Are you creating, or have you created, a revocable Trust? How much thought did you put into your selection of successor Trustee? Many times people choose successor Trustee’s without much thought at all. For example, the oldest child is not always the best choice. Sometimes none of the children are a good choice–not because none of the children are trustworthy to act, but because a child can give the appearance of being biased to other children.
What about a corporate Trustee? Most people avoid corporate Trustees because they see them as being expensive and impersonal. That can be true. But the cost of a corporate Trustee may also be quite small compared to the cost of a Trust lawsuit brought on by an unqualified Trustee.
What about a private, professional Trustee? There are private professionals who act as Trustee for a fee. Unlike corporate Trustees, they tend to have a more hands-on approach and are willing to take more time with the Trust beneficiaries. Their fees are often less than corporate Trustees and they can be easier to work with overall. Best of all is private, professional Trustees give the appearance of being objective and unbiased, unlike a child acting as a Trustee.
Still want to name a child or friend as Trustee? That’s fine too, but take a look at our prior post setting out some important considerations in selecting a Trustee.
Choosing your successor Trustee may be the single most important decision in creating your revocable Trust. Choose wisely.