How Much Does a Trustee Get Paid in Kentucky?
In Kentucky, trustee compensation follows "reasonable compensation" (UTC § 708 or equivalent)Ky. Rev. Stat. § 386B.7-080Verified Sep 18, 2026View source unless the trust instrument sets a different amount.
Kentucky allows a trustee reasonable compensationKy. Rev. Stat. § 386B.7-080Verified Sep 18, 2026View source, with no statutory schedule, so the amount turns on the type of trustee and the work. A family trustee typically takes 0% to 1% of trust assets a year, or waives the fee; a professional trustee 0.5% to 1.5%; a corporate trustee 1% to 2% with an annual minimum of about $5,000.
Yes. Trustee compensation is taxable income to the trustee. In Kentucky, that means federal income tax and state income taxKRS 141.020(2)(f); KRS 141.081; KY DOR 2026 Withholding Tax FormulaVerified Sep 20, 2026View source at up to 3.5%KRS 141.020(2)(f); KRS 141.081; KY DOR 2026 Withholding Tax FormulaVerified Sep 20, 2026View source. A professional trustee also owes self-employment tax on it; a family trustee who is not in the business of serving reports it as other income. The trust deducts the payment as an administration expense.
Yes. A family member serving as trustee in Kentucky is entitled to the same compensation as a professional. Many family trustees waive or reduce the fee, especially when they are also beneficiaries, since the fee is taxable income to the trustee while a distribution usually is not. A record of time and duties is what supports any fee taken if a beneficiary or a court asks.
A one-time fee fits a trust that distributes everything and closes, the way an executor is paid once for a probate. An annual fee fits a trust that continues for years, such as one holding assets for a minor child or a beneficiary with special needs. Which model applies follows the trust's purpose, not Kentucky law. The Kentucky executor fee calculator is the comparison for a one-time distribution.
The two roles differ in length: an executor handles a probate that runs 6 months to 18 months, while a trustee may manage assets for years. In Kentucky, executor compensation is reasonable compensation set by the courtKRS 395.150(1) (compensation may not exceed 5% of personal estate plus 5% of income; real property excluded from base); KRS 395.150(2) (court may allow additional compensation for unusual or extraordinary services). Calculator estimates effective compensation on the gross estate at 2–5%; the 5% statutory rate is not applied directly because real property is excluded from the statutory base.Verified Sep 8, 2026View source, and trustee compensation is set by the trust document or a reasonable-compensation standardKy. Rev. Stat. § 386B.7-080Verified Sep 18, 2026View source. A one-time trustee fee on a trust that distributes at once is often comparable to the executor fee on an estate of the same size.
Is this your situation?
Get a complete guide for your specific circumstances.
Forms for Settling an Estate in Kentucky
Free forms for settling an estate in Kentucky: the probate petition, small estate affidavit, notice to creditors, inventory, and closing forms.
Tools for Settling an Estate in Kentucky
Free tools for settling an estate in Kentucky: whether probate is needed, executor and trustee pay, creditor deadlines, and inheritance taxes.
How Do I Settle a Trust?
Settling a trust in Kentucky happens outside court: the trustee acts under the state's Uniform Trust CodeKRS 386B.1-010 et seq.Verified Oct 17, 2026View source, notifies the beneficiaries within 60 daysKRS 386B.8-130Verified Sep 15, 2026View source, then pays the debts and distributes under the trust's terms.
How Many Death Certificates Do I Need?
In Kentucky, certified death certificates come from the Kentucky Cabinet for Health and Family Services - Office of Vital StatisticsKentucky Cabinet for Health and Family Services - Office of Vital StatisticsVerified Oct 15, 2026View source; the first copy costs $6Kentucky Cabinet for Health and Family Services - Office of Vital StatisticsVerified Oct 15, 2026View source.
Do I Need Probate?
In Kentucky, estates with personal property of $30,000KRS 391.030Verified Sep 8, 2026View source or less qualify for the Petition to Dispense with AdministrationKRS 391.030Verified Sep 8, 2026View source, a court procedure short of full probate.
How Do I Open a Trust Account at My Bank?
Compare trust-account requirements bank by bank: how a revocable trust account is opened or retitled, and what proves the trust.
Do I Have to File Tax Returns for Someone Who Died?
Kentucky requires a final state income tax return for the decedent alongside the federal Form 1040KRS 141.020(2)(f); KRS 141.081; KY DOR 2026 Withholding Tax FormulaVerified Sep 20, 2026View source; a federal estate tax return (Form 706) is required only for estates above $15,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source.
How Do I Settle an Estate?
Settling an estate in Kentucky: the personal representative files the estate inventory within 90 daysKRS 395.250Verified Sep 15, 2026View source of appointment; creditors have 6 monthsKRS 396.011, 396.015, 396.055, 396.095, 424.340Verified Oct 18, 2026View source to present claims; a simple estate closes in 6 months to 12 months.
What Do I Do When Someone Dies?
After a death in Kentucky, the estate either qualifies for the simplified procedure for estates under $30,000KRS 391.030Verified Sep 8, 2026View source or goes through probate, where creditors have 6 monthsKRS 396.011Verified Sep 8, 2026View source to file claims after notice.
Hire a Kentucky Trust Administration Attorney
Browse 28 trust administration firms in Kentucky with addresses, contact info, and practice details.
Your kids shouldn't have to do this.
Kentucky Estate Settlement Resources
In-depth guides covering Kentucky probate, estate administration, and settling an estate.