Claremont Trust Administration Lawyer

The main categories of trusts are revocable and irrevocable. A revocable trust can be modified, ended, or revoked by the trustor at any time without the beneficiary giving consent. An irrevocable trust can’t be modified or revoked once it is established, which means that irrevocable trusts have greater advantages regarding estate taxes, protection from creditors, and disability benefits from government programs.

Within those two categories, there are several kinds of trusts in California, and each one has its own set of rules. These govern how they can be used to meet the various needs of individuals in planning for their estate’s future. Some of the most common kinds of trusts in California include:

• A living trust is created by the trustor and takes effect while the trustor is still alive. When the trustor dies, the assets are distributed to the beneficiaries according to the trust document. A living trust is sometimes used with or instead of a will, as it can enable heirs to avoid the probate process.
• A testamentary trust is generally created alongside a will, and it is meant for use after the trustor dies.
• A special needs trust is established to meet the needs of individuals with disabilities. In many cases, this kind of trust can be used with government programs, like Medicaid and Medicare. A special needs trust can be set up by a person for their own benefit in case they become disabled. It can also be established for the benefit of a child or other family member with a disability.
• A charitable trust distributes a person’s assets to a charity or nonprofit when the trustor dies. This kind of trust can often have special benefits, such as allowing a nonprofit to accrue interest on the balance of the trust for a set time.

In Claremont, California, the role of a trustee is to manage and administer the trust as designated in the trust document. Because trusts are legally binding, a trustee has a fiduciary duty to act in the interests of the beneficiaries. They must also adhere to the terms of the trust and both California and federal law. The main responsibilities of a trustee include:

• Protecting the assets of the trust, making responsible investment decisions, and distributing principal and income to the beneficiaries according to the details of the trust document
• Managing the property in the trust with the same care they would use with their own assets (for example, strict record-keeping and competent investing)
• Keeping property and assets in the trust separate from other property
• Informing beneficiaries about the trust, any changes, and its administration

A recent estate planning survey reports that about half of the respondents do not have any estate planning documents. About 25% reported having a will, and only about one in seven people reported having a living trust. Adults aged 35 to 54 were the least likely to have an estate plan and were also most likely to have children under 18.

FAQs

Q: How Much Do Lawyers Charge for Trust Administration in Claremont?

A: How much a lawyer charges for trust administration in Claremont can vary, depending on the individual circumstances and the lawyer. In general, lawyers charge for the amount of time they spend on a case, so the factors that can influence the cost are those that would impact the lawyer’s time. For example, the size and complexity of the trust, the types of assets involved, or whether there are conflicts or disputes among beneficiaries can affect how much a lawyer charges.

Q: Who Can Be Designated as a Trustee in California?

A: Almost any adult of sound mind can be designated as a trustee. This may be the trustor, the beneficiary, a family member, a friend, or an advisor. In some cases, the trustee can also be a professional, such as a trust company, a trust department of a bank, or a trust attorney. The most important factors in designating a trustee are the person’s trustworthiness, integrity, and ability to manage the trust responsibly and appropriately.

Q: How Long Does It Take to Administer a Trust in California?

A: How long it takes to administer a trust in California depends on the nature of the trust and its purpose. Whereas the executor of a will generally only has to provide services for a specific timeframe, a trustee often manages the assets of a trust long-term, sometimes for up to years or even decades for trusts that take effect during the trustee’s lifetime or provide for the care of a disabled person.

Q: What Kind of Lawyer Do I Need for a Living Trust?

A: To set up or modify a living trust, or if you are involved in a dispute regarding a living trust, you need a lawyer who has extensive experience in trust law. A trust lawyer has the knowledge of the relevant laws and legal procedures to:

• Draft documents that meet legal requirements.
• Guide you on how to set up or change a trust.
• Help you navigate the management and administration of a trust.

Since 2003, the skilled and compassionate legal team at Gaudy Law has helped residents of Claremont and the rest of the Pomona Valley with many legal matters, like creating trusts and collaborating on trust administration. If you’ve been named a trustee, that doesn’t mean you have to handle everything yourself. Contact our office today to set up a consultation and discuss how our trust administration lawyers can assist you.

We can meet in our office, or over the phone. Use this time to get questions answered and learn your best next step.