Sure You're Choosing the Right Trustee?
Are You Sure You are Choosing the Right Trustee for Your Living Trust?
One of the most important, yet challenging, aspects of creating a trust-based estate plan is deciding whom you will choose as your trustee.
To ensure that your assets are managed after your incapacity or passing, you must legally transfer ownership of assets to the trustee. The trustee will then manage the assets for the benefit of your beneficiaries. What is a trustee and how should you go about choosing one? A trustee can either be a person or a corporate financial institution that you nominate in your living trust to manage your trust assets on your behalf. Duties of the trustee include buying and selling assets, paying bills, filing tax returns, and distributing income and principal to, or on behalf of, your beneficiaries. Choosing a trustee is not a task that should be taken lightly. Your trustee should be someone with integrity whom you know will put the needs of your beneficiaries above all. Being a trustee requires time, expertise, and responsibility. Managing a trust can take months, even years. Therefore it is crucial that your trustee have a life longer than your own. Additionally, it may be helpful if your trustee lives in close proximity to your beneficiaries. This will allow the trustee to complete trust-related tasks more easily and, ultimately, distribute the assets to the beneficiaries. A close friend or relative whom you trust may be a safe choice for a trustee, but keep in mind that the job of trustee can be stressful and extremely time consuming. In some cases, it might be in your family’s best interests to appoint a professional or corporate trustee. In this regard, your estate planning attorney can help you make the right choice.
Based on the following blog post: pozzuolo.com/choose-right-trustee-estate/