Board certified elder law attorney Kellen Bryant explains your options for choosing who will be in charge of your estate or trust after you pass away.

Question: “Do I have to use an attorney or trust company to be in charge of my estate or trust after I pass away?”

This is a common concern, especially when clients see their former attorney named as personal representative on old wills or feel pressured during the estate planning process. The good news is that you have complete freedom in making this important decision.

You Have Complete Freedom of Choice

Sometimes clients come in with old wills that have their former attorney named as their personal representative. You don’t have to feel pressured into using any attorney that you’re working with as your drafting attorney, or any trust company that is working with the attorney.

You have absolute freedom of choice of who you name as trustee.

Your options include:

• Family members (children, siblings, other relatives)
• Close friends you trust
• Professional fiduciaries (attorneys, CPAs, trust companies)
• A combination of family and professionals

When People Choose Professional Fiduciaries

Typically, people will use an attorney or trust company to settle their estate if they’re having family issues. Here’s why:

Common Reasons for Professional Trustees

• Family conflicts or dysfunction
• They want to make sure things happen according to plan, not “willy-nilly”
• They want to ensure there’s a set plan that’s going to be followed
• They want professional expertise in estate administration
• They need neutral, third-party management

Estate Size Considerations

More often than not, it’s more likely to use a professional fiduciary when the estate is higher – maybe around $500,000 of total assets or more.

Larger estates benefit from professional management because:

• Complex asset management requirements
• Tax planning and compliance needs
• Investment management responsibilities
• Higher potential for family disputes over larger sums

Important Considerations When Using Professionals

If you’re deciding that using an attorney, CPA, or trust company as your trustee or personal representative fits your situation, there are important factors to consider:

Your Estate Planning Must Be More Precise

If you’re going to have professionals settle your estate, your estate planning is going to need to be a little bit more strict.

Here’s why:

• You’ll want to spend more time thinking things through
• Whoever you name is going to follow everything exactly to the letter in the legal document
• Professional fiduciaries won’t make judgment calls the way family might
• They’ll strictly adhere to the written instructions in your will or trust

You definitely want to think things through so nothing unexpected pops up at the end that wasn’t clearly addressed in your documents.

Get All Fee Information Upfront

You want to get all information about the professional personal representative or trustee upfront so there are no surprises.

Important questions to ask:

• What are the fees? (hourly rates, percentage of assets, flat fees)
• How are fees calculated and charged?
• What services are included?
• What additional costs might arise?
• How do they delegate duties? (to other professionals, staff, etc.)

Understanding the Professional Role

Attorneys serving in this role as trustee or personal representative – it is time-consuming, it is a job.

Professional trustees typically handle:

• Asset inventory and valuation
• Tax return preparation and filing
• Investment management decisions
• Distribution to beneficiaries
• Legal compliance and court filings
• Communication with beneficiaries

Making the Right Choice for Your Family

Consider these factors when deciding between family and professional trustees:

Choose Family When:

• Family members get along well
• Your estate is relatively straightforward
• You have a trustworthy family member with good judgment
• Cost savings are important

Choose Professionals When:

• Family conflicts exist or are likely
• Your estate is complex or large ($500,000+)
• You need specialized expertise
• You want neutral, objective administration
• No family members are suitable or willing

A Hybrid Approach

Many people choose a combination approach:

• Family member as primary trustee with professional as successor
• Co-trustees (family member and professional working together)
• Professional advisors to assist family trustees when needed

The Bottom Line

You are never required to use any particular attorney or trust company as your trustee or personal representative. The choice is entirely yours and should be based on your family dynamics, estate complexity, and personal preferences.

Take time to carefully consider your options, ask detailed questions about fees and services if considering professionals, and make sure your estate planning documents clearly reflect your intentions regardless of whom you choose.

This information is provided by Attorney Kellen Bryant, Board Certified Elder Law Attorney. For personalized guidance about choosing the right trustee or personal representative for your estate plan, consult with a qualified estate planning attorney.