There are numerous benefits to establishing a revocable living trust. It is possible to make occasional adjustments to the trust documents until the trustor dies or becomes incapacitated.
Additionally, the party funding the trust can also choose to act as the initial trustee managing the resources and administering the trust. If a trustor decides to act as the initial trustee of their revocable living trust, they generally need to designate a successor trustee to take over their position when they can no longer administer a trust.
When does a successor take over?
Successor trustees often assume responsibility when the initial trustee dies. They assume responsibility for managing trust resources and making appropriate distributions to beneficiaries. The trust may play a critical role in the legacy of the deceased trust creator.
Other times, successor trustees assume responsibility for the trust when the initial trustee becomes incapacitated. They could take over temporarily during a short-term medical emergency or permanently if the trustor develops dementia or another permanent medical disability.
Successor trustees generally need to be in good health. They need to be ethical and competent. They also need to be willing to accept the responsibility of trust administration. It can be difficult for trustors to make the best choices without neutral outside input, especially if they intend to appoint a trustee from within their inner circle.
Working with a legal professional to create a revocable living trust can be a wise choice. Trustors who have appropriate guidance can make the best decisions regarding the structure of their trusts and also the selection of their successor trustees.
