Few things create more emotional turmoil than losing a loved one. Yet, only 34% of Americans have established estate plans. A lack of planning during life can leave families—while grappling with grief—navigating potential conflicts, the probate system, inheritance taxes, and other complex issues.
Creating a clear and decisive estate plan is one important step to help alleviate conflict and difficulty for family members left behind. However, without the help of a corporate trustee, an enormous burden can still fall on loved ones and friends.
Working With A Corporate Trustee For Post-Mortem Estates
Managing the loss of a loved one can become a challenging, and often painful process. The added responsibility of serving as an executor of a family member’s or friend’s estate can make an already difficult time even more overwhelming. Appointing a corporate executor can relieve some of the stress those left behind experience after a loss.
A corporate executor is responsible for administering and distributing the assets, settling debts, and ensuring everything is carried out as prescribed in the individual’s Will.
A corporate executor can provide individuals and families solutions to:
1. A complex estate plan. Couples or individuals who recognize the complicated laws, taxes, and other considerations surrounding their estate plan choose a corporate trustee for their knowledge and experience.
2. Family conflict. Families can have differing ideas when working through an estate. Many wish to avoid putting family members in a situation that leads to unnecessary discord.
3. No living relatives. Some people do not have close family or friends that they wish to name as the executor of their estate.
Working with a corporate trustee, like Cumberland Trust, can look different for each estate depending on the needs of the family or the desires of the individual.
How Cumberland Trust Can Help
Cumberland Trust is a collaborative, non-competitive partner that can serve as a corporate executor with your client’s best interests in focus.
At Cumberland Trust, we help families administer post-mortem estates and trusts as:
- Executor
- Co-Executor
- Administrative Trustee
- Co-Administrative Trustee
- Agent of Post-Mortem Accounts
When Cumberland Trust serves a family in one of the above capacities, we take on everything – from sorting through important tax requirements to cataloging a client’s personal belongings.
Here are a few of the many tasks we provide:
- Transferring assets
- Paying bills
- Preparing and filing tax returns
- Assist with special assets, such as real estate or LLCs
- Canceling credit cards
- Donating items/clothing
- Closing accounts and turning off utilities, etc.
Why Collaborate With Cumberland Trust
Just as each person and family is unique, so is each estate left behind. An estate must be administered carefully, considering a broad range of assets, the testator’s specific wishes, and the beneficiaries’ unique personalities.
We offer centralized expertise and experience.
Our internal team of experts is highly experienced in navigating the intricacies of modern family dynamics, illiquid assets, and unique trust and estate circumstances.
More than half of Cumberland Trust’s post-mortem trust officers are attorneys who have a vast understanding of estate laws. When needed, the estate team works in conjunction with special asset administrators who focus solely on the administration of illiquid assets and the complexities of maintaining those assets to serve the beneficiaries.
Cumberland Trust is an impartial and objective partner.
Unlike friends and family members serving as executors or individual trustees, Cumberland Trust is regulated and held to a high fiduciary standard. This assures neutrality, transparency, and professional governance with all clients.
As an impartial third party, we can help minimize conflicts among family members and beneficiaries. We make decisions based strictly on the terms of a client’s estate documents, eliminating emotional bias.
We provide continuity and reliability.
With significantly fewer clients per administrator than the industry average, Cumberland Trust can offer attentive and personalized service. Our clients get to know their trust officer.
Unlike individual executors who may become unavailable due to illness, injury, business travel, or other personal circumstances, a corporate executor, with many on-staff professionals and established teams dedicated to estate administration, is always available.
Maintaining Control Of Your Estate Plan With A Corporate Trustee
One common misconception is that a corporate executor lacks the personalized, relationship-based experience that an individual executor can provide. Some individuals prefer having someone they know handle their estate affairs without thinking about the complexities that go along with estate administration.
It is important to understand that a corporate trustee like Cumberland Trust does not make financial or business decisions on behalf of an individual or family. Instead, we execute the estate plan as it was written and allow the beneficiaries to process their grief without being burdened by the myriad tasks involved in estate administration.
However, there are options to get both the benefits of a corporate executor and the insight of a family member or friend:
Appoint a Co-Executor
Appointing a co-executor brings more than one individual or entity together to jointly oversee and administer your estate. Co-executors share responsibilities and decision-making authority. This arrangement can provide checks and balances, distribute the workload, and reduce the risk of a single executor making unilateral decisions.
Name a Trust Protector
A trust protector is a third-party individual or entity with specific powers and duties related to overseeing and safeguarding the administration of a trust. A trust protector serves as an additional layer of protection and can help the beneficiary(ies) adapt to changing circumstances or challenges that may arise over time.
Name a Property Manager
A property manager involves designating an individual or entity to oversee real estate or other illiquid or non-conforming assets owned by the estate. This appointment ensures that the estate’s illiquid assets are effectively managed and can generate income and retain their value.
Support During a Time of Grief
In these different roles, the Cumberland Trust Estate and Post-Mortem Trust Administration teams help families navigate the intricacies of estate administration. To learn more about how Cumberland Trust can serve your client, contact our team.