Should You Select Your Child To Be A Trustee?

Selecting the right trustee is one of the most important estate planning decisions you will ever make.

Going over whether or not you should select your child to be a trustee, and speaking with a lawyer, will allow you to develop the best possible trust. 

What Is A Trustee? 

A trustee is a third party who you authorize to execute your trust and, in turn, to manage the assets within the trust.

Just as an example, if you have a trust that contains your home and your automobile, then you can authorize an individual to manage those assets and, in turn, distribute them as per your wishes.

No matter who you select as your trustee, they are bound to the laws regarding that trust, as well as a goal.

The goal, in question, is as follows: to always serve the interests of the beneficiary, when managing your trust.

Given the importance of your trust, as well as the complexities that can arise from managing a trust and, in turn, executing it, it is of the utmost importance that you select the right trustee.

Can You Select Your Child To Be A Trustee?

If your child is a beneficiary of the trust, then they can, generally speaking, be your trustee.

The above is only true, though, if they are not the sole beneficiary.

If you select your daughter, and she is one beneficiary, out of six others – several sisters, among others, for example – then they can be your trustee.

But, if they are the sole beneficiary, then they cannot be your trustee.

Outside of the above, there are a number of problems that can arise, if you select your child to be a trustee. And, in turn, there are a number of benefits that can arise from doing so.

Going over both will make it easier for you to make the right decision.

What Problems, And Benefits, Can Arise From Selecting Your Child As A Trustee? 

Out of all the problems that can arise, from selecting your child as a trustee, the most notable are as follows:

• Your child may intend to prioritize their own desires, as opposed to satisfying their obligations.
• Your child may manage your assets in a manner that allows them to have more than other beneficiaries.
• Your child may fail to manage your assets properly, forcing them to lose their value.
• Your child may be unable to handle the taxes and other, related, elements of your trust.
• Your child may not understand their duties and, as such, fail to accomplish them in the proper manner.

On the other hand, the most notable benefits that can arise, from selecting your child as a trustee, are as follows:

• Your child may understand the value of your assets and act accordingly.
• Your child may know the beneficiaries and, as such, act in their best interest.
• Your child may understand your wishes and work to satisfy them.

The above must be coupled with the skills and abilities that being a trustee requires.

Speak With A Florida Estate Planning Lawyer Today 

If you would like to appoint your child as the trustee of your estate, then you need to make sure they are up for that particular role.

Speak with a Florida estate planning lawyer at the Millhorn Elder Law Planning Group today and we will assess your child, and their abilities, so that you can determine whether or not they are fit to be the trustee of your estate. 

 Source: 

law.cornell.edu/wex/trustee

law.cornell.edu/wex/beneficiary