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California Trustee compensation: Prob. Code §15681, explained

California gives Trustees no fee schedule. If the Trust sets compensation, that generally controls; if it is silent, Prob. Code §15681 entitles the Trustee to compensation that is reasonable under the circumstances. Here is how California approaches the number — and why paying yourself is a decision to paper carefully.

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How California approaches the number

  • Trust terms first. If the instrument specifies compensation, the Trustee is entitled to what it says — though a court may allow more or less if the duties turn out substantially different from those contemplated, or the specified amount is unreasonably low or high.
  • If the Trust is silent: compensation reasonable under the circumstances. There is no statutory percentage for California Trustees — courts weigh things like the size of the Trust, the work actually performed, the skill required, and customary charges.
  • Other services count separately: a Trustee who renders services beyond the trustee role may be allowed reasonable compensation for those in addition. Professional fiduciaries often publish fee schedules; family Trustees commonly charge modestly or waive — choices, not requirements.
  • Don't confuse it with the attorney's fee. The Trustee's own compensation is governed by Prob. Code §15681; the attorney the Trustee hires is paid the fee they agree — California sets no presumptive attorney fee for trust administration.

The governing provisions

  • Reasonable compensation where the instrument is silent

    Prob. Code §15681 ↗

    Clear, simple explanation; the verbatim statute text is not yet attested in our library. See the official statute via the link above.

  • Duty of loyalty

    Prob. Code §16002 ↗

    Clear, simple explanation; the verbatim statute text is not yet attested in our library. See the official statute via the link above.

  • Absolute, sole or uncontrolled discretion

    Prob. Code §16081 ↗

    Clear, simple explanation; the verbatim statute text is not yet attested in our library. See the official statute via the link above.

Why paying yourself needs care

  • Paying yourself is a self-interested act by a fiduciary — the duty of loyalty (Prob. Code §16002) is in the room. Document the basis, the rate, the time, and the work before the money moves.
  • If you are also a beneficiary, the line between compensation and distribution matters: Prob. Code §16081 limits self-dealing discretion, and compensation that looks like a disguised distribution invites challenge.
  • Beneficiaries will see it: compensation appears in the Trust accounting (Prob. Code §16062). A number that surprises them there is how disputes start.
  • TrusteeClear treats paying yourself as a gated action — the record is assembled before the payment, and a firm-supervised matter routes it to the attorney first.

General information about California law, not legal advice.

Frequently asked questions

How is a California trustee paid?
If the trust instrument provides for the trustee's compensation, the trustee is entitled to it, and a court may fix greater or lesser compensation on the showings Prob. Code §15680 describes; if the instrument is silent, the trustee is entitled to reasonable compensation under the circumstances (§15681). Expenditures properly incurred are repaid from the trust (§15684). California sets no schedule for a private trustee.
Can a California trustee pay themselves?
A trustee may take the compensation the instrument provides or, where it is silent, reasonable compensation (Prob. Code §15681) — but paying yourself is a self-interested act to document carefully: the duty of loyalty (§16002) and the limits on self-dealing (§16004) apply, and the compensation appears in the account (§16063(a)(3)). A trustee who is also an attorney takes either the trustee's or the attorney's compensation, not both, unless §15687's approval is obtained.
What makes trustee compensation "reasonable" in California?
The statute sets no percentage and no schedule: it entitles the trustee to reasonable compensation under the circumstances where the instrument is silent (Prob. Code §15681), and a court may fix, allow or review the reasonableness of a trustee's compensation on petition (§17200(b)(9)). The probate percentages of §§10800 and 10810 belong to a personal representative and that representative's attorney, not to a private trustee.

General information about California law, not legal advice.