Public Trustee Frequently asked questions

What is a public Trustee?

A public trustee is an independent state/government appointed statutory authority that can act as an executor on behalf of the testator. They will to the best of their ability ensure the wishes via the will are followed. They will manage the deceased estate, pay debts and make all decisions related to asset distribution. Each state in Australia has their own public trustee.

What does a public trustee cost?

Each public trustee charges a % of the deceased estate's value, ranging from2% to 5%. If the estate has a property this means the cost can be upwards of $25,000 and well over $50,000 depending on the value of the property. Even simple estates with one property can be very expensive even though it was easy to manage the estate and could have been done by the executor. This is article showing the surprising high cost of Public Trustee for a simple deceased estate.

Can I trust a public Trustee to manage an estate?

Yes however they will have final say over asset distribution which can cause friction and arguments between beneficiaries and often families would like to handle this within the family.

What's good about using a public trustee?

Public trustees are professionals with a lot of experience. They will manage the entire process of all parts of the deceased estate and act neutrally. They can be trusted and that is why they charge a relatively high cost.

What's bad about using a public trustee?

Firstly the cost, any amount you pay the public trustee will be removed from the estate meaning all beneficiaries will receive less. With Australian property prices remaining high, using a public trustee usually costs in excess of $50,000. People have also complained about the slowness of asset distribution, poor communication with executors and beneficiaries and the cold bureaucratic nature of the public trustee meaning personal circumstances of beneficiaries are not accounted for. Ultimately the Public Trustee wants their fees more than the fast distribution of assets to beneficiaries which can be frustrating.

Here is an article outlining possible issues with using a Public Trustee.

When should I use a Public Trustee?

Public Trustees are best when there is no will, no executor, when the deceased estate is complex, when there are unclear beneficiaries or the will is challenged. The Public Trustee won’t make these issues go away but their impartiality will assist in reducing frustration.