What is the difference between a trustee and an executor?

The difference between a trustee and an executor is that they both deal with an individual’s estate, but they do so in different ways. An executor is responsible for ensuring that the deceased’s will is carried out and his or her estate assets are distributed in accordance with the wishes of the deceased. An executor is typically responsible for gathering the deceased’s assets, paying off creditors, paying the deceased’s taxes, and then distributing whatever is left to the designated beneficiaries. A trustee, on the other hand, is responsible for administering a trust. A trust is established by an individual, known as the settlor, who transfers property to another individual, known as the trustee, and directs the trustee to manage and invest the property for the benefit of the trust beneficiaries. The trustee is responsible for managing the trust’s assets, investing them wisely, and delivering the trust assets to the beneficiaries according to the terms of the trust. In Texas, the trustee is also responsible for filing an annual report to the court that details the trust’s activities.

Related FAQs

What is an irrevocable life insurance trust (ILIT)?
What is a trust protector?
What is an irrevocable trust?
What is a trust deed?
What is a grantor?
What is the difference between a will and a trust?
What is an irrevocable trust?
What is a durable power of attorney?
What is the role of an attorney in an estate plan?
What is a revocable trust amendment?

What is the difference between a trustee and an executor?

Related FAQs

Related Blog Posts