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Trust Services

 

Wescom Trust Services in partnership with MEMBERS Trust Company can deliver a wide range of trust & asset management services to meet the needs of members. To determine your specific needs, you’ll need to consult with your Trust Liaison Officer.

 

Services Offered

Wescom Trust Services can deliver a wide range of trust-related services. This overview gives a brief description of each service. To determine your specific needs, you'll need to consult with your Trust Liaison Officer.

 

Living (Intervivos) Trust — Gives donor full control of assets, flexibility and access to professional management throughout lifetime.

 

Advantages:

  • Easy to revise or terminate.
  • Pre-nuptial protection for children in case of second marriage.
  • Protection in case of incapacitation.
  • Avoids probate.

 

Irrevocable Trust — Permanently transfers assets and their subsequent appreciation to heirs.

 

Advantages:

  • Estate and income tax benefits.
  • Avoids probate.
  • Protection for heirs.

 

Trustee for Special Needs Trust — Wescom Trust Company can serve in the role of trustee for a Special Needs Trust. This type of trust is established to help protect the governmental benefits of a person with a disability. Assets in a Special Needs Trust supplement the benefits of needs-based programs and do not constitute a resource in determining eligibility.

 

Charitable Remainder Trust — By making a gift of highly-appreciated assets to charity, a donor can receive income from assets for life as well as a current income tax deduction. Can serve as a supplemental retirement plan.

 

Advantages:

  • Income from assets that might not otherwise generate income.
  • Income tax deduction.
  • Defers capital gains tax.
  • Minimizes estate and gift taxes.
  • Wealth surrendered may be replaced by Irrevocable Life Insurance Trust.

 

Credit Shelter Trust — Created under a living trust or by will; removes taxes from a surviving spouse’s estate. Provides for both surviving spouse and heirs through use of unified estate and gift tax credit.

 

Advantages:

  • 3.5 million - 2009
  • Unlimited - 2010
  • 1 million - 2011 under current legislation

 

Irrevocable Life Insurance Trust — Unique trust keeps proceeds from a life insurance policy out of donor’s estate and provides beneficiaries with liquidity to pay estate taxes.

 

Advantages:

  • Estate tax advantages.
  • Possible generation-skipping tax advantages.

 

Qualified Terminal Interest Property Trust (QTIP Trust) — A "marital deduction trust" often used by remarried individuals; allows donor to provide income after death to second spouse while preserving assets for children of first spouse.

 

Advantages:

  • Control of assets after death.
  • Provides for spouse and children from a different marriage.

 

Marital Deduction Trust — Created under a living trust or by will, established to receive an amount on behalf of the surviving spouse that qualifies for the marital deduction.

 

Advantages:

  • Provides for needs of surviving spouse.
  • Can allow surviving spouse to have partial or total control of assets.
  • Assets transferred are free of estate taxes.

 

Rabbi Trust — Non-qualified compensation. Can be protected against change of management by the employer.

 

Advantages:

  • Employee’s income can be deferred and invested for gain.

 

Minor’s Trust — Controls gifts to child under annual gift tax exclusion, providing asset management until child reaches age of majority.

 

Advantages:

  • Trust is irrevocable.
  • With consent of donor, trust can continue after child reaches age of majority.
  • Trust assets used for benefit/care of beneficiary.
  • You have control of the distribution schedule.

 

Qualified Plan Trust — Required for all qualified employee pension and profit sharing plans except 403(b) and new governmental 457 plans.

 

Advantages:

  • Employees’ income can be deferred and invested for gain.
  • Assets available for IRA rollover at retirement.

 

Trust Created Under Wills — A trust set up under your will to be funded at your death for one or more of your beneficiaries. Often used to protect minor beneficiaries or those unable to manage an inheritance.

 

Advantages:

  • Resulting trusts can be managed for minor children.
  • You have control of the distribution schedule.

 

Investment Management — Wescom Trust Services will partner with you to help you reach your investment goals. Our experience includes managing investments for objectives like aggressive growth, growth, growth and income and income. As you pass through the various stages of your life, your financial needs and objectives will change. Our core principle is that allocation across investment classes should be adjusted as you pass through these cycles of life. We believe that since investments involve risk, they should be prudently managed by diversification, asset allocation, continual monitoring and a customized investment policy for each investment portfolio.

 

Trust Terms

 

Beneficiary — A person who is entitled to receive benefits (usually money or other property) from a trust.

 

Donor — A person who creates a trust; also, often referred to as "trustor," "grantor" or "settlor."

 

Marital Deduction — A deduction for estate and gift tax purposes for the amount of property that passes to a spouse.

 

Probate — The procedure in each state required to legally settle the estate of a deceased person and transfer his or her property.

 

Trust — A relationship in which one person (the trustee) is the holder of legal title to property (the trust property) to keep or use for the benefit of another person (the beneficiary).

 

Unified Credit — A tax credit, allowed by the federal government, which may be applied toward either gift or estate taxes that may be due.

 

Do I need a Trust?

Many individuals can benefit from the use of a trust. Basic criteria can be used to help determine if a trust is right for you. Ask yourself the following questions:

 

Do you have loved ones you want to provide for?

 

Would you prefer that your financial affairs remain a private affair?

 

Does your situation include children from a previous marriage, or special-needs children, and would you like for them to be provided for?

 

Upon your death or your spouse's will your estate be taxable?

 

In the event of your death or incapacity, do you have specific guidelines for your loved ones, including the amount they stand to receive and the time frame in which it will occur?

 

Do your assets include ownership of property in two or more states?

 

If you answered yes to any or all the above questions, creating a trust may be a prudent financial move.

Choosing Fiduciaries

Distinct advantages of a corporate fiduciary over an individual

 

The decision to work with Wescom Trust Services, in partnership with MEMBERS Trust Company, has distinct advantages over appointing an individual as trustee. First and foremost, when you choose a corporate fiduciary, you are dealing with professionals skilled in the field of trust management.

 

Other reasons include:

 

  • There is always the chance that an individual appointee would die or become unable to act as your trustee. Using Wescom Trust Services, in partnership with MEMBERS Trust Company, eliminates that possibility.
  • A corporate fiduciary must and will provide professional management of your assets, according to the requirements set out in your trust.
  • A corporate fiduciary has access to powerful estate planning and investment management tools.

 

To determine if a corporate fiduciary is right for your estate planning needs, consult with your Trust Liaison Officer.

Meet Our Trust Liaison Officers
Ashana J. Thorman
Senior Financial Advisor/Trust Liaison Officer
Representing Pasadena
Click to view profile
Kevin Vogt
Financial Advisor/Trust Liaison Officer
Representing Costa Mesa, Irvine, Laguna Niguel
Click to view profile
Contact Wescom Trust Services

Contact Us

 

By Phone:

Please contact your Trust Liaison Officer

 

By Email:

trustservices@wescom.org

 

Trust services provided by MEMBERS Trust Company. Investment products and services offered through Wescom Financial Services, LLC (WFS), a Registered Investment Advisor, broker-dealer, and a wholly owned subsidiary of Wescom Holdings, LLC, which is a wholly owned subsidiary of Wescom Credit Union. Registered Representatives are employed by and registered through WFS (Member FINRA/SIPC). eVISION® is a trademark of CUSO Financial Services, L.P.

Investments are not NCUA/NCUSIF insured, are not Credit Union guaranteed, and may lose value.

To view full WFS disclosures please click here.