When considering the many tools available to create an estate plan, some California residents may wonder whether they need more than a will. While a will certainly is a useful and essential estate planning document, other tools can help make a plan more comprehensive. For example, trusts can have many uses and offer asset protection that wills cannot. Of course, some parties may worry about who to put in charge of a trust, but luckily, the answer could be easy.
Some individuals may worry about appointing a family member to such an important role because it may cause strife with other family members. Fortunately, individuals can appoint an outside party to manage and administer the trust. A corporate trustee can take on the necessary responsibilities and potentially prevent family squabbles over who is in charge.
A corporate trustee could work at a bank or another financial institution and has the experience and financial knowledge to effectively and efficiently handle a trust. A professional can better protect against attempts to gain assets from the trust, such as through litigation, and can manage complex predicaments that a family member or other amateur trustee could struggle with. Plus, because a corporate trustee has no stake in the trust itself, the account may be better managed without bias.
Some California residents may think trusts are complicated or that loved ones will not know how to properly administer them. Fortunately, family members do not have to be put in the position of acting as a trustee. If individuals are interested in adding this estate planning tool to their plans, they may want to go over the benefits with knowledgeable attorneys.