Probate & Administration of Estates
When a loved one passes away it can be difficult to know where to start and what to do. We can help you discover the extent of their assets and liabilities, apply for the Grant to allow you to manage and wind up their estate, calculate and pay any tax, distribute the estate to the beneficiaries in accordance with the Will or, if there is no Will, apply the rules of Intestacy and advise as to steps that might be taken to mitigate Inheritance Tax (both now and in the future).
We anticipate that an estate administration (which is not contested and where all of the assets are in the UK) will take between 15 and 25 hours work at the fee earner’s hourly rate. From 1 September 2024 total costs are estimated at £3,500 to £10,000 (plus VAT and expenses/disbursements*). We will handle the full administration process for you.
Our fee earners’ hourly rates are between £300 per hour (plus VAT) and £200 per hour (plus VAT). The hourly rate depends on the experience and qualifications of the individual fee earner. You can find out more about our fee earners by clicking ‘Meet our Lawyers’ above.
The exact cost will depend on the individual circumstances of your matter. For example, if there is one beneficiary and no property, the costs will be at the lower end of the range. If there are multiple beneficiaries, a property (or properties) and multiple bank accounts, the costs will be at the higher end, and may exceed the estimate above.
This quote is for estates where:
There is a valid UK Will (or a straightforward intestacy e.g. where there is a surviving spouse and no children, or where there is no surviving spouse, but there are surviving adult children who are all able to manage their own affairs)
- There is no more than one property
- There are no more than five bank or building society accounts
- There are no other assets
- There are one to four adult beneficiaries who are all able to manage their own affairs
- There are no disputes between beneficiaries on division of assets. If disputes do arise, this is likely to lead to an increase in costs
- There is no Inheritance Tax payable and the executors do not need to submit a full account to HMRC
- No trust arises under the Will/intestacy
- There are no claims made against the estate
How long will this take?
On average, estates that fall within this range are dealt with within 6 to 12 months. Typically, obtaining the Grant takes 3 months. Collecting assets and settling liabilities then follows, which is dependent on the speed of response (in particular from HMRC and the DWP). Once this has been done (subject to clearance from claims against the estate) we can distribute the assets, which normally takes 4 to 8 weeks.
If Inheritance Tax is payable, or a full account to HMRC is required for any other reason, additional costs will arise and it is estimated that the matter will take between 15 and 35 hours work at the fee earner’s hourly rate. From 1 September 2024 total costs are estimated at £4,000 to £20,000 (plus VAT and expenses/disbursements*).
How long will this take?
On average, estates that fall within this range are dealt with within 24 months. Typically, obtaining the Grant of probate takes 6 months. Collecting assets and settling liabilities then follows, which is dependent on the speed of response (in particular from HMRC and the DWP). Once this has been done (subject to clearance from claims against the estate) we can distribute the assets, which normally takes 4 to 8 weeks.
Expenses/Disbursements* which are in addition to these fees are commonly as follows:
- Probate application fee – £300
- Land Charges Department searches – £2 + VAT (per UK-based beneficiary)
- Notice in The London Gazette and a local newspaper to protect against unexpected claims from unknown creditors – £200 – £400 (approximately. This depends on which newspaper is required).
*Expenses/Disbursements are costs related to your matter that are payable to third parties. We handle the payment of expenses/disbursements on your behalf to ensure a smoother process.
Potential additional costs:
- If there is no Will, or the estate consists of any share holdings (stocks and bonds), there are likely to be additional costs that could range significantly, depending on the family circumstances, the estate and how it is to be dealt with. We can give you a quote once we have more information.
- If a trust arises under the Will/intestacy there are likely to be additional costs that could range significantly, depending on the type and nature of the trust. We can give you a quote once we have more information.
- If any additional copies of the Grant are required, they will cost £1.50 each (we usually suggest to obtain one per asset and a few spares).
- Dealing with the sale or transfer of any property in the estate is not included.
- Submission of a Tax Return (Income Tax and Capital Gains Tax) to HMRC is not included. If the tax position of the estate is complex, we may recommend the instruction of an accountant and we can assist with this.
If you wish us to undertake only a specific part of the administration for you, a quote will be provided (which is based on the fee earner’s hourly rate) once we have clarified which aspects of the administration you do and do not wish for us to undertake on your behalf.
For more information, or to arrange an initial meeting, please contact the Private Client team on 01937 547000 or email at info@hartlaw.co.uk.
