Estate Administration Costs

The Estate Administration Team at Kiteleys will provide a cost estimate by way of a no-charge, no-obligation initial discussion either in person or over the telephone. The following is intended as a general guide.

Many of our clients prefer the reassurance of appointing Kiteleys as their Executors under their Wills but we provide the same level of service to those appointed personally as Executors who choose to instruct us. We are happy to tailor our services to meet your requirements and this level of service may range from obtaining the grant of probate (or letters of administration) to the complete administration of an estate.

As you would expect, our costs are based primarily upon the size and complexity of a matter as this reflects the level of involvement that is required both in terms of time and expertise.

Although most of our clients request a fixed fee this is not always the preferred option and we are also happy to agree to operate on a time spent basis and the hourly rates of the estate administration team are set out below. The most appropriate charging mechanism would be agreed upon in our initial discussion.

All prices are subject to VAT at the prevailing rate (currently 20%).

Our fees

Our fees for acting and obtaining a Grant of Representation (probate or administration) and administering a straightforward (uncontested) wholly UK based estate vary.

Our fee scales charged (excluding VAT and disbursements) are: -

Stage 1 applying for the Grant.

Applying for a Grant of Probate

£1,500 to £3,500.

Applying for Grant Letter of Administration

£1,500 to £5,000.

Stage 2 estate administration.

1.5% to 3% of the gross estate value before exemptions and reliefs. Minimum fee of £2,500.

Fees explained.

We will provide an estimate of the costs once we have calculated the gross estate value. For fee purposes the gross estate value is calculated before any reliefs and exemptions and will include proportions of joint assets and lifetime gifts where applicable.

Our policy is to charge on a fixed fee basis to allow certainty from the start. However, if you would prefer, we can also charge on a time spent basis.

The fees charged take into consideration factors to include:

the volume and quality of the information provided by the personal representatives.
the complexity of the matter.
the time spent in dealing with the matter.
The level of correspondence created in dealing with the matter.

Additional Fees

Compliance check fees currently £30 plus VAT per person. These checks are required for the deceased, the Personal Representatives, and the Beneficiaries.
For the preparation and submission of a same day telegraphic transfer £45.00 plus VAT (and international payments)

Disbursements

Disbursements are costs incurred in the matter and payable to a third party. These may include Probate Fees charged by HMCTS, compliance check charges and more as set out below. Our professional fees charged as set out are exclusive of VAT and disbursements.

Common disbursements in estate administration are: -

Probate Application fees which are currently £300 plus £1.50 for each official copy Grant and the Grant for foreign use. We usually obtain a minimum of 6 official copies plus the foreign use copy.
Statutory notice (advertisement re creditors in the London Gazette/Local Newspaper) fee. £200 to £400 plus VAT. We recommend this however it remains at the Personal Representative discretion.
Foreign bankruptcy charges £80 to £300 plus VAT depending upon the country. Required for Personal Representatives and Beneficiaries who are non-UK based.
Where there are foreign estate assets, we may need to use foreign lawyers or agents the fees depend upon the assistance required and can range from £500 plus applicable taxes and disbursements.
Genealogy services. These service costs are obtained on demand.
Swearing of the Oath £5 plus VAT (Per Executor)
Bankruptcy-only Land Charges Department searches £2 plus VAT (per beneficiary)

VAT charges will be subject at the applicable VAT regime (Currently 20%) for the area in which the Beneficiary, Personal Representative or third party is located.

Our services

Stage 1 – applying for the Grant of Representation

locating and reviewing any Wills and Codicils.
advising Personal Representatives (PR’s) regarding property insurance to ensure continuing cover post death. We also liaise with the management company where a property is Leasehold.
gathering asset and liability information. We ask the PR’s to complete a questionnaire to make this less onerous. We will then correspond with asset and liability holders to retrieve the information required.
where the deceased completed a lifetime tax return we will liaise with the accountant.
preparing Inheritance Tax account and submitting this to HMRC. Arranging the payment of any Inheritance Tax from the deceased s assets through asset holders.
Drafting the application for a Grant of Representation and submitting this to the Probate Registry.
preparing an estate account.

Stage 2 – administering the estate.

notifying Beneficiaries.
placing the statutory advertisement re creditors.
collecting in assets and settling liabilities.
preparing estate accounts.
corresponding with HMRC where enquiries are raised by them.
corresponding with HMRC regarding administration period tax.
paying Legacies.
liaising with insurers re early distribution insurance where required.
distributing the estate.

Related fee charges not included in the above stages:

administering any Trust created under the Will, Codicil, or Intestacy.
the conveyancing fees for acting in the sale of any estate property.
a Deed of Variation.
addressing non-UK assets.
advising on estate disputes and potential claims.

We will provide a separate fee quote should any of the above be required.

Key Stages/Time scales

preparing for the Grant of Representation 3 to 12 months.
HMRC to process their forms 4 to 8 weeks; this is dependant upon the asset holders discharging any Inheritance Tax due swiftly. This time period will run simultaneously with the preparing for the Grant of Representation timing.
The Probate Registry process time between 4 to 16 weeks to issue the Grant of Representation.
Non-UK domicile or complex applications may take longer, and we will advise individually on these.
full distribution can run to 24 months or longer depending on factors such as (but not limited to) the tax arrangements, the complexity of the assets held, beneficiaries not being easily located and needing to be traced, there is a property which takes a long time to sell, there are prolonged enquiries from HMRC or other Government bodies, and where there is no Will.