Incorporated Trustee

When you set up a trust, you also name a trustee to look after it. A trust represents a pile of money set aside for some purpose. You could create a trust for your kids’ education, or as part of estate planning, or to take care of your gerbils after you die.

The trustee is put in charge of the money in the trust. They pay the bills, distribute the funds, file all the necessary paperwork, etc. Basically, they make sure the gerbils have plenty of wood chips and that their exercise wheel stays greased.

Often, the trustee is a person, or group of people. In those cases, the trust is said to have a “natural trustee.”

Sometimes a corporate entity is named trustee. That situation defines an incorporated trustee. It’s when a company sits as trustee for a trust or fiduciary account rather than a person or set of people.