Role of Professional Fiduciary in Trust Administration
If you choose to set up a trust instead of a will, you will need to appoint a trustee to administer the assets in the trust and and the distribution of your assets after you pass away. The trustee can be a loved one or a close friend, but sometimes these individuals may not be suitable for handling the trust administration in an objective manner. Sometimes hiring a legal professional or a professional fiduciary is recommended, especially if your estate is very large and you foresee potential conflicts over the administration of your trust.
Trust attorneys can not only help you create a trust; they can also recommend a third-party neutral professional fiduciary to handle the administration of the trust. Giving this fiduciary duty to a professional trained in the legal aspects of trusts can help speed up the process, avoid legal actions and may help lessen the conflicts among surviving family members.
A professional fiduciary can handle the whole gamut of trust administration including:
- Notifications: all beneficiaries as well as government entities and other organizations will need to be notified of the person’s death. This includes Social Security Administration, the Department of Health, Veterans Affairs, life/health insurance companies, mortgage companies, banks, credit card companies, etc.
- Management: the entire trust estate will need to be assessed and valued, all outstanding debts/bills reconciled, gains and losses reported, taxes filed, etc.
- Distribution: all assets should be properly distributed to the beneficiaries
- Compliance: a professional fiduciary will ensure that all state and federal laws regarding trusts are followed with full compliance
- Litigation: if there are any contests to the trust, a professional fiduciary will be uniquely prepared to handle any legal issues that arise in the quickest manner possible
To learn more about trust administration in Denver, contact the Denver estate planning lawyers at The Brown Law Firm LLC. Contact us at (303) 339-3750 or send us a message online to meet with our experts.