Trust Administration

Trust administration is the process of managing and distributing the assets of a deceased person’s revocable living trust according to its terms, without the need for California probate. When a person who created the trust (the trustor) passes away, the individual named as successor trustee becomes responsible for handling the trust estate. This includes tasks like notifying beneficiaries, gathering and appraising assets, paying debts and taxes, and eventually distributing the trust property. While trust administration in California is generally faster and more private than probate, it still involves significant legal and fiduciary responsibilities.

Unlike probate, California trust administration does not involve direct court supervision, making it more flexible and cost-effective. However, the successor trustee must still comply with a series of legal duties, including the California Probate Code requirements for notice, accounting, and fiduciary conduct. Failing to follow these obligations can lead to personal liability for the trustee, disputes among beneficiaries, or tax complications.

Proper trust administration is critical to protecting the wishes of the deceased and minimizing the risk of litigation or financial mismanagement. Working with an experienced California trust attorney ensures compliance with the law and a smooth transition of assets to the intended beneficiaries. Trust administration also presents an opportunity to update tax strategies, handle sub-trust funding (such as A-B trusts), and provide support for minor or special needs beneficiaries.

Key Steps in the California Trust Administration Process

• Accept Appointment as Trustee: The named successor trustee formally accepts the role and begins fiduciary duties.
• Send Legal Notices to Beneficiaries and Heirs: California law requires a written notification of trust administration to all beneficiaries and heirs.
• Inventory and Value Trust Assets: Assets must be identified, gathered, and appraised for accurate accounting and distribution.
• Obtain Tax ID and Manage Tax Filings: The trust must obtain a new EIN, and the trustee must file necessary federal and state tax returns.
• Pay Debts and Expenses: Outstanding bills, taxes, and administrative expenses must be settled before distribution.
• Distribute Assets to Beneficiaries: After all obligations are met, the trustee distributes the remaining trust property in accordance with the trust terms.
• Prepare a Final Accounting: A detailed financial report is prepared for beneficiaries, and the trust is closed.

At Astria Law Group, our experienced California trust administration attorneys guide trustees through each step of this complex process with confidence and clarity. Whether you’re serving as a successor trustee for the first time or dealing with a complex trust estate, we help you meet all legal obligations, minimize liability, and ensure that your loved one’s wishes are fully honored.

Contact Astria Law Group today for a consultation, and let us assist you in managing your California trust administration smoothly and professionally—protecting both the estate and your peace of mind.