Choosing Your Estate Trustee
Trustees are the people who make your estate plan operate according to your wishes. They interact with your beneficiaries and make administrative and business decisions, standing in your place to implement your plan. The trustee will be responsible for gathering your assets, investing them conservatively while your estate is being administered, reporting their value to the government and paying taxes. He or she will also pay your creditors, report to your beneficiaries and a court and distribute your assets. Consequently, choosing your trustee is extremely important.
In some states, such as California and Texas, you can be your own trustee. If you have a partner, one or both of you can serve as a trustee. In New York, case law indicates that you can be your own trustee, but it’s more common for two people to serve as trustees. A partner or close family member could serve as a trustee in coordination with a professional trustee, hired through a bank or trust company.
When you choose a trustee, be sure that it’s someone who will carry through your wishes. Many people choose a partner and a family member to serve as trustees. However, gay, lesbian, bisexual and transgender people should carefully consider if their family of origin will be sufficiently sensitive to their wishes and values.