Trustor
What Is a Trustor?
Trustor is the person who creates a trust and transfers assets into it. A trustor sets the rules for how the trust should work and decides who will manage the assets and who will benefit from them.
A trustor is also commonly called:
- Grantor
- Settlor
The trustor typically chooses the trustee and names one or more beneficiaries. The trustor may also decide whether the trust can be changed later, depending on the trust type.
Why It Matters
The trustor sets the foundation for how a trust protects and supports people.
A well-designed trust can help ensure that:
- Assets are managed responsibly
- Loved ones receive support at the right time
- Money is distributed according to clear rules
The trustor’s choices influence how smooth, fair, and effective the trust will be.
How Trustor Works
Trustor works by creating the trust document and funding the trust with assets.
Example: A trustor creates a trust for their children, transfers a brokerage account into the trust, and instructs the trustee to use the funds for education and living expenses.
Once funded, the trust operates according to the terms written by the trustor.
Trustor vs Trustee
Trustor → Creates and funds the trust
Trustee → Manages the trust assets and follows the trust rules
They can be the same person in some situations, depending on the trust type.
FAQs About Trustor
Can a trustor also be a trustee?
Yes. Many people serve as trustee of their own trust while they are alive.
Does a trustor control the trust forever?
Not always. Control depends on whether the trust is revocable or irrevocable.
Is trustor the same as grantor?
Yes. Trustor, grantor, and settlor are often used interchangeably.
Related Terms
