Selecting your trustee is an important choice. The ideal trustee is trustworthy, excellent with cash, and appreciates you. If you do not have a family member helper who fits this description, you might desire to call a business fiduciary (a bank or trust company) to serve as a co-trustee with a relative or as the sole trustee.
Banks will serve as trustee of your trust and/or administrator of your estate. Of course, they must be paid for their work. All trustees have the right to be paid for their work. Fees vary from.75% approximately 1.5% of the assets. There is likely an additional charge for property management as most banks demand supervising of the financial investments if they are functioning as trustee. You can discover the particular trustee charges and property management costs on the bank’s website.
Often bank trustees have special requirements to serving as trustee. These requirements must be included in the drafting of your estate plan. If you are naming a bank as trustee, your estate planning attorney will contact the bank to determine what language, if any, should be consisted of in your trust. Your estate planning lawyer will likewise talk about a trustee succession plan. For example, would you want your beneficiaries to be able to remove the bank trustee and replace it with a various bank if they are dissatisfied with the service or if the bank you name gets “consumed” by one of today’s mega banks?
When considering whether a bank trustee is proper for you, keep in mind that your relative trustee can hire all the help she or he requires. Typically trustees work with estate planning attorneys, CPAs, accountants, and monetary consultants to guide them and make good decisions.