My father has been guardian of my incompetent sister for over a year now — is he entitled to be paid for his work managing her estate, and is there a limit on how much?

Question

Accepted Answer

Yes, within a limit. Rule 96, Section 8 requires accounts to be presented a year after appointment, and as often thereafter as required; a guardian other than a parent may be allowed reasonable expenses plus compensation the court deems just, not exceeding fifteen percent of the ward's net income. When accounting is due The section requires the guardian to present an account for settlement and allowance upon the expiration of a year from the time of his appointment, and as often thereafter as may be required. This periodic accounting requirement is how the court keeps tabs on the guardian's management of the ward's estate over time, rather than waiting until the guardianship ends to review what happened to the ward's property and income. What gets allowed in settlement A guardian other than a parent is allowed the amount of his reasonable expenses incurred in the execution of his trust and also such compensation for his services as the court deems just — both categories are subject to the court's assessment of reasonableness and justness. Expenses and compensation are treated as two distinct categories, so a guardian may recover the costs of administering the estate on top of whatever fee the court separately approves for the guardian's actual services. The fifteen percent ceiling Compensation for a non-parent guardian is capped: not exceeding fifteen per centum of the net income of the ward. The court can allow less, but never more than that share of the ward's net income. The ceiling is measured against net income, meaning income after the ward's own expenses are accounted for, not against the ward's total assets or gross receipts, which keeps the guardian's compensation tied to what the estate is actually earning rather than what it happens to hold. Why parents are treated differently The cap applies specifically to a guardian other than a parent. A parent serving as guardian is not subject to that same fifteen-percent ceiling, reflecting that a parent's role toward a child or dependent is not typically treated as a paid service in the same way a stranger-guardian's is. That does not mean a parent-guardian is barred from ever recovering reasonable expenses, only that the specific fifteen-percent compensation cap does not apply to them the way it applies to a non-parent.

My father has been guardian of my incompetent sister for over a year now — is he entitled to be paid for his work managing her estate, and is there a limit on how much?

What the law says

When accounting is due

What gets allowed in settlement

The fifteen percent ceiling

Why parents are treated differently

Related provisions

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