Skip to Content

We are a Veteran Owned Business, providing 20% discounts for Veterans, First Responders, Elementary and High School teachers. We remain open during the shutdown period, so please contact us to set up a phone or Zoom meeting. Taking care of you and your family, It's What We Do!

Klenk Law

Guardianships exist in many forms. Likewise, the amount of work they require differs significantly among the variety of guardianships. Guardians are appointed over a person, over their property, or even over both. The two situations in which we most commonly encounter guardianships are related to minors and too incapacitated persons. Incapacity is a broad label, usually including any person who can no longer care for themselves or manage their own finances. This article addresses Guardianship Fees in New Jersey.

Fee Schedule for Guardians in New Jersey

New Jersey has adopted the same fee schedule for guardians and trustees. The bifurcated approach that allows a guardian to take a percentage based fee on any income received during the year, and another percentage based on the principal. It should be noted, similarly to trustee compensation, a court can approve a fee larger than the statutorily prescribed limit for unusual or extraordinary services. These fees can be taken annually until the guardianship ends.

Guardian Income Commission

Guardians in New Jersey are entitled to a 6% fee on all income received by guardian annually.

Guardian Corpus Commission

Guardians are entitled to an annual commission on the corpus of the trust. This includes money that qualified as income in previous years and has since been reinvested. The statutory fee for all property is .005 of the first $400,000 and .003 on the value of the corpus that exceeds $400,000.

So for example, the corpus commission on a trust with a value of $3.5 million would be:

$400,000 x .005 = $ 2,000
$3,100,000 x .003 = $ 9,300
Annual Corpus Commission = $ 11,300

Guardianship Percentage-Based Termination Fee

In addition to income and corpus commissions, when the guardianship is terminated, the guardian is entitled to a percentage-based termination fee. This fee depends on the value of the trust and amount of time they served as guardian prior to termination. Finally, the above fees and percentages change based on the number of guardians serving. The above assumes that only one guardian is serving. If more than one guardian is serving, a small percentage is added to the overall commission, to be divided among the serving guardians.

In our blog we will provide examples from case law of what happens when a Guardian charges a commission above these limits in New Jersey.  Guardianship Fees in New Jersey is an important subject to both the Guardian, the incapacitated person and the rest of the family.

If you have questions about guardianship fees in New Jersey or any other estate planning concerns contact our office for a free consultation.

What Our clients are saying

Klenk Law Logo
Stars

Very knowledgeable! Peter Klenk always has a thorough answer, and the associates have more experience than you'll find at most firms. They really only do estate work.

Klenk Law Logo
Stars

Peter is a model attorney who puts his clients first at all costs. His extensive expertise in estate planning and tax planning was a great comfort as we began, and have expanded, our family. He is very thoughtful, generous, and quick witted. His approach towards his business has been an inspiration to his peer group, and his zest for life is extremely infectious. Without reservation, I highly recommend Peter as trusted and cherished counsel

Klenk Law Logo
Stars

Mr. Klenk has been easy to work with. I am confident he has given me good advice whenever I have called upon him. He has shown good work ethic and depth of knowledge in preparation of estate, wills, and trusts that I have worked with him on.

Klenk Law Logo
Stars

Peter explained a complex subject very clearly, helped us to decide the best approach to managing our estate and then made it very easy for us to execute the required documents. He will be a valuable resource for years to come and clearly has a great understanding of estate law that will lead to innovative solutions for us. I would unhesitatingly recommend him for estate planning.

Klenk Law Logo
Stars

Mr. Klenk, quickly understood the circumstances presented and provided clear and concise advice. This advice provided me with the information I required to progress the case to my advantage.

Let us put our expertise to work for you.

Free consultation within 24 hours.