• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Kulas & Crawford

Attorneys at Law

Call Now: (772) 398.0720

Attend a Free Workshop
  • Home
  • About Our Firm
    • About Our Firm
    • Meet Our Team
  • Services
    • Elder Law and Medicaid
    • Estate and Gift Tax Figures
    • Estate Planning Services
    • Financial Planning Assistance
    • IRA and Retirement Planning
    • Legacy Planning
    • LGBTQ Estate Planning
    • Pet Planning
    • Probate and Trust Administration
    • SECURE Act
    • Special Needs Planning
    • Veterans Benefits
  • Resources
    • Articles
    • Definitions
    • Elder Care Resources
    • Elder Law Resources
      • Elder Law Reports
      • Palm Bay Elder Law Resources
      • Vero Beach Elder Law Resources
    • Estate Plan Checkup
    • Florida Alzheimer’s Guide
    • FREE Estate Planning Worksheet
    • Free Seminars
    • Frequently Asked Questions
      • Elder Law and Medicaid
      • Estate Planning FAQ’s
      • Frequently Asked Questions for Families Without an Estate Plan
      • Legacy Wealth Planning FAQ’s
      • LGBTQ Estate Planning Frequently Asked Questions
      • Probate
      • Trust Administration & Probate Frequently Asked Questions
      • Veteran’s Benefits
      • Wills and Trusts
    • Newsletters
    • Pre Consultation Form
    • Presentations
    • Probate Checklist
    • Probate Resources
      • Port St Lucie Probate
      • Stuart Probate
      • Vero Beach Probate
    • Published Books
    • Reports
      • Advanced Estate Planning
      • Basic Estate Planning
      • Estate Planning for Niches
      • Trust Administration
    • Top Estate Planning Techniques
  • Workshops
  • Reviews
    • Our Reviews
    • Review Us
  • Communities We Serve
    • Indian River County
      • Vero Beach
    • Martin County
      • Hobe Sound
      • Jensen Beach
      • Stuart
    • Okeechobee County
      • Okeechobee
    • St. Lucie County
      • Fort Pierce
      • Port St. Lucie
  • Blog
  • Contact Us
Home >> Seven Steps to Trust Administration

Seven Steps to Trust Administration

May 8, 2017 by Robert Kulas.

The trust administration process can be a difficult one for trustees who are unfamiliar with everything that the job entails. These seven simple steps can help you to gain the insight you need to better understand everything that is expected of you.If you’ve been designated to serve as the trustee for a living trust, it’s important to understand exactly what that job entails. After all, when the trust grantor passes away, it will fall to you to properly administer the trust to ensure that it objectives are met. In many instances, however, people agree to take on that trustee role without ever really knowing what they’re being asked to do. Your job can be easier when you follow these seven steps of trust administration.

Gather All the Relevant Documents

Once the grantor dies, your role as trustee begins. You should begin by gathering together all the decedent’s estate planning documents, as well as other important records like insurance policy details, pension plan records, retirement account statements, and so on. You’ll need multiple copies of the death certificate, which can be obtained from the county’s records office or the funeral home, as well as the decedent’s birth certificate, recent tax filings, and other relevant documents.

Review the Trust Terms

With the trust in hand, you should undertake a thorough review of the agreement’s terms. The terms of the trust will provide you with instructions that should inform your actions as trustee during the administration process. Pay careful attention to the level of discretion that the grantor provided, as well as any specific limitations that have been placed on your authority. At this point, it is usually a good idea to consult with a trusts attorney so that he or she can talk you through the agreement and ensure that you fully understand what you are required to do. That’s the best way to ensure that you meet your fiduciary duty and remain in compliance with state law.

Secure Trust Property

You will also need to secure all assets owned by the trust. If you were named as successor trustee for a trust under the control of the grantor, then you will need to retitle assets to ensure that you have legal control over everything. Take custody of all property, including oft-forgotten assets like safety deposit boxes, art collections, and brokerage accounts. If certain assets are in the custody of third parties, take possession of them in accordance with state law. An attorney can help you to identify and take custody of these assets.

Establish a Trust Bank Account

You will need to establish a bank account for the trust if there isn’t already one in existence. Remember, there will be debts to pay and assets to distribute, and that may require you to liquidate certain properties to free up capital for those purposes. Any income that is earned by the trust’s assets can be placed in its bank account. That account should also be used to settle debts, pay ongoing trust expenses, and distribute money to beneficiaries as directed by the terms of the trust agreement.

