An executor manages a deceased person’s estate according to their will. Their responsibilities include paying debts, distributing assets to beneficiaries, and handling legal and tax matters related to the estate. A trustee, on the other hand, manages assets held within a trust for the benefit of named beneficiaries. A trust can be established during the grantor’s lifetime or upon their death. While both roles involve fiduciary duties, they operate within distinct legal frameworks with different scopes of authority.
Understanding the distinction between these roles is crucial for estate planning and administration. Clearly defined roles and responsibilities ensure the smooth transfer of assets and minimize potential disputes. Historically, wills and trusts have evolved as legal instruments for managing and transferring wealth across generations, reflecting societal values and legal complexities. Properly structured arrangements, with clearly delineated authorities, provide legal and financial security for individuals and their families.
