When you have considerable assets, working with a trust company can help you better protect and manage your financial resources. However, understanding what trust services you need can be difficult. To help illustrate how this assistance can help you, the Russell, KY, financial planning experts at First & Peoples Bank And Trust Company highlight five common trust services and their benefits.
5 Trust Services & Their Financial Planning Benefits
1. Trust Administration
If you have assets that you’d like to pass on to others in the event of your death, you can benefit from trust administration services from a reliable financial management company. Essentially, these professionals will organize the legal documents that show which assets go to which beneficiaries. Not only does this service ensure that your property goes to the right people, but it can also help ensure that certain terms are met.
2. Investment Management
When you have a diverse portfolio of stocks, savings accounts, bonds, real estate, and other assets, it can be challenging to track their performance, manage fees, and grow value. Investment managers are trust services specialists that understand the details of market conditions and how they’ll affect your assets and your long-term financial goals.
3. IRA Management
Like investments, Individual Retirement Accounts (or IRAs) are designed to build value over time so that you can use the financial growth to supplement your income later in life. A financial professional can help you choose which IRA is best for you: Traditional or Roth. Both of these accounts have different tax rules that can impact your wealth down the road, as well as how you make contributions, so having an expert at your side can help you reduce tax risk and enhance profits.
4. Simplified Employee Pensions
If you are a business owner with employees, you may not just be responsible for managing your own retirement account but also for making contributions to employer-sponsored pension plans. Since these plans can carry both tax risk and benefits for your company, it’s a good idea to work with a trust company that offers Simplified Employee Pension plan management to provide you and your staff with ample wealth-building opportunities.
5. Estate Administration
Estate administration is somewhat similar to trust administration in that it involves using a third-party financial planner to manage assets after a death. Estate administration is somewhat more complex in that it makes sure that, in the event of your death, debts and taxes attached to your estate will be appropriately paid before proceeds are distributed among beneficiaries.
If you have considerable property or wealth, you may benefit from using multiple types of trust services. Offering comprehensive financial planning services for clients in Russell, KY, First & Peoples Bank And Trust Company can help fine-tune your accounts, protect your wealth, and build your assets with confidence. To set up a consultation with a specialist, contact this community bank at (606) 836-0211