off topic, kinda

[Safire]

Does anyone here act as a trustee of an estate?

I have been approached with the possibility of taking on this position for a new client but I have no clue how much I should charge for such a service. Any advice? Thanks in advance.

[erchess]

I don't serve as a trustee but I have two thoughts

You probably know approximately what you make per hour already and whether you are satisfied with that or need to increase it. You may or may not wish to offer a volume discount from that rate. But you will definitely need to add something for the liability you will be assuming. I assume you know that if the entity of which you are trustee cannot pay its liabilities the Trustees have to do so. I don't see how you can possibly estimate that cost without a conversation with an insurance agent or perhaps more than one agent. Assuming you already have E & O insurance I would start with the agent who sold that policy. I would increase my coverage by either an increase in and probably a rider to my E $ O or I would get or increase an umbrella liability policy. You will want to either include the entire liability coverage increase in what you charge this client or seek other trusteeships and recoup the expense from all of them.

You're not out to gouge the organization, but you need to put in your pocket enough money to cover what your professional time is worth and to cover all your expenses including the increased cost of your liability insurance.

[JoshinNC]

Estates don't have trustees, they have executors

Does anyone here act as a trustee of an estate?

I have been approached with the possibility of taking on this position for a new client but I have no clue how much I should charge for such a service. Any advice? Thanks in advance.

Trusts have trustees. So, are you being asked to be the trustee of a trust or the executor of an estate? I am named as the executor or co-executor in a number of my client's wills, and some of those wills have testamentary trusts in them for which I am also named as the trustee.

Don't take this the wrong way, but if you're this hung up just on the terminology maybe you're not the best person for the job. At least not until you take the time to bone up on the differences and requirements.

[Safire]

Thanks erchess, very helpful information. I did not realize that I could take on financial responsibility. I should have thought about that though, knowing that if you sign your clients payroll forms you are accepting financial responsibility there.



And Josh, it is a trust, I just used the "terminology" that the client used, as to him, it is his estate.

[JoshinNC]

I know I came off "hard"

Thanks erchess, very helpful information. I did not realize that I could take on financial responsibility. I should have thought about that though, knowing that if you sign your clients payroll forms you are accepting financial responsibility there.



And Josh, it is a trust, I just used the "terminology" that the client used, as to him, it is his estate.

I just wanted to make sure that you understood what you were getting into, potentially.