Skip to content
Laird Norton Wealth Management
  • Services
          • Wealth Planning
            • Business Owner
            • Equity Compensation
            • Estate Strategies
            • Philanthropic Giving
            • Tax Strategies
          • Investment Management
            • Tax-Aware Investing
            • Risk Management
            • Alternatives & Private Market
            • Impact Investing
          • Trust Services
            • Beneficiary Services
            • Family Legacy
            • Trust Administration
            • Trust Benefits
            • Understanding Trusts
          • NonProfit Clients
            • Request RFP Participation
  • About
          • About LNWM
            • Fiduciary Financial Advisor
            • How We Help
            • Our Team
            • Corporate Social Responsibility
            • Careers
            • Community
            • Board of Directors
            • FAQs
        • two people in a kayak on water
  • Insights
        • Blog

          Top-of-mind at LNWM and elsewhere.

          Papers

          Expert insights and analysis.

          Videos

          See what we're up to.

          Media

          Our published work and media coverage.

  • Contact
Search Icon
Client Login
mobile-login

Home » Insights » Family and Finance » Is Your Special Needs Trust Well-Managed? 6 Questions to Ask a Trustee

Is Your Special Needs Trust Well-Managed? 6 Questions to Ask a Trustee

Susan Zurek | Family and Finance, Trusts and Estates | December 9, 2020 (December 21, 2020)

As someone who has been administering Special Needs Trusts (SNTs) for more than 25 years, most of them at the Laird Norton Trust Co., I get many questions on this topic.  Quite a few of these are from potential clients asking what a professional trustee does. I make myself available to answer any and all of these questions because I realize how difficult and easily overwhelming this situation can be.

Special Needs Trusts are created to support loved ones facing long-term physical and mental challenges. In selecting a trustee, you are making a decision that will potentially last over someone’s lifetime. The institution you choose must be highly experienced managing these types of trusts AND possess the skills to work with families encountering this new world. What questions do you ask? How do you find someone who understands what you have been through and who will help you and your loved one for years to come?

Here are six important questions I get asked — and which I advise that you ask any professional trustee you are considering for your Special Needs Trust:

#1. Will you be around for the long haul?

Guardians and beneficiaries should be looking for a professional trustee that will be there for them over a lifetime, navigating the complexity of a Special Needs Trust while meeting the beneficiary’s needs and helping them accomplish their goals. The firm should have longevity and proven experience.

Our answer: The Laird Norton Trust Co. (LNTC) is the oldest independent trust company in the Pacific Northwest, having started in 1967. We have served as trustee for Special Needs Trusts since the early 1990s, when the first food-borne illness settlements were issued. We have the experience, along with the compassion, needed to serve in this capacity. We understand how these trusts interconnect with government benefits. The trust beneficiary will work with a team of professionals at LNTC so there is always someone who knows their story. We also work with attorneys and CPAs outside of LNTC who are experts in this unique field.

#2. How do you determine what is in the best interest of my loved one (the beneficiary)? This is one of the top questions to ask. This entire process encompasses the needs of the beneficiary over their lifetime. How does a trustee get to know the beneficiary and what steps do they take to make distributions from the trust?

Our answer: Our process is built on developing strong relationships with our clients and trust beneficiaries. Starting with your initial interview of us, we are taking notes and listening to the needs of the beneficiary. We take advantage of every opportunity to get to know the beneficiary, either by holding meetings, through emails, or during periodic calls to see how things are going. Each interaction is important in developing our relationship, and we take each interaction seriously. We gain a deep understanding of the needs and goals of each beneficiary. We use that information to guide us when making a distribution under the terms of the trust.

There are times when we may have to redirect a beneficiary’s financial goals. We help the beneficiary understand how their trust can benefit them and create compatible solutions.

#3. This entire process is new to us, how does it work? This is a great question and challenges the trustee. You’ll want to know how they work with the drafting attorney, what happens when the trust is ready, and how they will work together with you in the future.

