Wouldn’t it be Best If I Named a Family Member as My Trustee?

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Although family members will usually serve for little or no compensation, they may not be the best choice for a trustee. While the trust may allow for some discretion, some family members are prone to make decisions on an emotional basis. Most times, the family member is not an experienced trustee and does not know what is required of him or her under the law. If they make mistakes, they may face the wrath (and legal action) of the beneficiaries, or the beneficiaries may be unwilling to take action, and your plans and goals for the beneficiaries are not fulfilled.  If you do choose a family member as a Trustee, it is best to train them for the responsibility before you die. Perhaps your attorney or advisor provides successor trustee training, or you can spend time educating them now, before they are called upon to act.

Can I Have a Corporate Trustee and Family Member Trustee Act Together?

Yes.  A corporate trustee and family member trustee can act as co- trustees. In fact, this is sometimes a way to get the best of both worlds. The family member brings knowledge of the family situation, and the corporate trustee knows how to invest and maintain records.