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hey there I'm Paul rambly I'm an estate planning attorney I've helped people for the last thirty years getting keep their legal affairs in order particularly people in in Louisiana so in this video we're going to talk about when to use a corporate trustee so I'm kind of in a good mood today for a couple of reasons one my Tigers won over the weekend we're number two in the country that's fantastic the other reason I'm kind of excited is my my second child my second son Taylor he passed the bar and he got sworn in to to the Louisiana State Bar Association today as a lawyer down in New Orleans we went and saw him get sworn in by the Louisiana Supreme Court so my two oldest are both now lawyers my third son he's doing a great job in a second year at Tulane law school so he'll be a lawyer where did I go wrong just kidding so real proud of you know all the hard work my kids have put in okay so in this video it's Wendy use a corporate trustee and let me narrow it down a little bit because there's lots of times where people designate trustees what I'm not talking about here is the you know the typical successor trustee designation of the avoid probate revocable living trusts where you know mom and dad have three kids they want to avoid probate they designate a trustee to distribute the assets to the three children after mom and dad pass away that's typically a child or one or more of the kids and it's it's a very temporary position just just long enough to disperse the trust assets out of the trust of the three kids but I'm not talking about that today I'm talking about the trustee designation when you give or leave money to a lot of money to a trust that's gonna last for a long time it may last for years it may last for decades it may last for generations so a few examples of that are you know parents says I leave 1 million dollars to my child in trust with all kinds of certain terms or or I leave $500,000 to each of my grandchildren in trust under certain terms maybe because you feel like the grandchildren will never get a education or a head start but their parent passed away or can't handle money or isn't responsible or maybe this could apply to a circumstance where a parent or parents say we leave our entire estate to a trust so you know so the kids don't get it all in a lump sum and there's various reasons why parents might do that not real common but comes up a lot all right so so now you're having to designate a trustee that will handle money for a long period of time should you name a corporate trustee should you name an individual trustee in this video I'm going to address on kind of the case for the corporate trustee and another video I'll make the case for an individual trustee so here's here's why corporate trustees should be used when you're making a trustee designation for a trust that will handle money for a very long time maybe a lot of money so the first reason to use a corporate trustee is really because of the corporate trustees expertise a corporate trustee in my corporate trustee you know all the large banks have trust apartments many of the large brokerage firms have trust companies well the public isn't aware of this they don't see it a lot but nonetheless they have you know there are these large corporate trustees and they have the expertise to get the job done they have the knowledge they have the experience they tend to stay abreast of all of the economic and in tax environment so they they have the expertise to get the job done second reason to use a corporate trustee is their objectivity in many many trusts it says okay this trust is set up for little Johnny and the trustee has the discretion to spend the money on Johnny or give little Johnny money for Johnny's health education maintenance and support so a corporate trustee you know maybe more objective in making those principle distributions more so perhaps than a than a family member or an individual who may not be able to to match the objectivity of that corporate trustee a third reason perhaps to use a corporate trustee is perhaps the investment experience a corporate trustee will likely develop you know an investment strategy that takes well takes well into account the few present and future needs of the beneficiary so you know corporate trustees that's that's what they do and that's what they do you know all day every day and then a fourth reason to use a corporate trustee when designating a trustee as of a trust for money that's going to handle four years is is all the accounting requirements trustees are are required to file accountings to prepare accountings and deliver them on a timely basis to the beneficiaries perhaps to the IRS and those corporate trustees you know they're all they're all set up to be able to provide those accounting zhan on a regular and timely basis to comply with all of the the requirements that trustees are you know required to fulfill so those are just a few of the reasons why you know corporate trustees by the way so that you can stay notified make sure you hit the subscribe button and then and hit the notification bill that comes up right after that to really you know stay informed of these things those are a few of the reasons why corporate trustees should be considered when you're making those trustee designations and because you're either giving or leaving a significant amount of money to a trust and that trustee is going to have to fill that role perhaps for many years perhaps decades and perhaps for even generations so I'm gonna go ahead and kind of tell you my my gut right now after doing this for 30 years III think that corporate trustees are not designated probably not designated often enough for two reasons one reason people don't like to designate corporate trustees is because they're just not familiar with them you know they've never dealt with a corporate trustee they don't know any corporate trustees and because they're not familiar then they're not gonna you know inject that into their estate planning program the second reason I think people don't use corporate trustees is they're they're afraid of the cost so you know most of the people that we deal with they're in their 60s they're in their 70s they are in their 80s they were raised to be very free frugal and save a penny when they can when they hear corporate trustee they think big fees and so right wrong or indifferent that just keeps people from designating corporate trustees and yes you could make an argument that whatever that corporate trustee fee is is is going to be made up through the investments and the savings on other expertise and the counting's and other things that they do but nonetheless it is a factor that keeps people from designating corporate trustees so as a corporate trustee right in every instance course not so in in another video I'm gonna make the case for the individual trustee and go over when that might be appropriate so you'll have to watch that video compare the two and then you you can be in a position where you can start making an informed decision if you're in one of those circumstances where you feel like you want to give or leave some sum of money or some portion of your estate to a trust for the benefit of your loved ones and and that might make sense because of your particular and maybe unique family circumstances so in the other video we'll talk about the make the case for the individual trustee don't forget to subscribe hit the notification bell hit the thumbs up like button I'm going to keep these things coming I hope this helps share share share share some comments below on your history your thoughts on designating a trustee and whether that should be a court