The trust administration process is crucial to the distribution of assets and must properly follow all of the guidelines that were originally set up in the trust. In this way, the administrator of the trust could be closely connected to the family members and other beneficiaries until the process is complete, working with them to make sure they get their money on time and in the right fashion.
How long will this process continue? It could be almost any amount of time, from weeks to months to years. It all depends on that specific trust and what it is going to accomplish. For instance, a special needs trust could be established to hold assets and keep them out of an individual’s personal estate so that they still qualify for government assistance. However, that person will have those special needs for the rest of their life, so the administrator has a long-term relationship with them and helps to ensure that they get what they need without putting those benefits in jeopardy.
Similarly, an educational trust could be set up to help a younger heir pay for college tuition. While there is still some variance there, it’s likely that the trust will only be administered for four or five years, until the person finishes school. If there are still funds in the trust, it should describe what the administrator will do with them at that point.
Regardless of the type of trust you have, this is a very important role and it is crucial to have the right administrator who understands what is asked of them, who knows exactly how to fulfill the requirements of the trust and who can do so in an efficient and professional fashion.