Subject to s. 738.504, and except as otherwise provided in s. 738.601(3)(b) or (c), a fiduciary shall disburse from income:

(1) One-half of:

(a) The regular compensation of the fiduciary and of any person providing investment advisory, custodial, or other services to the fiduciary to the extent that income is sufficient; and

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Terms Used In Florida Statutes 738.501

  • Distribution: means a payment or transfer by a fiduciary to a beneficiary in the beneficiary's capacity as a beneficiary, without consideration other than the beneficiary's right to receive the payment or transfer under the terms of the trust as defined in this section, will, life estate, or term interest. See Florida Statutes 738.102
  • Fiduciary: A trustee, executor, or administrator.
  • Fiduciary: includes a trustee, a trust director as defined in…. See Florida Statutes 738.102
  • Income: means money or other property a fiduciary receives as current return from principal. See Florida Statutes 738.102
  • Income interest: means the right of a current income beneficiary to receive all or part of net income, whether the terms of the trust require the net income to be distributed or authorize the net income to be distributed in the fiduciary's discretion. See Florida Statutes 738.102
  • Independent person: means a person who is not:
    (a) For a trust:
  • Person: means an individual; a business or a nonprofit entity; an estate; a trust; a public corporation; a government or governmental subdivision, agency, or instrumentality; or other legal entity. See Florida Statutes 738.102
  • Principal: means property held in trust for distribution to, production of income for, or use by a current or successor beneficiary. See Florida Statutes 738.102
(b) An expense for an accounting, judicial or nonjudicial proceeding, or other matter that involves both income and successive interests to the extent income is sufficient.
(2) The balance of the disbursements described in subsection (1), to the extent that a fiduciary who is an independent person determines that making those disbursements from income would be in the interests of the beneficiaries.
(3) Any other ordinary expense incurred in connection with administration, management, or preservation of property and distribution of income, including interest, an ordinary repair, a regularly recurring tax assessed against principal, and an expense of an accounting, judicial or nonjudicial proceeding, or other matter that involves primarily an income interest, to the extent that income is sufficient.
(4) A premium on insurance covering loss of a principal asset or income from or use of the asset.