An Often Overlooked Solution - Hiring a Professional Fiduciary

When we think about legacy, we often think about the more pleasant things - such as passing down wealth, family traditions, and values. But one of the most essential, less fun pieces of legacy planning is the mechanics of who will carry out your wishes when you’re gone.

Ask yourself:

·      Do you have someone you trust to ensure your estate is executed exactly as you intend?

·      Does that person have the time to manage the process while balancing their own work and family?

·       Are you confident that your estate distribution won’t create conflict among loved ones?

If you answered “no” to any of these, consider hiring a professional fiduciary.

Why Many Families are Re-Thinking the Default Choice

When creating an estate plan, most people default to naming a spouse, adult child, or close friend as Executor or Trustee. In practice, that may not be the best decision. Here are a few common scenarios I see:

The Overwhelmed Child

A couple names their daughter as Executor. She’s trustworthy - but she is also raising young children and working full-time. Settling an estate requires significant time and energy, from cleaning out a home to navigating probate paperwork. It can quickly become overwhelming, especially for someone not in the financial or estate planning profession.

The Friend

A client without children names a friend. The friend is happy to be their person and to help, but they also lack the time, expertise, and long-term availability to manage complex estate matters.

The Family Dynamic Issue

A couple names their oldest son as Executor. Their plan gives one child the family home and divides the rest of the assets among the others. Even with clear communication, feelings of inequity can arise.

The Role of a Professional Fiduciary

A professional fiduciary can serve as Executor or Trustee to help administer your estate objectively and efficiently. Their sole responsibility is to carry out your wishes. They coordinate every step, from gathering assets and filing paperwork to distributing inheritances. Compensation is typically structured as a one-time fee paid from estate assets, often based on a percentage or flat fee arrangement.

It is not about lack of Trust

When clients worry that removing a friend or family member as Executor might offend them, my thoughts are that being an Executor is a burden, not a gift. Some may disagree, but I can’t think of anyone who has enjoyed that role and process. Your legacy – your memories, your traditions, and your love – are the gift.

Linda Rogers, CFP®, EA, MSBA is the owner and founder of Planning Within Reach, LLC (PWR). Originally from New Jersey, Linda services clients throughout Virginia Beach, San Diego county, and nationwide. She leads the design of PWR's investment portfolios which utilize broad, low-cost investments that integrate environmentally, socially, and governance (ESG) factors.

Planning Within Reach, LLC (PWR) is a fee-only and fiduciary wealth management firm offering one-time comprehensive financial planning, ongoing impact-focused investment management and tax preparation services in Virginia Beach, San Diego, and nationwide. PWR is a woman-owned firm that specializes in busy professionals and impact investors. Planning Within Reach, LLC and their advisors do not receive commissions and do not hold any insurance licenses or brokerage relationships.