Volume 2, Issue 2
May 2026
Understanding the Role of a Trustee
This issue, we revisit an important topic—what it truly means to be a trustee. Many people accept this role out of love and duty, yet few fully understand the responsibilities and expectations that come with it.
Whether named as a successor trustee, financial power of attorney, or healthcare power of attorney, the person selected has been chosen because of their integrity, compassion, or ability to manage important decisions. However, it's surprising how often trustees don't realize what their role entails until the moment comes—and by then, it can feel overwhelming.
What Is a Trustee?
A trustee is an individual who manages assets on behalf of someone else through a trust instrument. Unlike an executor (or personal representative in Washington State), who acts after someone's passing, a trustee may step in during a person's lifetime, especially if health issues arise or assistance becomes necessary.
Trustees carry significant responsibility—overseeing finances, paying bills, managing investments, and making sure the trust's instructions are followed. Yet, these duties are often misunderstood or underestimated until the need becomes real.
Why a Trust Instead of a Will?
While a Last Will directs assets to the right beneficiaries after death, a trust goes further. It allows for greater flexibility, planning for tax issues, long-term financial care, and support in case of incapacity.
• Revocable Living Trusts allow full control to the Trustmaker during their lifetime and can be changed if circumstances evolve
• Irrevocable Trusts are fixed once established but may serve specific legal or financial purposes
Choosing the Right Trustee
Choosing a trustee isn't simply a matter of naming the oldest child or closest relative. Instead, consider:
• Do they manage their own finances responsibly?
• Are they organized and detailed?
• Will they honor your investment philosophy and financial values?
• Are they willing to collaborate with your financial advisor or other professionals?
• Do they have a lifestyle that can be interrupted and take on the responsibilities?
In our process, we have asked out clients these critical questions to make sure the right successor trustee is elected. But life circumstances can change—a trustee named years ago may no longer be the best fit due to health, location, or personal challenges. Fortunately, revocable living trusts allow updates as needed.
Should You Appoint Co-Trustees?
Some families consider appointing multiple trustees to share the responsibility. While possible, this approach can create administrative hurdles, especially if financial institutions require multiple signatures. Differences in opinion may also lead to conflict, potentially delaying important decisions. Often, a single trustee is the better choice.
Key Takeaways
• Trustees carry significant responsibilities—both financial and legal
• Trusts often provide greater flexibility and control than wills
• Carefully consider who has the skills, judgment, and willingness to carry out your wishes
• Review and update trustee designations as life circumstances evolve
Learn More
Visit legacyandfaith.com for:
• Past podcasts of The Legacy & Faith Show
• PWP provides annual successor trustee training where we detail the responsibilities and legal requirements should the position be handed to you. You can find previously recorded sessions on our website by clicking HERE
Disclaimer: This newsletter is for general educational purposes only and does not constitute legal advice. For personal guidance, please consult an estate planning attorney.