Can I Pay the Guardian a Salary

I recently spoke with Emily, whose father’s Will named her as guardian of her 17-year-old sister, Sophia. Emily was understandably concerned about the financial implications. Sophia had substantial assets, including a brokerage account and a rental property. Emily’s biggest worry wasn’t about managing the funds, but whether she could be compensated for the time and effort required. She’d read online that guardians were supposed to act selflessly, and feared asking for payment would be perceived as unethical or even illegal. She’d already missed a week of work taking Sophia to appointments and navigating the school system, and the stress was mounting. The cost to Emily could easily be $5,000 or more in lost wages and unforeseen expenses.

As an Estate Planning Attorney and CPA with over 35 years of experience, I frequently address these concerns. The short answer is yes, you can typically pay a guardian a salary in California, but it’s significantly more nuanced than simply deciding to do so. The method and amount of compensation are governed by the Probate Code, and the Court ultimately has oversight.

What Exactly Does a Guardian Do?

A guardian is appointed by the Court to care for the personal needs of another person, a ward, who is unable to do so themselves. This can include minors, individuals with disabilities, or those suffering from debilitating illnesses. The responsibilities are extensive: providing housing, food, clothing, medical care, and education. It also involves making important life decisions on behalf of the ward, and acting in their best interest. A guardian also has strict financial responsibilities, including managing the ward’s assets, filing reports with the Court, and making prudent investment decisions.

How Does Compensation Work?

California Probate Code Section 1626 allows for reasonable compensation for guardians. However, it’s not an automatic right. You must petition the Court for approval, and the compensation must be demonstrably justified. The Court will consider factors such as the time spent, the complexity of the ward’s needs, the value of the estate, and the guardian’s experience and qualifications.

Importantly, the compensation is often based on a statutory rate, typically calculated as a percentage of the ward’s estate, or an hourly rate as determined by the Court. The statutory rate can vary, and is often less than a comparable professional caregiver. Documenting your time meticulously is crucial, and invoices must be submitted to the Court with supporting documentation.

The CPA Advantage: Valuation & Capital Gains Considerations

As a CPA as well as an attorney, I always emphasize the importance of understanding the ward’s financial position. The value of the assets under guardianship significantly impacts the available compensation. A proper valuation is critical, and errors can lead to disputes with the Court. Furthermore, if the guardianship involves the sale of assets, potential capital gains taxes must be considered. Understanding these tax implications is essential for responsible financial management and can minimize the estate’s tax burden.

What Happens If the Guardian Doesn’t Petition for Compensation?

While not required, a guardian can waive compensation. However, this doesn’t absolve them of their fiduciary duties. They must still act in the ward’s best interest, and maintain accurate records of all financial transactions. Waiving compensation may have unintended tax consequences, so it’s best to discuss the implications with a qualified professional before making a decision.

Can I Be Compensated for Expenses?

Yes. In addition to a salary, guardians can typically be reimbursed for reasonable expenses incurred while caring for the ward. This can include medical bills, transportation costs, clothing, and educational expenses. Again, all expenses must be properly documented and approved by the Court.

What About Digital Assets?

In today’s world, digital assets often represent a significant portion of an estate. Codified in California Probate Code §§ 870–884, the RUFADAA (Revised Uniform Fiduciary Access to Digital Assets Act) grants executors and trustees legal authority to manage a deceased person’s digital accounts, provided the decedent gave explicit “written direction” in their Will, Trust, or via an online tool (like Google’s Inactive Account Manager). This includes accessing email accounts, social media profiles, and online financial accounts. It’s critical that guardians understand their rights and responsibilities regarding digital assets, and that the necessary documentation is in place.

What If Sophia’s Estate is Small?

Inheritance: Under Probate Code Section 13100 (updated effective April 1, 2025), estates with a gross value exceeding $208,850 must generally undergo formal probate. This threshold is scheduled to remain fixed until the next inflation adjustment on April 1, 2028. If the estate falls below this threshold, a simplified process may be available, which could impact the level of Court oversight and the ability to petition for compensation.

How do California courts decide whether a will reflects true intent or creates ambiguity?

In California, a last will and testament operates within a probate system that emphasizes intent, clarity, and procedural compliance. When properly drafted, a will does more than distribute property—it creates legally enforceable instructions that guide courts, fiduciaries, and beneficiaries through administration with fewer disputes and less uncertainty.

When a will is drafted with California probate review in mind, it becomes a stabilizing roadmap rather than a source of conflict. Clear intent, proper authority, and compliant execution protect both families and estates.

Official Legal Mandates and Resources for California Guardianship

• Mandatory Judicial Forms:
  Judicial Council of California – Guardianship Forms (GC Series)
  Access the complete library of “GC” (Guardianship and Conservatorship) forms required for filing a petition in California. In 2026, this remains the official source for mandatory background screening forms and the specific notices required for relatives under the Probate Code.
• Self-Help Procedural Guide:
  California Courts – Guardianship Self-Help
  An official judicial resource providing step-by-step instructions for families seeking legal custody. This guide explains the critical 2026 distinctions between Guardianship of the Person (physical care and health) and Guardianship of the Estate (financial management of the minor’s assets).
• Acknowledgment of Fiduciary Duties:
  Duties of Guardian (Form GC-248)
  The mandatory Judicial Council document that every prospective guardian must sign. It acknowledges your legal obligations regarding the minor’s education, health, and welfare, and establishes your ongoing accountability to the California Probate Court.
• Statutory Authority:
  California Probate Code § 1500 (Guardianship)
  The definitive statutory authority governing the appointment of guardians. This code stipulates that a parent or third party can only be appointed if it is proven—under the “Clear and Convincing” evidence standard—that parental custody would be detrimental to the child’s best interests.