by Chelsea Ray Riekkola
Selecting a Trustee is one of the most important decisions you will make in setting up a trust-based estate plan. The Trustee is the person (or institution) responsible for managing trust assets, following the terms of your trust, and working with beneficiaries and professional advisors during administration. This role is more than symbolic—it requires time, patience, organization, and good judgment. Below are key factors to consider when deciding who should serve in this capacity.
Geographic Proximity. While a Trustee does not need to reside in Alaska, proximity may make administration significantly easier. A local Trustee is often better positioned to manage in-person responsibilities, such as handling real estate, meeting with professionals, or delivering original documents to financial institutions. While long-distance or even international Trustees are legally permitted, they may face delays and logistical challenges—especially when coordinating across time zones or navigating international tax reporting requirements. If an out-of-state Trustee is selected, it is important that this person understand that they may have to travel on more than one occasion to deal with physical property held by the Trust.
Family Relationships and Dynamics. The person you select to succeed you in administering your trust, often referred to as the Successor Trustee, should be someone who can put the interests of all beneficiaries ahead of their own. This is often easier said than done, especially when the beneficiaries are family members. The Trustee will likely receive frequent questions or even pressure from other beneficiaries regarding timelines, distributions, and investment decisions. Choosing someone who can respond with patience and professionalism—and who won’t take things personally—can go a long way in keeping the administration on track and reducing family friction.
Administrative and Organizational Skills. Trust administration involves a wide range of responsibilities: notifying beneficiaries, managing accounts, maintaining records, coordinating with accountants, attorneys, and other professionals, and sometimes selling property or consolidating investments. Many of these tasks require navigating the policies and procedures of banks, brokerages, and insurance companies—often requiring the Trustee to complete lengthy forms, make it through multi-step verification procedures, and persistently follow up. Your Trustee should be someone who is comfortable with paperwork, detail-oriented, and capable of following through.
Recordkeeping and Transparency. A Trustee must keep accurate records of all expenses, income, time spent, and decisions made on behalf of the Trust. These records are essential not only for transparency with the beneficiaries, but also for preparing fiduciary income tax returns and meeting legal obligations. The ideal Trustee will be someone who is comfortable tracking and sharing information, and who understands the importance of documentation and accountability.
Time Commitment and Personal Capacity. Serving as a Trustee is a real commitment. While some trusts can be administered in less than a year, others may require attention for several years—depending on the complexity of the assets and terms of the Trust. Your Trustee should be someone who can realistically make time to manage these responsibilities, even when it means setting aside personal or professional obligations temporarily. Sometimes the individuals who appear to be the best-suited to the role of Trustee for the other reasons already listed are not actually capable of devoting the necessary time to complete the administration in a timely fashion because they are already overextended personally or professionally.
A Note on Multiple Trustees. It is possible to name multiple individuals as Co-Trustees. However, doing so can add complexity to the administration. Co-Trustees must coordinate on all decisions, manage communication jointly, and sign off on all key documents—often leading to delays, especially if they live in different states or have different communication styles.
Finding the Right Fit. In many cases, no single person embodies all the qualities listed above. Naming Co-Trustees (e.g., a family member alongside a professional) or a corporate Trustee, such as a bank trust department, may be worth considering if your plan involves complex assets or long-term management. Then again, it may be that you need to choose the person that is the best fit, and inform them that they should work closely with their professional advisors when serving in a Trustee capacity. No matter the circumstances, it is important to weigh the pros and cons of each option to find the best fit for your goals, as a well-chosen Trustee can help ensure that your wishes are carried out efficiently and respectfully—and that your loved ones are supported when they need it most.