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Choosing a trustee is an important part of trust preparation

| Oct 17, 2019 | Trust Preparation |

Creating a trust that performs well and will ultimately fulfill its purpose without any problems takes time and effort. This is why people in Georgia usually take trust preparation quite seriously. However, there is one aspect of this process that most people do not deliberate on enough — choosing the right trustee.

The trustee is the person who will manage the trust and pay out benefits accordingly. This takes a certain level of knowledge and understanding of various topics, including investment management, tax planning and more. Rather than simply choosing the closest family member or oldest friend, the person creating the trust should consider the choice from a business perspective. Who has the ability and the know-how to get things done and to get them done correctly? An individual who fulfills these criteria and can act objectively — including a corporate trustee — may be the most appropriate choice.

Some people are not comfortable choosing leaving their trusts solely in the hands of corporate trustees. While these are professional, third-party individuals who can make objective decisions, a person may also choose to have a loved one or friend act as trustee alongside a corporate trustee can be the best of both worlds. Each trustee can fulfill his or her trustee duties while drawing on the other’s expertise.

Trust preparation is all about getting the details right. Whether a Georgia resident wants to establish a charitable trust or provide ongoing financial support to loved ones, he or she should feel confident in the trustee or trustees’ ability to do so. This means that the person creating the trust should understand the ins and outs of the trust and what skills are needed to properly manage it.

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