Trusts, Trust Administration, And Living Trusts

Trusts, trust administration, and living trusts are all parts of estate planning that help individuals and families manage their assets and control how those assets are distributed after they’re gone. Of all the types of trusts available, a revocable living trust is one of the most commonly used options. It allows the person creating the trust (the grantor) to maintain control over their assets, with the option to update or revoke the trust at any time. After their passing, the trust outlines how those assets should be distributed, often bypassing probate.

The administration process begins when the grantor passes away or becomes incapacitated. At that point, the trustee—whether an individual or an institution—becomes responsible for managing the trust’s property, paying off debts, and distributing assets to beneficiaries according to the trust’s terms. This process must be handled carefully and can involve working with banks, accountants, and legal professionals.

Using a trust, especially a revocable living trust, can reduce delays, minimize court involvement, and maintain privacy when distributing assets. Many clients also use asset protection trusts to shield their property from certain legal or financial risks, although those trusts are often irrevocable and have specific rules that apply. Trusts can be especially useful when planning for children, blended families, or large estates. They offer more control than a standard will and can help prevent disputes over inheritance.