Page 47 - Successor Trustee Handbook

Make tax elections.
Determine what is principal and income of the Trust.*
Exercise discretion in payment of income and principal to
certain beneficiaries.*
Accept contributions to the Trust.
Seek court reformation of the Trust agreement or modify its
terms by an agreement between the Trustee and beneficiaries
approved by the court.
Pay income taxes.
Pay estate, death and generation skipping taxes of the Trustor
and beneficiaries.
Permit beneficiaries to use or reside upon certain Trust
assets.*
Delegate certain powers, such as banking authority.*
Make non pro rata allocations and distributions between and
to beneficiaries or their “sub-trusts”.
Resign or restrict you own powers.
Distribute assets in kind or liquidate them and distribute
cash.*
Pay your own Trustee fees.*
Take actions to permit a beneficiary to obtain government
assistance (such as “Medicaid” nursing care benefits).
Change the legal location or “situs” of the Trust.
Directly or indirectly call in a “Trust Protector” or third party to
assist in taking actions outside your powers.*

Note: There may be a “catchall” provision in the Trust that enables you to have
additional powers necessary to carry out the terms of the Trust and your
duties as Trustee. However, these additional powers cannot be in violation of
state law and therefore you should consult with an attorney before exercising
any power not listed in the Trust document.

Remember, although you may delegate some of your powers (if permitted
under the Trust document), such as signing on a bank account, you cannot
delegate your duty to carry out your powers properly. You are responsible for
any acts or omissions by someone to whom you may delegate (see the
Chapter, “Your Trustee Duties”).

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