Financial Administration & Trustee
What is Financial Administration?
Funds held by an executor or a trustee for anything longer than a short period are generally required to be invested for the benefit of the estate or beneficiaries.
In deceased estates, this occurs when the estate has infant beneficiaries or the executor is directed to hold funds on trust for particular purposes.
The estate share left to infant beneficiaries can generally be used for their maintenance and education with the capital to be paid to them.
Either when the beneficiary attains a particular age or on the occurrence of an event specified in the deceased’s will.
Outside of deceased estates, a trustee or administrator might receive funds in different circumstances, eg for the benefit of an infant or adult beneficiary as a result of a court or tribunal order.
A court might order for example, that insurance proceeds due to an infant child for loss of dependency and services resulting from the death of his or her parent in a motor accident be held by the surviving parent in trust for the child until they attain the age of majority.
A tribunal order occurs in circumstances such as when an adult with impaired capacity is unable to manage their affairs and an administrator is appointed to do so for them.
In all these cases the trust funds (or finances) must be “administered” by the executor, a trustee or an administrator. This includes their prudent investment and deciding what payments should be made for the maintenance, care and/or education of the child or adult beneficiary.
Estate funds must be administered in accordance with the terms of the Will and laws that apply, and generally for the growth and protection of the capital as well as in respect of the appropriateness of payments to a beneficiary’s parent or guardian for the beneficiary’s well-being.
A trustee of non-estate funds has similar duties, but administrators appointed by QCAT have different obligations. The differences are significant. It is important to get advice to make sure you are fulfilling your duties correctly.
Financial administration services (whether for an executor, as trustee or as administrator) are offered by the Public Trustee, private trustees and by suitably qualified professionals.
Many estate practitioner law firms offer advice on or provide financial administration services to their clients and those of other law firms who refer to them for that purpose.
Qld estate Lawyers is one such law firm. We offer expert and cost-competitive financial administration services and advice to executors, trustees and administrators.
Whether related to court-ordered compensation as a result of an accident or other reasons, estate funds or other trust funds or administrator appointments.
Get financial administration legal advice from an expert team member who is available to meet with you at our Brisbane Head Office, at our Princess Alexandra Hospital office or at our Browns Plains Medical Precinct satellite office.
Call or email today to get expert financial administration advice from a Wills and Estate Lawyer at QLD Estate Lawyers.