Although many executors of wills manage the administration of the deceased person’s (decedent’s) estate without compensation, a person who makes a will (testator) may provide for compensation of the executor in the will. And many states have laws (statutes) that provide a formula for calculating the compensation of an executor. These laws vary from state to state and are often located in the estates code, probate code, or similarly-named code.
In Vermont, the compensation of an executor of a will, also known as a personal representative, is addressed under Vermont's probate laws. While the testator can specify the compensation for the executor in the will, if the will does not mention compensation or the executor declines the compensation provided in the will, Vermont statutes provide guidance. According to Vermont Statutes Title 14, Section 1502, the probate court may allow the executor reasonable compensation for their services. Vermont law does not prescribe a specific formula for calculating executor compensation; instead, it is determined based on what is reasonable given the size and complexity of the estate, the time and effort expended by the executor, and other relevant factors. The probate court has the discretion to approve the amount of compensation, which should be fair and just to both the executor and the beneficiaries of the estate.