Serving as a trustee after a loved one passes away can feel overwhelming—especially when California’s rules require timely action. The first 60–90 days are critical for staying organized and meeting legal obligations. Working with a
trust administration attorney Orange County or a
trust administration lawyer Irvine can help families navigate these steps with confidence.
Below is a clear, practical checklist to follow during the early stages of trust administration.
Step 1: Locate Key Documents
Begin by identifying the trust, any amendments, the pour-over will, and instructions regarding assets or beneficiaries. Review these documents carefully so you understand your role and the trust’s terms.
Step 2: Notify Beneficiaries and Heirs
California law requires trustees to send a formal written notice to all beneficiaries and legal heirs. This notice starts a 120-day period during which someone may contest the trust. Sending complete, timely notices ensures transparency and reduces disputes.
Step 3: Obtain a Tax ID Number for the Trust
Once the settlor passes away, the trust becomes its own tax entity. Apply for an IRS Tax Identification Number (TIN) so you can open accounts, manage investments, or handle distributions properly.
Step 4: Secure and Inventory All Assets
Trustees must gather, secure, and document all trust assets. This includes:
- Real property
- Bank accounts
- Investment portfolios
- Business interests
- Personal property of value
Create an organized inventory and obtain appraisals when needed—especially for real estate, which is common across Southern California.
Step 5: Notify Financial Institutions and Re-Title Assets
Contact banks, brokers, and other institutions to update ownership records. Real estate often requires an Affidavit of Death of Trustee, recorded with the county. Keeping clean documentation ensures smoother administration later.
Step 6: Identify and Handle Creditor Claims
Although trusts avoid probate, trustees must still address legitimate debts. This may include medical bills, funeral expenses, mortgages, or credit cards. Gather invoices, verify claims, and pay valid debts from trust funds in the proper order.
Step 7: Keep Records and Begin Trust Accounting
Trustees must maintain accurate financial records of income, expenses, and transactions. Early bookkeeping reduces errors and prepares you for the final accounting required before distributions are made.
Step 8: Consider Interim Distributions (When Appropriate)
If the trust terms allow and assets are stable, interim distributions may be made to beneficiaries. Many families appreciate partial distributions, but they should never jeopardize debt payments or administrative expenses.
Step 9: Communicate Clearly and Consistently
Regular updates help avoid misunderstandings. Even simple check-ins can build trust with beneficiaries and keep the process moving smoothly.
Practical Tips for Trustees
- Stay organized—use a spreadsheet or binder to track deadlines.
- Keep personal and trust finances strictly separate.
- Ask professionals for help when needed (CPA, attorney, appraiser).
- Don’t rush distributions until debts and taxes are addressed.
Trust administration is manageable with the right guidance—and early steps set the tone for everything that follows.
Need Help with California Trust Administration?
If you’ve recently become a trustee and aren’t sure where to begin, our team can help. We guide Southern California families through every step of the process, ensuring legal compliance and reducing stress during a difficult time.
Contact us today to speak with a trust administration attorney.
