What is a trustee?

A trustee is a person or company that is legally responsible for managing the estate of another person. In Washington, the trust agreement dictates who is appointed to act as trustee. The trustee is responsible for carrying out the instructions of the trust agreement, as well as managing the trust assets and distributing the assets according to the instructions of the trust agreement. The trustee also has the legal responsibility for ensuring that the trust assets and income are used for the benefit of the beneficiaries. The term "trustee" is sometimes used interchangeably with the term "executor," but the two have different roles. An executor is responsible for settling an estate after the death of an individual, while a trustee is responsible for managing the trust assets while the trust is active. The duties of a trustee will vary depending on the type of trust, the assets within the trust, and the instructions in the trust agreement. Generally, a trustee has a fiduciary duty to act in the best interests of the beneficiaries, which means they must only use trust assets and income to benefit the beneficiaries and cannot use trust assets or income for their own benefit. Along with this duty, the trustee must maintain records, file tax returns, and make distributions according to the instructions in the trust agreement. The legal responsibilities of a trustee are significant, and those appointed as trustees should take the responsibilities seriously and understand their obligations before accepting the role.

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