Tyndallwoods Fee Information – Probate
“Probate” is the written authority of a Court to deal with property of a deceased person where there is a Will.
“Letters of Administration” is the same where there is no Will.
“Estate” refers to the property of the deceased at death taking account of monies owed.
“Executors” are people who have the authority to deal with the Estate.
“Administration” is the process of collecting and distributing of the assets and the settlement of the debts of the Estate.
We can help you to obtain the Grant of Probate from the Court. The cost will depend on the individual circumstances of the matter and the scope of our instructions from you.
Sometimes we are given all of the necessary information to apply for Probate, whereas others instruct the Firm to deal with the whole process and obtain all the information required to apply.
You may want us simply to obtain the Grant of Probate or you may want us to carry out the whole administration of the Estate from beginning to end, from preparing to obtain Probate to the final distribution of the Estate.
The size and complexity of the Estate and the different clients’ requirements will also affect the time spent on the matter and hence the cost.
Simple Estates
For a simple Estate where there is a Will and the gross value is less than £325,000 comprising, for example, a property and a bank account, we can offer a fixed fee of £950 + VAT to obtain Probate alone. This assumes the Executors can provide us with date of death valuations for all assets and a list of liabilities. The fee includes receiving details and valuations of assets and liabilities, drafting a Statement of Truth to record these, preparing an IHT205 form, lodging the necessary papers with the Court and receiving the Grant of Probate.
The fixed fee does not include the cost of collecting and distributing the Estate. This aspect of administering the Estate is calculated on a time-spent basis based at £200 per hour + VAT.
Complex Estates
We do not offer a fixed fee for obtaining a Grant of Letters of Administration or the Grant of Probate when the gross value of an Estate exceeds £325,000. This is because an Estate of this nature tends to consist of more assets and consequently requires additional work to be carried out. Assistance from you, for example, obtaining date of death valuations for all assets, will affect the amount of time spent on the matter which will be reflected in our costs.
Our work will include:
- Providing you with a dedicated and experienced probate solicitor or legal executive to work on your matter
- Identifying the legally appointed Executors or Administrators and beneficiaries
- Obtaining the relevant documents required to apply to Court for Probate
- Completing the Probate Application Forms and submitting the relevant paperwork to HM Revenue & Customs
- Arranging to pay any Inheritance Tax due
- Drafting a Statement of Truth
- Submitting the application to the Court and obtaining Probate on your behalf
- Liaising with the beneficiaries
- Preparing Estate Accounts for approval by the Executors (and any residuary beneficiaries)
- Calculating any income tax and capital gains tax liability accrued during the administration period
- Obtaining tax clearance from HM Revenue & Customs
- Collecting and distributing all assets in the Estate
Generally speaking, when the gross value of an Estate is between £325,000 and £1,000,000, we anticipate spending anything up to 50 hours subject to any added complications such as a dispute between beneficiaries on the division of assets, claims being made against the Estate etc. Time is charged on a time-spent basis at an hourly rate of between £200 – £260 + VAT depending on seniority.
Account may be taken of the value of the assets in the estate. To calculate the value element of the charge, we divide the estate into two parts:
- (a) The deceased’s residence
- (b) Value of rest of the estate
The value of the deceased’s home, or as much of it as they owned, if it was shared with another person. For example, where the property is jointly owned, the value is reduced by half.
An appropriate percentage will be considered in the light of the circumstances of the case where we are acting as sole executor or joint executor with another person as follows:
Value of gross estate less residence: Up to 1.5%
Value of residence: Up to 1%
The Final figure will be reviewed to ensure that the charges are fair and reasonable having regard to all the circumstances.
Dealing with the sale or transfer of any property in the Estate is not included in this cost estimate. Please follow this link to our conveyancing costs information page.
VAT
VAT is charged at the current prevailing rate of 20%.
Disbursements
We will handle the full process for you including payment of the following disbursements to ensure a smoother process:
- Probate application fee of £273 plus £1.50 for each court-sealed copy
- Bankruptcy-only Land Charges Department searches (£2 (+ VAT) per beneficiary)
- S27 Advertisements placed in the London Gazette and a local newspaper (£104.52 and approximately £100 + VAT (depending on the number of words in the advert)) to protect you against unexpected claims from unknown creditors.
Timing
Typically, obtaining the Grant takes up to 26 weeks.
Simple Estates may be completed within 12 months of the date of death – the Executor’s Year.
Complex Estates, on average, are dealt with within 12 – 18 months.
This does not take into account the time taken to sell any properties. Once this and the sale of any property has been completed, we can distribute the assets.
Inheritance Tax
This a very complex subject beyond the scope of an information leaflet to consider. We will advise you of this, calculate sums properly due and deal with HMRC on your behalf. This link will take you to the government information web site www.gov.uk/inheritance-tax
Liaison with others
On occasion for some more complex matters there will be accountants, investment managers or other advisers with whom we will need to liaise.