Unlocking the Secrets Behind Ontario’s Estate Trustee Pay

Are you an Ontario executor or estate trustee? This role is often considered an honour, but also a thankless job. However, by law, estate trustees are entitled to receive compensation for their care and trouble. Unless, that is, the will that appoints them specifies otherwise.

There is a widely quoted formula for executor compensation. However, all compensation is taxable income. It is always subject to will terms and the beneficiaries’ approval. If beneficiaries do not agree, court approval on a passing of accounts is required. This passing of accounts is a formal procedure under Ontario’s Rules of Civil Procedure. Executors would consult, if not formally retain lawyers to pass their accounts.

Judges decide what is fair and reasonable for estate trustee’s care and trouble. Judges have discretion to modify estate trustee compensation. This is based on five factors approved by courts since the turn-of-the-century. The five factors that affect your compensation as an Ontario estate trustee are below.

Five Factors to Executor Compensation

The size of the estate or trust
The care and responsibility involved
Time spent performing duties
Skill and ability displayed by the estate trustee
Success in the estate administration

Are you going to claim compensation? Be aware of these five factors. They should be applied to your compensation claims with legal advice.

Be prepared to make a written offer to settle your compensation. If offers are not accepted, consider mediation.

If you have doubts about what compensation you may be entitled to, I can provide advice. Book a meeting today to discuss your options. If you may benefit from a second opinion, let me help you. Contact me to discuss your situation.

As a Certified Specialist, estate law is all I do.

Posted In: Estates, Executors On: November 11th, 2024

“I want to thank Ed and his firm for getting me through a very difficult time. He was recommended to me by another lawyer and I am grateful for that recommendation. Ed kept me grounded, listened to me, counseled me and supported me. I do so appreciate that. And he is worth every penny. Thank you!” - Claudia R, Toronto

“Thank you for your professional advice and lawyering while I was planning my will, all accompanied with your patience and a sense of humour.” - Valerie G, Toronto

“Ed is a "straight shooter" who tells it like it is and helps you make the best possible decisions in your circumstances. I've personally seen the "magic" he can work in an estate and recommend him without reservation to anyone who wants an iron clad will or estate advice and management that saves money, frayed nerves and friendships.” - Jim R, Burlington

I have used Edward Olkovich for my own Will and I was the executor of my Brother-in-law’s will. My brother-in-law had a terminal illness and Edward had us devise his Will to minimize taxes and problems. Ed is located locally @ Jane and Bloor. He was very knowledgeable, friendly and thorough and has written many books on the subject. - Belinda M, Toronto

Ed is a thorough, responsive estates lawyer who I would recommend to anyone when needing a will or dealing with estate issues. - Eva S, Toronto

Dear Ed and “Team Olkovich” “Thank you for your knowledge, expertise and hard work to make our executor duties (almost) stress-free. Will miss the laughs and stories you tell so well. All our appreciation always!” - Pat, Dave & John, Toronto

Dear Ed, Thank you for all your wisdom and kindness throughout the process of settling Ann’s Estate. - Cheryl, Toronto

“The easiest professional I had to deal with to settle my parents’ needs was Ed. I told him what we needed. He was gracious with his advice and help - without delaying matters.” - Iain N., Toronto

“Magic! The guy knows magic!” - Steve G., Toronto

“In the land of estate law, Ed is King.” - Cheryl W., Toronto