Picking the individual – or individuals – to help carry out your estate plan is a big decision!
When you pass, you know you want Aunt Bettie to get your silverware, Cousin Bob to get the tools, and your kids to get their intended portion of the inheritance.
You want to make sure to pick someone who will carry out YOUR wishes, and not someone who is easily swayed or plays favorites.
Above all, you want your family to continue to be close, and without resentment after your Will has been read.
Here are some things to consider when picking out a Personal Representative or Trustee:
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Is the potential Personal Representative (PR) or Trustee also a beneficiary of your Will or Trust?
- When my great-grandfather died, he had his eldest son as the Personal Representative of his Will. The problem? The son was also a beneficiary, and while he distributed personal items to his siblings, he took the house for himself. This was not foreseen, as the son had been quite upstanding before this. Nothing was done about it as this was seen as the son carrying out his father’s wishes.
So, When choosing a PR you might want to consider choosing someone who isn’t a beneficiary.
- When my great-grandfather died, he had his eldest son as the Personal Representative of his Will. The problem? The son was also a beneficiary, and while he distributed personal items to his siblings, he took the house for himself. This was not foreseen, as the son had been quite upstanding before this. Nothing was done about it as this was seen as the son carrying out his father’s wishes.
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Do they constantly argue or have a vendetta against others?
- If you know that your potential PR or Trustee is difficult to work with, or has spiteful tendencies, it’s good to keep in mind that they will not change once given the authority of distributing your Will or Trust.
It’s best to find someone that can be diplomatic and keep to your wishes as was laid out in your estate plan.
- If you know that your potential PR or Trustee is difficult to work with, or has spiteful tendencies, it’s good to keep in mind that they will not change once given the authority of distributing your Will or Trust.
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Have you considered making a Law Firm or Financial Advisor your PR or Trustee?
- Most law firms and financial institutions have experience in fulfilling the duties of a PR and Trustee, and have no grudges against particular family members/beneficiaries. In most cases, they will carry out your wishes the most accurately, but will charge for their time. If the inheritance is substantial or multiple properties are owned, this is the way to go. If neither of those circumstances apply, then finding a friend or close relative is just as good.
