A Fiduciary Can Act as Your Proxy Family | Community

Not everyone has family or friends to turn to as they age. There may be no children, or they may live far away. Family members may not be in contact with each other. Friends, named as successor trustees, may have now passed on. The question becomes: “Who is going to take care of me late in life with physical and mental challenges?” The Senior Village Forms and Documents Team helps members understand this worrisome dilemma.

Consider how Sam set up his trust to protect his wife, Thelma (not actual names). They did not have children, and Sam had always taken care of family matters. He knew that Thelma would need help if she were widowed and wanted to continue living in their home but would not know how to manage.

With foresight, Sam and Thelma met several times with a fiduciary before Sam passed away. They amended their estate planning documents to name the fiduciary as their successor trustee and personal representative to provide services for Thelma: arrange in-home assistance, pay her bills, file her taxes, monitor her healthcare and look after any other needs.

A “fiduciary” is a person or organization, licensed by the State of Arizona, who acts on behalf of others, making decisions in their best interest. In Arizona, there are three categories of fiduciaries- bank trust departments, law firms who do case management work, and individuals/companies who act as fiduciary without the law firm component. A private fiduciary typically refers to an individual hired privately (often an attorney or CPA) while a professional fiduciary may include organizations or firms that provide fiduciary services.

Thelma was 94 when Sam died. With personalized attention from her fiduciary, Thelma passed her remaining years in the comfort of her home. Fiduciaries can also provide services for clients who are in assisted living residences. Whether you choose a private or professional fiduciary, take the time to become well-acquainted with them as they may be managing your life at some point.

To avoid possible conflict of interest, your personal attorney will possibly suggest another law firm to interview as a fiduciary. Find out if your values align, what is the fee schedule, how long have they been in business, how large is their care team, how many fiduciary clients are they serving.

Having a fiduciary could bring peace of mind if you are concerned about how you will manage alone someday. As always, if in doubt, it is best to consult an estate attorney for legal advice. For more information on estate planning, call Senior Village at (520) 314-1042 to meet with an advocate on the Forms and Documents Team.