Our answer: Attorneys are excellent at drafting the trust document, but they don’t administer the trust, which is where the Laird Norton Trust Co. steps in. Before the trust document is finalized, we review it looking for the key goals the beneficiary and their guardians have shared with us.  We engage with you and the attorney during the drafting process, review any changes and bring up suggestions that can further the beneficiary’s goals. Once the trust is finalized and the Court approves our appointment as trustee, we will reach out to the beneficiary or their guardian(s) and continue discussing their goals while developing an investment plan. From that point on, we meet as often as necessary and whenever the beneficiary or their guardians would like.

#4. What is included in your fee? Asking the prospective trustee about their fees is very important. You should be provided with an inclusive fee schedule. Does this fee include both administration and investment advice? What is covered?

Our answer: We provide and review a copy of our fee schedule with you. It outlines our annual fee, inclusive of trust administration and asset management. It also details our custody and trust tax return fees. We don’t charge extra for bill pay, meetings, discussions with care providers, etc. We do not complete personal tax returns, but we can help you find a CPA who is experienced in returns involving trusts.

#5. Can the trust purchase a home? This question comes up a lot, and it all depends on the trust document, not necessarily the trustee. It is a good question to ask because it should provide you with some insight on how a trustee makes decisions.

Our answer: The answer isn’t always straightforward. We typically see home ownership as a good investment; however, it needs to be accomplished with the best interest of the beneficiary in mind while adhering to the terms of the document. A well-drafted Special Needs Trust document will contain provisions with regards to either the purchase of a home or a major asset, and each trust can be different. If the document allows ownership in some fashion, we consider the needs of the beneficiary, and if the trust can support all aspects of homeownership such as taxes, maintenance, and insurance. We also consider any government benefits the beneficiary is receiving and provide guidance on how those may be affected.

#6. Everyone is so nice, its hard to make this decision. This is not a question, per se, but it is a comment we hear quite often. I think what potential clients really want to know is this: On what do I base my decision when everyone is so nice and appears to have all the right answers?

Our thoughts: Special Needs Trust administration involves more than being nice. This is a group of people who will be working with your loved one for a lifetime. They need to have the experience and knowledge of how these trusts work. As you listen to the potential trustees, think about how you want your loved one to be treated. Does it sound like the trustee has experience working with someone with similar disabilities? Did the trustee mention government benefits and the requirements for those? Did the trustee share any experiences involving difficult conversations? Do you feel comfortable asking this trustee any question?

I’ll share a quick story. Before becoming a client, the parents of a child with disabilities and I held an initial interview. When I visited them at their home, I noticed their son playing a video game that my son really enjoys. So, before we talked about the trust, I started talking about the video game which led to other games, which led us to a more in-depth conversation about the parents, the family, and some of the things they are passionate about. We ended up connecting in an important, fundamental way and to this day that connection provides a great foundation for administering their son’s Special Needs Trust.

  • Share:

Susan Zurek

Susan is a Director, Client Services at Laird Norton Wealth Management. She works closely with many different generations within families – children, parents, grandparents – to establish and administer a wide variety of trusts.

Sign Up For Navigator

Get our quarterly insights on investments, wealth planning, taxes and trusts.

Site Logo in footer footer logo
facebook Twitter Opens a news tab Linkedin Opens a news tab Youtube Opens a news tab

About

  • Board of Directors
  • Careers
  • Community
  • Contact
  • FAQs
  • Our Team
  • Sign up for Navigator

Services

  • Investment Management
  • Sustainable Investing
  • Tax Strategies
  • Trust Services
  • Understanding Trusts
  • Wealth Planning

