Informal trusteeship

Overview

Some adults who receive government payments have difficulties managing their money and remembering to pay their bills. Informal trusteeship is a no-cost way for someone – an informal trustee – to manage the adult’s benefits.

An informal trustee may be helpful for adults who:

• are having problems managing their benefits
• don’t have assets like real estate or investments
• are willing to let someone help them

What an informal trustee does

An informal trustee:

• receives the adult’s monthly government benefits
• pays the adult’s monthly expenses and other needs
• saves for the adult’s future needs

Informal trustees cannot manage any of the client’s assets other than the benefit. Examples of things an informal trustee cannot do are:

• managing the adult’s financial investments
• selling any of the adult’s personal or real property

Other options

Depending on the adult’s situation, you may need to consider other options, such as:

• an enduring power of attorney
• trusteeship

Who can be an informal trustee

This depends on the government department that issues the monthly benefit. In general, they require that an informal trustee:

• must be over 18 years old
• must have a trusting relationship with the adult
• may be a relative or friend of the adult

The adult who wants an informal trustee must be receiving a regular monthly payment – from a government department that has an informal trustee program – such as the following:

• Old Age Security
  • spouse’s allowance
  • survivor’s allowance
• Guaranteed Income Supplement
• Canada Pension Plan
  • survivor’s pension
• Alberta Seniors Benefit
• Assured Income for the Severely Handicapped (AISH)
• Income Support

Name an informal trustee

You must contact the government department that issues the adult’s payments to name an informal trustee. The department will tell you:

• who can act as an informal trustee
• what forms you need
• where to get the forms
• how to fill out the forms
• how to submit the forms
• how long it will take before an informal trustee is appointed

Complaints about an informal trustee

Contact the government department that issues the monthly benefit. The department will:

• tell you how to submit a complaint
• decide if they will investigate the informal trustee
• decide if they will remove the informal trustee’s authority to manage the adult’s income