim for reimbursement.
• Keep estate and personal funds strictly separate. Never commingle funds: pay estate expenses from estate accounts when possible.
• Ask a probate attorney to review any plan that includes major expenditures or improvements. An attorney can help secure court approval and protect you from personal liability.