File for Any Death Benefits

You will need to use those death certificate copies to file for any death benefits that the estate may be entitled to receive. These can include life insurance policies, annuity earnings, pension and retirement account assets, and other benefits. As these funds are claimed and received, the proceeds should be placed in the trust bank account to be used as directed by the terms of the trust document. Be aware as well that many estates won’t receive life insurance proceeds, since most policyholders instead utilize those policies’ beneficiary designation feature.

Pay Debts and Expenses

The trustee also has a responsibility to ensure that all legitimate debts and taxes are paid. You will need to determine what debts, if any, the trust owes, and settle those debts with the creditors. An attorney can provide you with assistance during this debt resolution process, to ensure that all creditors are identified and dealt with properly. You may also need to contact a tax preparation specialist to ensure that the trust’s tax filings are taken care of. That includes any estate taxes that may be due for larger estates. At the same time, you will need to pay all ongoing expenses related to the trust.

Once those debts are paid and trust taxes have been dealt with, you should prepare an accounting of those activities and provide that record to beneficiaries. That will help to provide the transparency and accountability that is expected of any trustee, while also helping to ensure that the grantor’s heirs understand how the estate is being managed.

Distribute Assets in Accordance with Trust Terms

Asset distribution is the final step in many trust administration efforts, especially those in which the trust distributes all assets at once. For those trusts, you will need to follow the terms of the agreement and deliver trust assets to named beneficiaries by legally transferring ownership of that property to the designated heirs. Once that is done, you can prepare the final documentation that will enable you to formally close the trust.

If the trust agreement provides for distribution over time, however, then your role will be ongoing until the terms of the trust are fulfilled. This can often be the case in situations where you’re given discretionary control over expenditures – as would be necessary with many Special Needs trusts or spendthrift trust entities. In those situations, you simply continue to manage the trust assets and distribute them as directed by the terms.

Get the Help You Need

Trust administration is an awesome responsibility, and one that can be difficult to manage without at least some basic insight into the process. To prevent issues with liability that can arise when mistakes are made, it is important to take steps to guarantee that you have the guidance and assistance you need at every stage of the administration process. At Kulas & Crawford, our trust professionals can provide you with that help, and guide you through what could otherwise be a confusing and frustrating process. If you’ve been tasked with the responsibility of trust administration and recognize that you need help to ensure that you get the job done properly, contact us online or call us today at (772) 398-0720.

Filed Under: Wills and Trusts

Other Articles You May Find Useful

Dollarphotoclub 20560602 1 120x150
Is a Grantor Retained Income Trust Right for You?
money-3
How to Maintain Control Over Trust Assets
Port St. Lucie trust lawyers
What Should I Do If I Receive a Crummey Notice?
Kulas & Crawford
Is a Deathbed Will Valid in Florida?
Family Wealth Trust
What Is a Family Wealth Trust?
Vero Beach living trust attorneys
Vero Beach Living Trust Attorneys Steer Clear of Probate

Kulas & Crawford

Download Free Estate Planning Worksheet

There's a lot that goes into setting up a comprehensive estate plan, but with our FREE worksheet, you'll be one step closer to getting yourself and your family on the path to a secure and happy future.

TESTIMONIALS

Easy Testimonials
August 25, 2020
    

I needed a simple, easy-to-use way to add testimonials to my website and display them. Easy Testimonials Pro did all of that and more!

avatar-1
Janet Exampleton
Owner, Exampleton Productions
Easy Testimonials
August 25, 2020
    

I receieved excellent customer support, and quickly. Thank you so much!

avatar-2
Linda Herman
Founder, Herman Studios
Easy Testimonials
August 25, 2020
    

I love your product! I would recommend this to anyone. What a great find!

avatar-3
Steve
Developer, Acme Co.
Client Review
August 25, 2020
    

We began our estate plan process in 2004 (12 years ago) and have been pleased with the periodic reviews we have gone through and when changes have been needed the firm has been thorough and professional in making those changes.

~L.G.K
Client Review
August 25, 2020
    

I have known Robert Kulas for 20 years since I was co-executor for friends who had Mr. Kulas prepare a Trust for them. When I felt I needed a trust also, I came to him. I have always been completed satisfied with his work and that of his charming, competent staff.

