When Interest Starts Running
A general pecuniary devise is a gift of a specific dollar amount in a will, such as "I leave $50,000 to my niece." The estate does not always distribute these gifts right away. Settling debts, selling property, and handling administrative tasks can take time. Arizona law accounts for this by building in a one-year grace period.
Unless a contrary intention is indicated by the will, general pecuniary devises bear interest at the legal rate beginning one year after the first appointment of a personal representative until payment.
A.R.S. § 14-3904After that first year, the beneficiary is entitled to interest on the unpaid amount at Arizona's legal rate. This encourages timely distribution and compensates beneficiaries when delays are unavoidable.
What the Testator Can Change
The will itself can override this rule. A testator who wants interest to accrue sooner, later, at a different rate, or not at all can include that instruction in the will. Without such a direction, the statute's default applies automatically. For personal representatives managing an estate, this is worth keeping in mind: cash gifts left unpaid past the one-year mark carry a built-in cost. Prompt distribution, when practical, avoids that accumulation.
