“Fiduciary accounting” does not have one commonly understood meaning. In a broad sense, it can mean the entire process whereby a fiduciary – normally a personal representative, trustee or guardian – communicates information on an on-going basis regarding the financial administration of a fund and periodically justifies his administration to the parties in interest and perhaps to a court. In another sense, it may be the process whereby a fiduciary – here more often a trustee – periodically keeps parties in interest currently informed of transactions and investment policies being followed.
Fiduciary accounting services are needed in cases of guardianship. Conservatorships are required by probate courts and for trustees that are required to account to beneficiaries.
A fiduciary accounting is a statement of all the receipts and disbursements of an executor, trustee, or other fiduciary. They are often filed with a court in order to get court approval of the actions of the fiduciary. The content and format of the accounting is determined by the rules of the court. This is a specialized service we provide as the accounting must adhere to the rules promulgated by the Uniform Principal and Income Act (UPIA). The required format is quite different than traditional financial statements. This is where our expertise in preparing court accounting comes into play.