When you use a trust such as a revocable living trust to direct the transfer of your remaining assets to your heirs after your passing you have to choose a trustee.
The word trustee has some inherent implications. This individual or entity is going to be managing the funds that have been placed into the vehicle, and because of this fiduciary responsibility you clearly want to select a person or company that you trust.
The utilization of a trust company or the trust department of a bank to serve the role of trustee is an appealing option. There may be conflicts of interest if you select a friend or family member as your trustee, and you may not know anyone who has the appropriate qualifications.
These professional fiduciaries are trust management experts, so you can go forward with the peace of mind that comes along with knowing that your assets are being administered properly.
When it comes to a last will you have to choose an executor or executrix. Though the term “executor” is often used to describe either a female or a male administrator the formal term for a female administrator is executrix.
This is a sensitive position as well. While there may not be the need to manage investments over the long-term the executor must handle the business of the estate.
For this reason you don’t want to pick from the heart based on your relationship with the executor. You should be pragmatic about it and choose someone that has the business acumen that it will take to effectively get the job done.
The executor will need the assistance of a probate attorney so he or she will not be without support, but you do want to appoint someone who is comfortable handling business affairs.
Mr. Kraft assists clients primarily in the areas of estate planning and administration, Medicaid planning, federal and state taxation, real estate and corporate law, bringing the added perspective of an accounting background to his work.
Latest posts by Paul A. Kraft, Estate Planning Attorney (see all)
- If a Beneficiary Dies During Probate What Happens to the Inheritance? - September 18, 2019
- Is Your Power of Attorney Powerless? What to Do When a Third Party Won’t Honor an Agent’s Authority - September 11, 2019
- Are There Different Types of Special Needs Trusts? - September 4, 2019