~Joan C
Client Review
August 25, 2020
    

Mr. Kulas and his staff have been extremely helpful & knowledgeable for the over 3 years we have been associated. They are easy to talk to and explain everything without feeling rushed. Very competent and professional.

~Mildred W
Client Review
August 25, 2020
    

I have worked with Mr. Kulas & staff before. And they are very professional. I am very satisfied with Mr. Kulas and his staff and give them the highest satisfaction and 5 star rating.

~Leo C
Client Review
August 25, 2020
    

Robert Kulas and staff made making a will an easy to understand process. They were very knowledgeable and attentive to my wishes. All my documents were provided in an organized binder which will be a great asset to my family. I would definitely recommend them.

~Krissy L
Client Review
August 25, 2020
    

Everyone treated us extremely well.  Robert explained how a trust works and the benefits of having one.  We decided to move forward and complete the process.  He was very kind and knowledgeable.  Julie was also very helpful and very patient with our questions.  We felt very comfortable with this firm handling our affairs.  We would highly recommend this firm to our friends and family.

~Janice M
Client Review
August 25, 2020
    

"Everyone treated us extremely well.  Robert explained how a trust works and the benefits of having one.  We decided to move forward and complete the process.  He was very kind and knowledgeable.  Julie was also very helpful and very patient with our questions.  We felt very comfortable with this firm handling our affairs.  We would highly recommend this firm to our friends and family."

Janice M
Client Review
August 25, 2020
    

Robert Kulas and staff made making a will an easy to understand process. They were very knowledgeable and attentive to my wishes. All my documents were provided in an organized binder which will be a great asset to my family. I would definitely recommend them.

Krissy L.
Client Review
August 25, 2020
    

I have worked with Mr. Kulas & staff before. And they are very professional. I am very satisfied with Mr. Kulas and his staff and give them the highest satisfaction and 5 star rating.

Leo C.
Client Review
August 25, 2020
    

Mr. Kulas and his staff have been extremely helpful & knowledgeable for the over 3 years we have been associated. They are easy to talk to and explain everything without feeling rushed. Very competent and professional.

Mildred W.
Client Review
August 25, 2020
    

I have known Robert Kulas for 20 years since I was co-executor for friends who had Mr. Kulas prepare a Trust for them. When I felt I needed a trust also, I came to him. I have always been completed satisfied with his work and that of his charming, competent staff.

Joan C.
Client Review
August 25, 2020
    

We began our estate plan process in 2004 (12 years ago) and have been pleased with the periodic reviews we have gone through and when changes have been needed the firm has been thorough and professional in making those changes.

L.G.K.
<
>

Follow Us

  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

Blog Subscription

Subscribe to our blog to get all of the latest estate planning news in the Port St. Lucie and Vero Beach Florida areas. Fill out the form below to get our updates.

PORT ST. LUCIE

East Lake Professional Center
2100 SE Hillmoor Drive, Suite 105 Port St. Lucie, FL,34952
Phone: (772) 398-0720
Fax: (772) 398-9331
  • PORT ST. LUCIE

VERO BEACH

Bridgeview Building
2770 Indian River Blvd, Suite 321, Vero Beach, FL, 32960
Phone: (772) 778-8481
Fax: (772) 398-9331
  • VERO BEACH

Office Hours

Monday9:00 AM - 5:00 PM
Tuesday9:00 AM - 5:00 PM
Wednesday9:00 AM - 5:00 PM
Thursday9:00 AM - 5:00 PM
Friday9:00 AM - 12:00 PM
footer-logo
  • Facebook
  • Instagram
  • LinkedIn
  • RSS
  • Twitter
  • YouTube

The information on this Florida Attorneys & Lawyers / Law Firm website is for general information purposes only. Nothing on this or associated pages, documents, comments, answers, emails, or other communications should be taken as legal advice for any individual case or situation. The information on this website is not intended to create, and receipt or viewing of this information does not constitute, an attorney-client relationship.

Kulas & Crawford. Privacy Policy | Contact Us | Disclaimer | Site Map | Powered by American Academy of Estate Planning Attorneys


© 2023 American Academy of Estate Planning Attorneys, Inc.