GENERAL QUESTIONS Q – Where is Premier Trust chartered? A – Premier Trust is chartered and incorporated in Nevada. It is under state law that we are authorized to act as a trust company. Clients nationwide are able to take advantage of the Nevada statutes by working with us. Q – Do I need to reside in Nevada to use Premier Trust as a trustee/custodian/administrator of my account? A – No. Q – What makes Premier Trust different from other trust companies? A – Premier Trust offers personal trust services for clients of attorneys, CPA’s, brokers, registered investment advisors, investment managers, financial planners, third-party administrators, and financial management firms. Premier Trust does not offer investment management services or sell investment products. Our advisor partners manage the investment of their client’s trust assets. While as a Fiduciary we do provide investment oversight, we typically act as a directed trustee. This is very different from traditional banks and trust companies that typically require that the trust assets be managed by them. Q – Does Nevada offer potential tax advantages for trusts? A – Yes. Nevada has no state personal or fiduciary income tax or capital gains tax for irrevocable trusts. Also, Nevada offers strong client asset-protection and limited liability company laws. Q – If Premier Trust is owned by Ladenburg Thalmann, am I required to utilize the investment services of one of their affiliates? A – No. Our services are independent of any investment advisory firm. We can work with the financial advisor of your choice. Q – Can I access my Premier Trust account online and can I get online statements? A – Yes. Please contact your trust officer or email your request to email@example.com. Q – When will I (or my client) receive the annual Schedule K-1 from the trust? A – Once Premier Trust has gathered all the necessary forms from outside sources, we provide the information to the appropriate tax preparer to prepare the trust tax return. Q – What are Premier Trust’s Fees? A – We have a very competitive fee structure that is based on either the value of the trust or a flat fee, depending on the type of trust asset structure and relationship you have with Premier.
Q – Will Premier Trust accept appointment as Trustee or Co-Trustee for an already existing trust? A – Yes. Q – What does Premier Trust need to consider accepting appointment as a trustee? A – Premier Trust requires a copy of the trust document for review prior to accepting any trusteeship. You may forward a copy to us at firstname.lastname@example.org or fax to (702)507-0750. Q – Will Premier Trust accept an appointment for an out-of-state client? A – Yes. As long as the trust document does not require the Trustee to reside or be licensed in a jurisdiction other than Nevada. Q – Do I need to have a separate checking account to establish an Asset Protection Trust in Nevada? A – No. Premier Trust can handle cash transactions for trust accounts without opening a separate bank account. If you and your attorney determine a separate checking account is desirable, Premier Trust prefers a family trustee, trust protector, or someone other than Premier Trust as the signor on the account. Q – How often does Premier Trust review trust accounts? A – All accounts are reviewed within 60 days of acceptance. If Premier Trust has any investment discretion the account is reviewed annually. If Premier Trust has no investment discretion the account is reviewed every two years. The review is conducted by the trust officer assigned to the account and is reviewed by our Trust Administrative Committee (TAC). Q – Does Premier Trust serve as trustee for stand-alone Irrevocable Life Insurance Trusts (ILITs)? A – Yes. Premier Trust can serve as Trustee of an ILIT without requiring any additional trust business. Q – Does Premier Trust serve as a trustee for Charitable Remainder Trusts? A – Premier Trust can serve as trustee for virtually any personal trust, including the various kinds of charitable trusts. Our veteran trust professionals have a high degree of administrative expertise in all aspects of charitable trusts and private foundations. Q – What documents are required to establish an account with Premier Trust? A – You will need to complete:
- W-9 Form – Completed by the “grantor(s)” and any current beneficiary(ies)
- PIF (Personal Information Form) – One form must be completed and signed by each; Grantor, Family Trustee, Co-trustee, Trust Protector or Distribution Trustee. Form must also be notarized and returned to Premier Trust in an original form.
- Copy of driver’s license or government ID for each of the above.
- Copies of all Trust Documents (ie Trusts, Applicable amendments)
- Contact Information for anyone listed in the trust (ie trustee(s), co-trustee(s))
SELF-DIRECTED IRA/EMPLOYEE BENEFITS
Q – What is a self-directed IRA? A – Traditional IRAs are limited to investments in bonds, mutual funds and stocks. Self-directed IRAs are specialized accounts that allow their holders to invest in anything except (see the list below) that would personally benefit them or a close family member as restricted by the IRS. Q – What types of assets can be held in a self-directed IRA? A – In this instance, it is easier to tell you what assets you cannot hold in a self-directed IRA:
- Collectibles (including works of art, rugs, antiques)
- Metals other than gold, silver and palladium bullion
- Coins (except certain U.S.-minted coins)
- Alcoholic beverages, and other tangible personal property as may be defined by the Secretary of the Treasury is prohibited.
**Please refer to IRS Publication 590 for more information. If you have questions regarding what assets you would like to invest in with your IRA, please contact us. Q – What is the “prohibited transaction” and how does it affect my self-directed IRA? A – Certain types of self-directed transactions violate the basic intent of your individual retirement account, and may subject cause your account to incur penalties and/or taxes. Your IRA is intended to benefit you when you retire and not before. Transactions that can be interpreted as providing immediate financial gain to the account holder or other disqualified persons are not allowed. For example, an IRA holder may not:
- Receive unreasonable compensation for managing property held by the IRA
- Use the IRA as security for a loan
- Transfer plan income or assets to disqualified persons
- Lend IRA money to disqualified persons
- Borrow money from the individual retirement account
- Sell, exchange or lease property to their IRA
- Extend credit on their IRA to disqualified persons
- Furnish goods, services, or facilities to disqualified persons
- Allow fiduciaries to obtain or use the plan’s income or assets for their own interest
For IRAs or 401(k)s, a disqualified person is:
- The IRA holder and his or her spouse
- The IRA holder’s lineal descendants, ascendants and their spouses
- Anyone providing services to the IRA, such as the trustee or custodian (See IRS Section 4975 for a complete list of prohibited parties credentials)
- Investment advisers and managers
- Any corporation, partnership, trust, or estate in which the IRA holder has a 50 percent or greater interest
Premier Trust, Inc. does not offer investment, tax, financial or legal advice to clients. Individuals who believe they need advice should consult with the appropriate professional(s) licensed in that area.