I invited my friend and colleague Will Hoggan who is a private professional fiduciary to write this blog.

As a private professional fiduciary at Hoggan Fiduciary Services I am often asked, “So what is a fiduciary?” I generally reply along the lines of, “Think of me as a professional son for hire.” Then I explain a little more, “When, due to age or disability, people can no longer manage their own financial or personal affairs, adult children generally step in and help. But when there is no family available, able, or willing to help, for whatever reason–that is where I come in.” I fill the role of “professional surrogate son.”

A private professional fiduciary works directly with seniors to ensure that all of their needs are met in a competent, kind, and professional manner. This may include paying bills; reconciling bank statements; filing taxes; dealing with home maintenance, repair or sale; addressing health care issues; or even getting new tires on the car. A fiduciary serves as a “choir director” or coach, drawing on the expertise of other professionals, such as tax advisors, financial managers, real estate and insurance professionals, contractors, geriatric care managers, in-home care providers, daily money managers, organizers, etc. to ensure that client needs are met in the best and most cost-effective way.

Some of the services provided and roles played include:

• Professional trust administration
• Conservator of the estate and person if capacity is lost
• Executor  of the will
• Representative payee services for Social Security benefits
• Healthcare advocate/agent
• Special Needs Trust administration
• Court accounting services for family members appointed as conservators by the court

Why hire a professional fiduciary when you can use a family member for free?

• Fiduciaries are educated in their roles/duties and are familiar with the Probate laws governing those duties.
• They are licensed by the Professional Fiduciaries Bureau in the State of California Department of Consumer Affairs. This means you have recourse through that department if the fiduciary does something wrong.
• They can be bonded to protect trust assets. They carry professional insurance.
• Fiduciaries are NOT family members. You won’t have to see them at a family reunion. This means you can be candid with them and not beat around the bush.
• Fiduciaries are accountable—you can sue them if they mess up.
• Beneficiaries are treated in an unbiased manner—no favoritism, regardless of personality.
• The trust or estate pays for the fiduciary’s services. No one person bears the cost.
• Fiduciaries are professionals and bound by the Professional Fiduciary Association of California (PFAC) Code of Ethics.

In short, fiduciaries are specialists who can provide professional services at reasonable rates, protect your assets, attend to any variety of details that need to be addressed, and can help prevent (or minimize) additional conflict within families.

About the author:

Will Hoggan is the principal at Hoggan Fiduciary Services, located in San Jose, CA. Find him online and read his blog at http://HogganFid.com, call 408-712-9457, or email him at Will@HogganFid.com. Will loves his job and his clients. “Never once in 25 years of working with computers did one ever want to give me a hug. I feel like I have multiple parents and grandparents!”