Trust Administration

What is Trust Administration?

When one has an Estate Plan, specifically a Revocable Living Trust, it is important that the Estate Plan be administered. It is true that a properly funded California trust avoids probate however trust administration is an essential process that occurs after the death of either one or both settlors of a revocable living trust.

To protect the successor trustee, there are many requirements that must be completed to ensure proper administration. In California, all probates must be done in Court—with all the necessary rules and formalities that go along with probate administration. Administration of a Trust, is a whole lot easier, but that’s not to say there is nothing to do. If a person dies and they have a Trust, then the successor Trustee, named in the Trust, must “administer” the Trust. They read the Trust and follow all of the instructions in the Trust; they must also follow all of the state and federal laws that impact the decedent’s estate. This is called a Trust Administration or a Trust Settlement.