What Is a Fiduciary?

Article submitted by Pamela Johnston, President of Certified Fiduciary Services, Inc.
For more information, she can be reached at 623-977-6310.

A Fiduciary is someone who accepts the responsibility of handling the personal and/or financial affairs of another person solely for the benefit of that person. The client places trust in the Fiduciary to manage their affairs taking into consideration the preferences and desires of the client.

A Fiduciary may serve in a variety of roles, may be appointed by the court, or serve under a contractual agreement. A Fiduciary may also be named in a person's estate planning documents to provide future service at the time the client becomes unable to handle their affairs.

In Arizona, a person serving as a Fiduciary for a fee must be certified by the Arizona Supreme Court and is governed by state law. To become certified, a Fiduciary must meet certain eligibility requirements, complete initial training and pass a test, post a bond, be fingerprinted and pass a credit and criminal background check.

If court appointed, a Fiduciary must post a bond and report annually to the court regarding the administration of the client's affairs. In these cases, the Fiduciary fees are subject to court approval.

The role of the Fiduciary is guided by the specific needs of the client. While someone may simply need assistance with bookkeeping, another person may require a variety of services. The Fiduciary will design, implement and monitor a personalized plan that enables the client to maintain dignity and independence as long as possible. When selecting a Fiduciary, it is important to choose someone with whom the client can maintain a long-term trusting relationship.

An increasing number of retirees are moving to Arizona leaving behind families and support services which they have relied upon for most of their lives. Many new services have developed in Arizona to assist with the special needs of these retirees, as well as persons with serious mental illness and developmental disabilities.

A free public information booklet by the Arizona Fiduciaries Association, Inc. may be obtained by contacting Certified Fiduciary Services, Inc.