One of the questions people ask me is, “How do I choose a Trustee of my Trust?” For some clients, it is very obvious to them who it should be, such as the oldest child, a brother or sister. But for many, it is not so obvious.
There are two qualities I consider the most important in choosing a Trustee. The first is integrity. A Trust is a written contract, and it’s not a coincidence that the word “trust” is used as a title. These days, it seems like Probate is a dirty word, but it is good to remember that the Probate Judge serves as watchdog to see that things are done correctly. Instead of having the Judge set the timetable and make sure that your wishes are carried out, you are relying on the honesty of the Trustee to manage and distribute your Trust according to your written document.
The second is an ability to get things done. If the Trustee is a procrastinator, it is a real problem. Many people do not like to deal with paperwork, but that is a big part of the job of Trustee. The Trustee has to figure out how to collect and manage the Trust assets, file taxes, and keep beneficiaries informed.
If a Trustee does not carry out his or her duties in an honest or timely way, then often the only thing that a beneficiary can do is to hire an attorney and take the Trustee to Probate Court. This is a heavy burden on a beneficiary, since it is costly to start litigation, especially if the beneficiary waiting for his or her inheritance. People set up Trusts to save time and money, so choosing the right Trustee is a crucial part of making it work.
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