Do Trustees Usually Get Paid?

Distributions happen when the trustee gives trust money or property to beneficiaries. The trustee must follow the trust terms, which may say when distributions happen, how much can be distributed, and whether the trustee has discretion to approve, delay, or deny a request.

Trust administration lasts as long as the trust requires. Some trusts are wrapped up after assets are distributed, while others continue for years or even generations. The timeline depends on the trust terms, the assets, the beneficiaries, and the purpose of the trust.

A trustee manages the trust and follows the trust instructions. That may include protecting trust property, keeping records, communicating with beneficiaries, paying trust expenses, making distributions, and making decisions the trust gives the trustee authority to make.

A successor trustee usually steps in when the current trustee dies, becomes incapacitated, resigns, or can no longer serve. Until then, the successor trustee may not have any active duties but should know where the trust documents are and what role they may need to fill later.

Trust administration costs are usually paid from trust assets. These may include legal help, accounting, tax preparation, property expenses, appraisals, trustee fees, and other costs needed to properly manage the trust.