Address

  • Laird Norton Wealth Management 801 Second Avenue, Suite 1600 Seattle, WA 98104 United States
  • 206.464.5100
  • 800.426.5105
© 2023 Laird Norton Wealth Management. All rights reserved.
Form CRSOpen PDF in a new tab Legal Terms and Conditions Privacy Policy
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to customize your settings.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-advertisement1 yearSet by the GDPR Cookie Consent plugin, this cookie is used to record the user consent for the cookies in the "Advertisement" category .
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
CookieDurationDescription
__cf_bm30 minutesThis cookie, set by Cloudflare, is used to support Cloudflare Bot Management.
bcookie2 yearsLinkedIn sets this cookie from LinkedIn share buttons and ad tags to recognize browser ID.
bscookie2 yearsLinkedIn sets this cookie to store performed actions on the website.
langsessionLinkedIn sets this cookie to remember a user's language setting.
lidc1 dayLinkedIn sets the lidc cookie to facilitate data center selection.
UserMatchHistory1 monthLinkedIn sets this cookie for LinkedIn Ads ID syncing.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
CookieDurationDescription
_uetsid1 dayBing Ads sets this cookie to engage with a user that has previously visited the website.
_uetvid1 year 24 daysBing Ads sets this cookie to engage with a user that has previously visited the website.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
CookieDurationDescription
_ga2 yearsThe _ga cookie, installed by Google Analytics, calculates visitor, session and campaign data and also keeps track of site usage for the site's analytics report. The cookie stores information anonymously and assigns a randomly generated number to recognize unique visitors.
_gcl_au3 monthsProvided by Google Tag Manager to experiment advertisement efficiency of websites using their services.
_gid1 dayInstalled by Google Analytics, _gid cookie stores information on how visitors use a website, while also creating an analytics report of the website's performance. Some of the data that are collected include the number of visitors, their source, and the pages they visit anonymously.
_hjAbsoluteSessionInProgress30 minutesHotjar sets this cookie to detect the first pageview session of a user. This is a True/False flag set by the cookie.
_hjFirstSeen30 minutesHotjar sets this cookie to identify a new user’s first session. It stores a true/false value, indicating whether it was the first time Hotjar saw this user.
_hjIncludedInPageviewSample2 minutesHotjar sets this cookie to know whether a user is included in the data sampling defined by the site's pageview limit.
_hjIncludedInSessionSample2 minutesHotjar sets this cookie to know whether a user is included in the data sampling defined by the site's daily session limit.
_hjTLDTestsessionTo determine the most generic cookie path that has to be used instead of the page hostname, Hotjar sets the _hjTLDTest cookie to store different URL substring alternatives until it fails.
_omappvp11 yearsThe _omappvp cookie is set to distinguish new and returning users and is used in conjunction with _omappvs cookie.
_omappvs20 minutesThe _omappvs cookie, used in conjunction with the _omappvp cookies, is used to determine if the visitor has visited the website before, or if it is a new visitor.
calltrk_session_id1 yearThis cookie is set by the Provider CallRail. This cookie is used for storing an unique identifier for a user browser session. It is used for tracking the number of phone calls generate from the website.
vuid2 yearsVimeo installs this cookie to collect tracking information by setting a unique ID to embed videos to the website.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
CookieDurationDescription
_fbp3 monthsThis cookie is set by Facebook to display advertisements when either on Facebook or on a digital platform powered by Facebook advertising, after visiting the website.
_mkto_trk2 yearsThis cookie, provided by Marketo, has information (such as a unique user ID) that is used to track the user's site usage. The cookies set by Marketo are readable only by Marketo.
fr3 monthsFacebook sets this cookie to show relevant advertisements to users by tracking user behaviour across the web, on sites that have Facebook pixel or Facebook social plugin.
MUID1 year 24 daysBing sets this cookie to recognize unique web browsers visiting Microsoft sites. This cookie is used for advertising, site analytics, and other operations.
test_cookie15 minutesThe test_cookie is set by doubleclick.net and is used to determine if the user's browser supports cookies.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
CookieDurationDescription
_ce.gtldsessionNo description
_dc_gtm_UA-41670453-11 minuteNo description
_hjSession_275188330 minutesNo description
_hjSessionUser_27518831 yearNo description
AnalyticsSyncHistory1 monthNo description
BIGipServerab10web-nginx-app_httpssessionNo description
BIGipServerab47web-nginx-app_httpssessionNo description
calltrk_landing1 yearThis is a functionality cookie set by the CallRail. This cookie is used to store the landing page URL. It helps to accurately attribute the visitor source when displaying a tracking phone number.
calltrk_nearest_tld9 years 10 months 8 daysNo description
calltrk_referrer1 yearThis is a functionality cookie set by the CallRail. This cookie is used to store the referring URL. It helps to accurately attribute the visitor source when displaying a tracking phone number.
CookieLawInfoConsent1 yearNo description
li_gc2 yearsNo description
SAVE & ACCEPT
Powered by CookieYes Logo