Our financial and legal responsibilities don’t go away as we age—they often become more complex. From managing retirement accounts and real estate to ensuring bills are paid on time, seniors are faced with important decisions about how their affairs will be handled in the future. Working with a fiduciary may be the right choice for those who feel uncertain, overwhelmed, or want to reduce the burden on their family.
But what exactly is a fiduciary? What do they do, and when should seniors consider bringing one in?
This article explains what a fiduciary is, what responsibilities they carry, and why many families, especially those living far apart, rely on professional fiduciary services in California to provide dependable support.
What Is a Fiduciary?
A fiduciary is someone who has the legal authority and obligation to act in the best interest of another person. Depending on the scope of their role, fiduciaries may be responsible for managing finances, overseeing estates, or making personal and healthcare decisions.
Fiduciary Responsibility Explained
The core of fiduciary responsibility is loyalty, honesty, and care. A fiduciary is not allowed to act in their interest or take advantage of the person they serve. Every decision must be made with the client’s financial well-being and wishes in mind.
Examples include:
- Managing bill payments for someone who is no longer able to do so
- Administering a trust according to the terms laid out by the grantor
- Handling tax filings, medical care arrangements, or final distributions
In short, fiduciaries are held to a higher legal and ethical standard. A fiduciary offers structure and accountability when families are concerned about transparency or potential financial abuse.
What Is a Professional Fiduciary?
While some fiduciaries are family members or friends, a professional fiduciary is trained, licensed (where required), and compensated to manage the affairs of others.
Types of fiduciaries:
- Trustees
- Executors of estates
- Conservators
- Financial managers
- Agents under a power of attorney
In California, many seniors choose to work with licensed professional fiduciaries because their family members may be unable or unwilling to take on the responsibilities involved. Others prefer to have a neutral, qualified expert involved.
Responsibilities of a Professional Fiduciary
Depending on the specific role, professional fiduciaries may be responsible for:
- Coordinating with healthcare providers or care managers
- Paying bills and monitoring financial accounts
- Filing taxes
- Distributing trust or estate assets
- Preparing accountings for courts or beneficiaries
At Smith Marion, we provide fiduciary accounting services that meet California court standards and help ensure every transaction is documented and properly reported.
Why Do Seniors Need a Fiduciary?
Not every senior needs a fiduciary, but many benefit from having one, especially when managing financial, legal, or family matters becomes overwhelming or unclear.
Common Reasons Seniors Work with a Fiduciary:
- No local family support
- Many adult children live out of state and can’t manage day-to-day needs.
- Family disputes
- Siblings may disagree on how assets are being used or distributed.
- Concerns about financial safety
- Seniors may worry about fraud or misuse of funds, especially if their memory or health declines.
- Desire to remain independent
With a fiduciary handling finances or estate planning, seniors can stay in control without managing every detail.
The goal in each case is to provide responsible, transparent management that aligns with the senior’s wishes.
What Is a Professional Fiduciary in California?
In California, professional fiduciaries are regulated by the Professional Fiduciaries Bureau, a Department of Consumer Affairs. To use the title “licensed professional fiduciary,” individuals must meet strict requirements, including:
- Completing approved education and training
- Passing a licensing exam
- Undergoing background checks
- Following state laws and ethical standards
These professionals often manage trusts, conservatorships, and estates, especially when court oversight or complex family arrangements are involved.
Working with a California professional fiduciary ensures that the individual managing the estate or financial matters is accountable to the family and the state.
Professional Trustee Services for Seniors in California
A common role for fiduciaries is acting as a trustee. In this position, the fiduciary carries out the instructions of a trust, manages its assets, and communicates with beneficiaries.
Why Use a Professional Trustee?
- The trust involves real estate, investment accounts, or complex assets
- The family lacks a suitable individual to serve as trustee
- The grantor wants to avoid conflict between children or relatives
- There are concerns about how distributions will be handled
At Smith Marion, we help administer trusts for seniors and their families, working closely with attorneys, financial institutions, and court systems. Our team also prepares detailed, court-accepted accountings that show exactly how the trust is being managed, providing peace of mind for all involved.
How to Find or Hire a Fiduciary You Can Trust
If you or a loved one is considering hiring a fiduciary, here are a few things to keep in mind.
What to Look For:
1. Licensing
Confirm that the fiduciary is licensed in California if required.
2. Experience with seniors
Look for professionals who understand elder care, estate planning, and trust management.
3. Transparent fees and communication
Ask for a written agreement, and make sure their role and responsibilities are clearly outlined.
4. Referrals and accountability
Professionals should have references and be willing to work with other support team members (CPA, attorney, financial advisor).
You can verify licenses and disciplinary history through the California Professional Fiduciaries Bureau.
Support Built on Trust, Experience, and Clarity
Choosing a fiduciary is a personal decision. It offers confidence and relief for seniors who want their affairs managed with care and precision, or families who need help supporting a loved one.
At Smith Marion, we specialize in trust and estate accounting, professional trustee services, and fiduciary support for clients throughout California. We understand how difficult these decisions can be and provide honest, detailed help every step of the way.
Suppose you’re considering hiring a fiduciary or want to learn more about what’s involved. We’re available to answer questions, review your options, and support you in making the best choice for your situation.