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Florida has two kinds of administration -- summary and formal. Summary administration is faster and cheaper, but only works in Florida if the decedent died more than two years ago OR

(1) the non-exempt assets of the estate do not exceed $75,000 (remember, in Florida one’s homestead is an “exempt” asset, so summary administration can work even with a $1 million homestead); and

(2) there are no unpaid creditors or disputes with creditors or beneficiaries; and

(3) the wording of the Last Will or other circumstances (such as an heir whose whereabouts are unknown) do not require an executor (personal representative) to be appointed.

There are situations in which summary administration is not possible or not practical. However, when it is available, it is relatively fast and much less expensive.

Statewide Probate charges a flat fee for summary administrations, which varies from $1,100 to $2,100 depending upon the facts. Our flat fee includes the cost of the filing fee, recording fee, and the normal costs of long distance, postage, copying, etc. Any special charges such as overnight delivery are not included, and if expedited service is needed for a real estate closing or other urgency, our fees may be higher, depending on the deadlines imposed.

Estates which are not suitable for summary administration must be handled through "formal administration." Statewide Probate charges fees in formal administrations based on the hours our attorneys and paralegals work on the file, which are the actual hours worked (billed in tenths of an hour) or a flat fee based on the expected work demanded in a file. Currently our hourly rates are $165 - 250/hr for attorneys and $90 - 100/hr for paralegals.

In all cases we can give our clients a written fee agreement, stating the flat fee or giving an estimate of the fees before we begin, once we receive a description of the kind of property involved and the complexity of the distribution. We do not base our fees solely on a percentage of the estate value. While that is allowed by Florida law, our firm believes that in some estates this is not fair or reasonable to the consumer, the client. A million-dollar estate consisting of liquid funds should not be paying its attorneys a fee of $30,000, in our opinion. Value alone should not determine the legal fees – the work required should.

Taxable estates which must file Form 706 returns to IRS will require more legal assistance, and certainly more fees will be charged by the estate’s tax consultant.

 

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