Can I take an executor fee in a small estate, and is it worth pursuing if it reduces what’s left for everyone? – North Carolina

Short Answer

In North Carolina, a personal representative (executor/administrator) generally may be paid for the work of administering an estate, but the amount is not automatic. In a true “small-estate” handled by affidavit (where no personal representative is formally appointed), there usually is no executor commission because there is no executor role in that procedure. Whether it is “worth it” depends on the size of the estate, the work performed, and whether the Clerk of Superior Court will approve a reasonable fee after required expenses and creditor issues are handled.

Understanding the Problem

In North Carolina probate, can a person acting as executor or administrator take a fee for handling a small estate, and what happens when that fee reduces the amount available for heirs and beneficiaries? The decision point is whether the estate is being handled through a small-estate shortcut (like collection by affidavit) versus a court-supervised estate with a formally appointed personal representative under the Clerk of Superior Court.

Apply the Law

North Carolina treats executor/administrator pay as compensation for services performed for the estate, not a “bonus” for being named in a will. In many estates, the Clerk of Superior Court oversees and approves fiduciary compensation through the estate accounting process. In a small-estate procedure that uses an affidavit to collect personal property, the affiant is collecting and distributing property under that affidavit process rather than serving as a court-appointed personal representative, which often changes what compensation is available and how it is approved.

Key Requirements

Correct role and procedure: Compensation rules depend on whether there is a court-appointed personal representative (executor/administrator) versus an affiant using a small-estate affidavit procedure.
Clerk approval and reasonableness: When compensation is available, it typically must be reasonable and is subject to review/approval by the Clerk of Superior Court as part of estate administration.
Priority of estate obligations: Estate administration costs, valid debts, and required distributions/allowances can affect what remains for beneficiaries and what fee is practical to request.

What the Statutes Say

N.C. Gen. Stat. § 32-59 (Compensation of other fiduciaries) – allows fiduciaries (other than trustees) to request reasonable compensation, with the amount determined by the Clerk of Superior Court.
N.C. Gen. Stat. § 32-54 (Reasonableness factors) – lists factors used to evaluate whether fiduciary compensation is reasonable (commonly used as guideposts when the Clerk evaluates a requested fee).

Analysis

Apply the Rule to the Facts: In a small estate, the first question is whether the estate is being handled by affidavit (no formal executor appointment) or through the Clerk with letters issued to a personal representative. If the matter is handled by affidavit, the person doing the work may still have out-of-pocket expenses to reimburse, but an “executor commission” is often not part of that shortcut because the executor role is not created. If a personal representative is formally appointed, a fee request is possible, but it must be justified by the work performed and approved through the Clerk’s process.

Process & Timing

Who files: The personal representative (if appointed) requests commissions; an affiant (if using the affidavit route) completes the affidavit process. Where: The Clerk of Superior Court (Estates) in the North Carolina county where the estate is administered. What: A written request/petition for personal representative compensation (many counties use local forms) and supporting information showing services performed and amounts requested. When: Often submitted during administration and commonly finalized when the estate accounting is ready for approval.
Next step: The Clerk reviews the request in context of the estate’s inventory/accountings, expenses paid, and what remains for distribution. Some counties prefer the fee request to be presented before the final account is approved; local practice can vary.
Final step: If approved, the fee is paid from estate funds and shown on the accounting, and the remaining balance is distributed to heirs/beneficiaries according to the will or intestacy rules.

Exceptions & Pitfalls

Using the wrong “small estate” label: “Small estate” can mean different procedures. A collection-by-affidavit process is not the same thing as being appointed executor, and compensation works differently depending on which route applies.
Taking money without approval: Paying a fee without clear authority and Clerk approval can create disputes with beneficiaries and problems when the accounting is reviewed.
Fee request that ignores the estate’s reality: Even if a fee is allowed in principle, a request that leaves too little to cover expenses, creditor issues, or required distributions can trigger objections and delay closing.

Conclusion

In North Carolina, an executor/administrator fee is generally possible only when a personal representative is formally appointed and the Clerk of Superior Court approves a reasonable amount. In a small-estate handled by affidavit, there often is no executor commission because there is no executor appointment in that process. The practical next step is to confirm which small-estate procedure applies and, if a personal representative is appointed, submit a written fee request to the Clerk early enough to be included with the estate accounting before the estate closes.

Talk to a Probate Attorney

If dealing with whether an executor fee makes sense in a small estate (and how to request it without creating conflict or delays), our firm has experienced attorneys who can help explain the options and timelines under North Carolina probate practice. Call us today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.