Executor Compensation in BC: The Real Numbers and Your Right to Say “No Thanks”

Being named as the executor of an estate in British Columbia can feel like both an honour and a burden. While it means the deceased trusted you, it also comes with paperwork, deadlines, and asset management.

Naturally, two common questions arise: How much can an executor be paid? And what happens if they don’t want the job?

Executor Fees in British Columbia

Executor compensation in BC is governed by the Trustee Act, which provides that executors are entitled to fair and reasonable compensation for the work they perform. Unlike some jurisdictions that prescribe fixed rates, British Columbia leaves compensation flexible, with courts looking at the complexity of the estate, the time involved, and the degree of responsibility the executor takes on.

In practice, compensation is frequently calculated as a percentage of the estate. A commonly accepted guideline is up to 5% of the gross value of the estate, along with a possible annual care and management fee of up to 0.4% where the estate requires ongoing oversight. Importantly, these figures are not automatic. They are ceilings rather than entitlements, and courts can vary the amount depending on how the estate was handled. A well-organized executor who keeps records and moves the estate forward efficiently is more likely to receive the higher end of compensation than one who delays administration or cannot account for their work.

Do Executors Need Approval to Get Paid?

Yes. Being named in a Will does not guarantee payment. Executors must keep detailed time and expense records and either obtain agreement from all beneficiaries or seek approval through a court passing of accounts. Beneficiaries sometimes challenge fees if they believe the executor did not communicate, charged too much, or prolonged administration.

What if the Executor Doesn’t Want the Job?

Sometimes the named executor simply isn’t the right person for the task. They may live far away, have health challenges, or lack the bandwidth to manage an estate on top of work and family responsibilities. The law recognizes this, and fortunately, executors are not forced to serve.

If the executor has not yet taken any active steps, such as contacting banks or dealing with assets, they may renounce the role by filing a Renunciation of Probate in the Supreme Court of British Columbia. This is a formal declaration that they will not act. However, once an executor starts dealing with the estate, resigning becomes more complicated. At that point, they may need to apply to court to be removed or relieved of their duties. The court can then appoint an alternate executor named in the Will, a beneficiary, or in some situations, the Public Guardian and Trustee. Where no one is available or willing to step in, the court can appoint an administrator under the Wills, Estates and Succession Act (WESA).

If an executor renounces before doing any work, they generally are not entitled to compensation. If they carried out tasks before stepping down, the court may consider paying them for work completed, but only where records exist to justify the payment.