No one enjoys thinking about what will happen after they’re gone, but we all want our families to be well cared for. Many people set up trusts to provide for their loved ones, but the trust is only as good as its trustee.
Choosing a trustee is one of the more difficult decisions in creating your estate plan. Some attorneys suggest choosing several trustees to promote checks and balances, but sometimes choosing just one trustee can be difficult in light of family relationships and other factors. Choosing a trustee is a very personal and complex decision, but here are some basic guidelines one should consider:
• Responsibility, Expertise, and Common Sense
A trustee has several duties, including a duty to preserve, protect, and grow the trust while avoiding risks and dangers. Choosing a responsible person should the primary consideration. Responsibility means having good judgment, diligence, and common sense. A trustee must always have the ability to be objective, follow instructions, and consider the best interests of all the beneficiaries.
• Age and Availability
Oftentimes, the most qualified person is either busy or in poor health. This does not mean they should not be considered if they are truly the best candidate; however, you should consider the possibility that they may not be around or able to act as trustee when the time comes. In this situation, naming several successor trustees is highly advised.
• Professional Expertise
Professional expertise is not a requirement and is not always needed, but it should be considered and is encouraged in many circumstances. A corporate fiduciary should be considered when estate tax issues are present, or if family dynamics suggest the need for an un-interested, un-biased trustee or co-trustee. Financial institutions usually charge for their services and may be perceived as impersonal, but the advantages are objectivity, longevity, expertise, and experience.
• Co-Trustees
Naming a co-trustee can provide certain checks and balances, but it can also add a layer of complication and administrative burden in administering a trust. Unless sated otherwise, co-trustees must act in concert with one another in approving actions. Naming co-trustees should be made with the goal of avoiding conflicts and easing the administrative burden, and should be done with a good understanding of the skills and abilities each co-trustee can offer.
• Re-evaluation
Reviewing, revisiting, and reevaluating your estate plan should be done often because all kinds of facts and circumstances can change. When major changes take place, such as divorce, death, new marriage, etc., you should reconsider your estate plan and revisit your choice of trustees.
At Atlanta Financial, we stand ready to help you with your questions about your estate plan, or any other aspect of your financial situation. Contact me at 678-282-0296 to arrange a complimentary Second Opinion Review.
Share This:
At the most basic level, business transition planning is a strategy that can be put into play when a business is sold or changes hands. For company owners nearing retirement, a successful transition plan can play an important part in creating and preserving the value of the business after it has changed hands.
The travel industry has begun to see growing demand as we move closer to summer. However, not all travel will be the same, as much of the demand is directly related to the COVID-19 vaccine and reduced CDC restrictions. Instead, industry trends have emerged based on individual comfort levels as they apply to different modes of travel.
Below we will explore some of the factors that have contributed to an increase in travel and how different industries are responding to it.
Following a year of economic instability, it appears that many of us are turning our attention to something that’s been around for decades, but has recently piqued national interest – inflation. In fact, a recent study found that people are Googling the word “inflation” at a rapid rate, with a peak not seen since 2010…
As mothers, sisters and daughters, women are often counted on to be caregivers for family members in need. Whether it’s something as small as a cold or as debilitating as a terminal illness, women are typically the ones to care for and help out when a loved one is sick. But what happens when the caregiver is in need of her own care? Too many women are stuck facing this dilemma head on, instead of preparing for it while there’s still plenty of options, resources and time ahead. Below are a few reasons why it’s so important for women to plan for their own long-term care strategies now.
Please Note: Atlanta Financial Associates is a tradename. All services provided by Atlanta Financial Associates investment professionals provided in their individual capacities as investment adviser representatives of Mercer Global Advisors Inc. (“Mercer Advisors”), an SEC-registered investment adviser principally located in Denver, Colorado, with various branch offices throughout the United States doing business under different tradenames, including Atlanta Financial Associates.
The presence of this website on the Internet shall not be directly or indirectly interpreted as a solicitation of investment advisory services to persons of another jurisdiction unless otherwise permitted by statute.
All written content on this site is for information purposes only. Opinions expressed herein are solely those of Atlanta Financial, unless otherwise specifically cited. Material presented is believed to be from reliable sources and no representations are made by our firm as to another parties’ informational accuracy or completeness. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation. All investing involves risk, including the potential for loss of principal. There is no guarantee that any investment plan or strategy will be successful.
Copyright 2021 | All Rights Reserved | Privacy Policy | Customer Relationship Summary
