Trustee compensation; how do I figure out a modest yet fair amount?

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It wasn't until very recent I've been considering taking compensation as my Mother's Trustee. Mom has dementia and I've been Trustee for several years. The majority of her needs are taken care of thru AL; however as Trustee, and as outlined in her trust, I can provide myself compensation for my time, such as selling her house, taking her to appointments and so forth. I work full time and have a family and at one point was in school. Don't get me wrong, I don't mind doing this but my out of state sibling hasn't done much (and he recognizes that) and the previous Trustee has health issues. My brother was going to help pay for AL if Mom ran out of money - that was his way of helping- but now he is going back on that offer and wants to place her in a state nursing home if she runs out of funds. Might sound selfish and please don't judge but given his change of heart I feel differently. I might add I always had a difficult and complicated relationship with my Mom- which since I've been overseeing everything has changed for the better; that in itself is a gift no doubt. She actually asked why I wasn't taking compensation. If I do take compensation how do I figure out a modest yet fair amount?

Answers 1 to 9 of 9
Clarise1, I am moving your question back toward the front of the page. Sorry your post didn't get answered. The holidays tend to do that.
Perhaps this will help?
I don't have an idea about the amount but I agree you should take compensation, particularly in light of your brother's new view towards helping your mom.
Clarisse - I’d bet your state or probate court has a document that is guidelines for executor compensation. Trustee work is similar and I’d look to see what that is for an idea of what “fair” is for your state. There probably is a set reasonable hourly rate range OR % of value of assets OR % of transactions. Like TX is a 5% in/ 5% out state.

Btw trustee compensation is taxable income so somebody’s going to need to do tax filings each year. Sigh....

If the law firm that did the Trust is still around, you may want to schedule an appt to go over Trust details & how to set up compensation system.
Top Answer
Thank you everyone... Irrespective of the compensation, I've realized that I'm really disappointed with my brother. I just cannot wrap my head around his change of heart. He claims his financial situation changed but I'm not buying it; I find it really hard to believe he did not take into account his financial future etc., when said he would be a stop gap. Furthermore he and his wife just purchased beachfront land in florida and building their dream beach home. The whole situation is ackward and I'm annoyed. Doesn't help that I hate confrontation. Convinced my brothers wife has his ear. Sigh... family situations stink. Thanks for letting me vent.
You just answered your own question. His financial situation DID change! Beachfront property with a new house......very expensive. And of course the wife has his ear......that's how it works.

Did you know a lot of coastal Florida will disappear into the ocean in the next few decades or so due to climate change? Just saying.........he'll have quite the view...I only hope he is close enough.

My brother lives 5 doors away from Mom & he doesn't even call or visit. Mom gifted us $$$$$$$ when she was able. She even paid him to mow her small lawn! When the $$$ stopped so did he.

I posted on another thread that for me the hardest aspect of this whole thing is the betrayal by friends & family and especially the healthcare system. Those folks are forgiven as" hate rots the vessel in which it resides" but it won't be forgotten. KARMA is.....what it is.....
@lucyinthesky- thanks- agree with the karma. I'll be the first to admit I've been in denial with my brother. Hard to accept that a sibling you are/were very close with is being like this
I know Clarise....I feel your pain........& as I look back he was always a narcissistic user.........
What hurts the most is the pain & heartbreak he has caused Mom.....she wondered for many years what she "did wrong"
I told him last Summer that he is a piece of @#%# brother & son..........I felt a weight lifted altho I am not recommending that approach ......
I have even suggested to relatives etc that I no longer wish to discuss him or his lack of serves no purpose.........
Me again..forgot the original question!

Take as much as you possibly can......take it all. Your Mother would want that for you...mine does..........

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