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I have recently assumed the duties of
successor trustee for a friend who is unable
to care for her affairs any long. The
experience has taught me a great deal about
how to prepare for such a situation and the
considerable burden placed upon the
successor trustee.
First, it is very important to have all your
documents, tax returns, and list of common
bills maintained and in a place that can
easily be found. As in this case, some of
the bills had been unpaid for some time. A
successor trustee is likely to face a mess
because the original trustee often does not
know that he or she has not paid bills.
If you take care of these matters while you
are capable, the process of repairing damage
when you are no longer so is going to go
much easier.
Banks, creditors and mortgage companies will
have to be contacted and convinced that you
are, as successor trustee, legitimately
entitled to the information about the
accounts and debts. Declarations from
doctors familiar with the original trustee
that he or she is now unable to care for
themselves will be essential.
Often the same person named as successor
trustee will also be named as agent in a
health directive and power of attorney. If
that is the case, it will make it much
easier for taking care of the person who is
now incapacitated.
Keeping other family members appraised of
your actions is usually advised. California
law requires that the successor trustee
account for their handling of the estate
once a year. It is often wise to resist
providing this information to beneficiaries
or family informally, however, because you
do not want to have a conflict with the
formal account.
In summary, the duties of a successor
trustee for a person unable to care for
themselves is much more complex and time
consuming than the same role after a person
has died.
There are issues such as medical care,
shopping for necessities and food, whether
to keep the automobile, and a host of other
common every day decisions.
The moral of the story is, when you choose
your successor trustees, consider the
burdens to be placed upon them if you become
unable to care for yourself at some point.
Yes, they are entitled to compensation, but
they will necessarily take on a considerable
burden and use of their time.
When choosing such a person, it is essential
to go over what I have described to make
sure they are willing to take this on.
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