There are several reasons why a settlor should consider hiring a professional trustee instead of selecting a family member when it comes to serving as trustee of a special needs trust. First, the time commitment of managing so many tasks and moving parts can be too much for an inexperienced trustee. Second, the rules for ensuring a beneficiary remains eligible for numerous government benefits may be hard for a novice to follow. Lastly, the intra-family complications that may arise when the beneficiary (or others) place pressure on the family-member-trustee can cause a strain on all the relationships involved. For these reasons alone, a settlor should strongly consider a professional trustee when settling a special needs trust.
See Gerry W. Beyer, "Opting for a Professional Trustee for a Special Needs Trust," Wills, Trusts & Estates Prof Blog (Nov. 13, 2011).
Posted by Andrew Hodes, Associate Editor, Wealth Strategies Journal.
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