Pozzuolo Rodden, P.C. Releases " Estate Planning- How to Appoint an Executor and Trustee" which discusses the benefits of Corporate Fiduciaries and Co-Fiduciaries

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An important estate planning decision is to decide who will serve as fiduciary of an estate or trust. The decision is important because the position carries significant responsibility. Appointing corporate and individual co-fiduciaries may be the best decision because the corporate co-fiduciary will provide professional administration and the individual co-fiduciary will provide the personal touch and decision-making from someone who knows the decedent’s or settlor’s wishes best.

The Law Firm of Pozzuolo Rodden P.C., announces the release of the article "Estate Planning- How to Appoint an Executor and Trustee ". Below is a sample of the first couple of paragraphs. If you would like to read more, please read the full article and other corporate law or estate planning topics at http://www.pozzuolo.com/Pubs_Newsletters.shtml.

Estate Planning- How to Appoint an Executor and Trustee

Who you appoint as executor of your will or as trustee of your trust is an important decision because the positions carry significant responsibility. Executors and trustees (“fiduciary” or “fiduciaries”) must efficiently administer your estate or trust, respectively, and your fiduciary will have responsibility for the financial well-being of your current and future beneficiaries. You may appoint as executor or trustee individuals or certain financial institutions, like banks or trust companies, or a combination of the two. There are benefits to choosing each, and who you should choose will depend on your desires, needs, and financial circumstances.

1.    Corporate Fiduciaries

You may appoint a corporate executor and corporate trustee. Generally, the choices for corporate fiduciaries are banks, specifically their trust or wealth management department, or trust companies.

Experience. In cases where the estate or trust is complex and will require significant time and effort to oversee, a corporate trustee is normally recommended. Corporate fiduciaries generally will have experience, having provided such services countless times before. Most likely, your fiduciary will have to manage the investment of trust or estate assets. Corporate fiduciaries can provide an investment platform for you the client – they can tailor your investment goals to your needs, and the needs of your beneficiaries, whether they be to maintain principal or generate income or a combination of the two. Ultimately, your fiduciary must be comfortable making investment decisions or choosing and monitoring investment professionals, weighing and evaluating distribution requests, and making other important decisions. Corporate fiduciaries do this on a regular basis and will have the resources and contacts to necessary to make the important investment decisions your trust or estate may require.

Recordkeeping. Your fiduciary must be willing to accept significant recordkeeping responsibilities. Your fiduciary will have to account for the receipt and disbursement of income and principal from the estate or trust assets. It will have to prepare and file tax returns. On top of all the standard recordkeeping that must be completed, your fiduciary will have to keep up with all the changes in tax and other estate/trust laws and regulations. A corporate fiduciary will have access to accountants, lawyers, and other professionals who will assist in the administration and preparation of these records.

Continuity. Corporate fiduciaries are generally permanent in existence. Permanence is important because you may establish a trust with administration that lasts for decades. If you appoint an individual as trustee, he/she may die, become ill, or otherwise be unavailable to perform the services required through the duration of the trust’s existence. Rather, you want a presence in that position to be able to adapt and last through your family’s changing and continuing situation.

Objectivity. Families will often fight amongst themselves and corporate trustees are generally impartial. Families fight especially when emotions run high, such as after the death of a loved one and/or head of a family. Thus, it may be wise to appoint an outsider to oversee the administration of your trust or estate. A corporate fiduciary will make decisions free from bias and considerations of family dynamics, and will not succumb to pressure from a beneficiary who wants inappropriate distributions to be made. A corporate fiduciary will treat all beneficiaries as they are supposed to be treated under the terms of the document......

If you would like to read more, please read the full article "Estate Planning- How to Appoint an Executor and Trustee" and other corporate law or estate planning topics at http://www.pozzuolo.com/Pubs_Newsletters.shtml

Pozzuolo Rodden, P.C. provides specialized cost-effective legal services to privately held business owners and high-net-worth clients in Pennsylvania and New Jersey in excess of 35 years.

Practice Areas:

Business planning and transaction, complex business litigation, commercial real estate and development, construction law and litigation, advanced estate planning and administration, tax and pension law, high profile and intricate family litigation, and employment law and litigation.

Pozzuolo Rodden, P.C.
Counselors at Law
2033 Walnut Street
Philadelphia, PA 19103

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Joseph R. Pozzuolo, J.D., B.B.A.
Pozzulo Rodden, PC
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