Timescales – how long will it take?
For our Obtaining the Grant of Probate services, we would expect the executors to provide us with all valuations of the estate assets and liabilities and we would expect to draft the papers for signing and apply in 2-3 weeks following receipt of the information. The Grant of Probate should issue 3-4 weeks after that if a full IHT return is not required, or if a full return is required, the time to issue should be 6-8 weeks, subject to Probate Court and HMRC turnarounds.
For full estate administrations, where we will notify companies, beneficiaries and arrange valuation of the assets and liabilities, we would expect to be able to apply in 4-10 weeks depending on the complexity of assets. The issue of the Grant would then be as detailed above, subject to making any arrangements for payment of inheritance tax required.
Once the Grant of Probate is issued, we would arrange to collect in the assets, pay any liabilities and expenses, pay any legacies and distribute the estate. This can take between 2-4 months for simple estates and can take between 6-18 months for more complex estates where delays can be encountered through agreeing the inheritance tax position, selling the property, dealing with the investments, and settling the income and capital gains tax position.
A full set of estate accounts will be produced for the executor’s approval at the end of the administration before final distribution which will be sent to the residuary beneficiaries when making final distributions.
Examples of full administrations undertaken Simple estates
For an estate valued at £350,000 passing to two residuary beneficiaries which included one property and seven bank accounts we charged an administration fee of £3,100 plus VAT.
For an estate valued at £480,000 which had six pecuniary legacies and passed to one residuary beneficiary and included, one property, nine bank accounts, bonds and policies, and one shareholding, we charged an administration fee of £5,400 plus VAT.
For an estate valued at £600,000 with no inheritance tax due which passed to one pecuniary legacy, a mixture of twenty-five charitable and non-charitable residuary beneficiaries in unequal shares and included one property and nine bank accounts and policies, we charged an administration fee of £7,500 plus VAT
For an estate valued at £500,000 which was subject to inheritance tax, had seven pecuniary legacies and passed to three residuary beneficiaries and included one property, four bank accounts and eight investment holdings we charged an administration fee of £9,200 plus VAT.
For an estate valued at £1,000,000 which was subject to inheritance tax, had three pecuniary legacies and two residuary beneficiaries and included two properties, 5 accounts, nine investment holdings, claims for agricultural and business property relief and a partial transferrable nil rate band we charged an administration fee of £12,300 plus VAT.
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