suesmithwhippet
Junior Member
What is the name of your state? CALIFORNIA
My sister is both the settlor and trustee of a family trust; the intent of which is to be a revocabe trust to hold property with the terms spelled out in the trust, for the primary benefit of our mother (now deceased) during her lifetime. The "read between the lines" intent was to remove any tie to the assets to my mother, in order to expedite her getting Medi-Cal.
Mother passed; and the remainder of the trust assets were to be distributed 70-30 (70 to my sister, 30 to me).
In accordance with the document, she is entitled to "reasonable compensation" - which she has determined to be 1-2% of the total value of the remaining estate assets ($282012.80); and has determined that she will charge 1% per year, and taking monthly payments of $235.01. She has also stated she can and will change the fee at any time.
My question is - where do these fees come from? She has yet to give me a formal accounting and breakdown, but has told me thus far:
Mom's Checking account at time of death - $630.88
Annuity #1 - $14697.55
Annuity #2 - $266715.24
I have received a 30% payout of "Annuity #1", and "Annuity #2" is a structured settlement that pays $2100.12 per month. I received payouts for July, August and September, at my stated 30% rate.
October, she deducted her full "trustee fee" from the top of the $2100.12, and then distributed to me 30% of the remainder ($559.53)?
It seems that she is not realizing that she is also a beneficiary as well, and deducting her 1/2 of the trustee fee?
Is there a section of the CA Probate Code that addresses this?
Sue
My sister is both the settlor and trustee of a family trust; the intent of which is to be a revocabe trust to hold property with the terms spelled out in the trust, for the primary benefit of our mother (now deceased) during her lifetime. The "read between the lines" intent was to remove any tie to the assets to my mother, in order to expedite her getting Medi-Cal.
Mother passed; and the remainder of the trust assets were to be distributed 70-30 (70 to my sister, 30 to me).
In accordance with the document, she is entitled to "reasonable compensation" - which she has determined to be 1-2% of the total value of the remaining estate assets ($282012.80); and has determined that she will charge 1% per year, and taking monthly payments of $235.01. She has also stated she can and will change the fee at any time.
My question is - where do these fees come from? She has yet to give me a formal accounting and breakdown, but has told me thus far:
Mom's Checking account at time of death - $630.88
Annuity #1 - $14697.55
Annuity #2 - $266715.24
I have received a 30% payout of "Annuity #1", and "Annuity #2" is a structured settlement that pays $2100.12 per month. I received payouts for July, August and September, at my stated 30% rate.
October, she deducted her full "trustee fee" from the top of the $2100.12, and then distributed to me 30% of the remainder ($559.53)?
It seems that she is not realizing that she is also a beneficiary as well, and deducting her 1/2 of the trustee fee?
Is there a section of the CA Probate Code that addresses this?
Sue