Trust Settlement
Trust settlement is the process of setting a trust after the death of the trust creator(s). Although a properly funded trust avoids probate, the trustee still has legal obligations that must be honored.
Understanding Trust Settlement
Although all trust settlements are different, they all follow the same basic steps. They are:
Get started. The trustee must first take care of some key tasks that must be done first. These vary but include things like setting up a checking account for the trust, obtaining a tax ID, securing real estate, and checking on property insurance.
Manage assets. This work varies, and includes all work to wrap up the decedent’s financial affairs. It typically includes closing bank accounts, dealing with real estate, personal property, and vehicles, dealing with any creditors, and filing any necessary individual tax returns.
Close the trust. This work is mostly our responsibility, and includes preparing financial reports for the trust to be reviewed by the beneficiaries, handling tax reporting for the trust, and making final distributions to beneficiaries.
Our Trust Settlement Process
Our trust settlement process is the product of years of work with trustees in trusts of all sizes and complexity levels.
All of our work starts with a consultation with the named trustee to discuss the situation and understand the work that must be done. The goal is to work out a tentative plan for the trust settlement, understanding that plans can change and unexpected issues are always possible.
From there, we prepare written guidance for the trustee and a task list. As the process moves forward, we provide regular follow ups until the work is done. When the trust is ready to close, we prepare the books and all necessary accountings, make sure the beneficiaries receive their funds, and arrange for necessary tax filings.
Although trust settlement is simpler than probate, it can still be a difficult process depending on the complexity of the decedent’s affairs. Our goal is to make it as straightforward as it can be.
Getting Started
Our trust settlement work starts with an initial consultation with an experienced trust attorney. During that meeting, we discuss the situation and work to create a full list of issues and work out an approach to each. We also provide an estimate of timelines and likely fees or, in some cases, a flat fee quote.
To get started, please call to set an appointment or request a phone call. We look forward to working with you.