Trust Administration

Trusts are divided into two basic categories — testamentary trusts and living trusts, with the difference being that the former doesn’t become effective until the death of the trust creator while the latter takes effect when the legalities of creation are satisfied and sufficient funds are transferred in to fund the trust. Regardless of the type of trust chosen, a trustee must be named when the trust is created. The trustee is responsible for administering the trust once it becomes active.

The duties and responsibilities of a trustee, include at incapacity:

1. Oversees care of ill person
2. Understands insurance benefits and limitations
3. Looks after care of any minors and dependents
4. Applies for disability benefits
5. Puts together team of advisors
6. Notifies bank and others
7. Transacts necessary business
8. Keeps accurate records and accounting

The duties and responsibilities of a trustee, include at death:

1. Contacts attorney to review trust and process
2. Keeps beneficiaries informed
3. Puts together team of advisors
4. Inventories assets, determines current values
5. Makes partial distributions if needed
6. Collects benefits, keeps records, files tax returns
7. Pays bills, does final accounting
8. Distributes assets to beneficiaries as trust directs

If the responsibilities become too much, people often choose to appoint an attorney as trustee or retain the services of an attorney to assist the trustee in the administration of the trust.

The trust administration attorneys at Sowards Law Firm can help navigate the often complex probate system and/or assist with the administration of a trust. Sowards Law firm is honored to represent clients in Santa Rosa, Pleasanton, and throughout the State of California. To schedule an appointment to discuss your probate and trust needs, contact the firm today by calling (408) 371-6000.