California Living Trust FAQ

A revocable living trust is an estate-planning arrangement created during life to hold and manage assets for identified beneficiaries. The person creating the trust commonly retains control while able to act and names a successor trustee for later administration.

It can. Assets properly held in the trust generally can be administered under the trust rather than through formal probate. Assets outside the trust may pass by beneficiary designation, joint ownership, a simplified transfer procedure, or probate depending on the circumstances.

Many trust-based estate plans also use a pour-over will. A will can address property left outside the trust and can nominate guardians for minor children, among other functions.

Funding means changing ownership or transfer arrangements so selected assets are connected to the trust. The appropriate method varies by asset type.

Retirement accounts generally use beneficiary designations rather than being retitled to a living trust during the owner’s lifetime. Beneficiary choices should be coordinated with the overall plan and tax considerations.

A revocable living trust can generally be amended while the person with the power to amend has capacity and follows the trust’s amendment requirements. Some changes are better handled through a restatement.

Review is sensible after major family changes, death or incapacity of a named fiduciary, acquisition or sale of major property, relocation, substantial financial changes, or whenever the plan no longer matches your wishes.

A trust can authorize a successor trustee to manage trust assets under the conditions stated in the document. A durable power of attorney and advance health care directive address other financial and medical decisions.

A standard revocable living trust is generally not designed to shield the person who created it from that person’s own creditors. Asset-protection questions require separate legal analysis.

Timing depends on how quickly information is gathered, the complexity of the plan, drafting and review. If there is an urgent health or travel issue, tell the attorney when scheduling.

Married couples often use a joint trust, but separate or more specialized planning may be appropriate depending on property characterization, prior marriages, beneficiaries, tax issues and planning goals.

A successor trustee is the person or institution designated to take over trust administration when the prior trustee can no longer or should no longer act under the trust terms.

A living trust is generally not filed with the probate court merely because it exists. After death, beneficiaries and other persons may have statutory rights to notice or copies depending on the circumstances.

Yes, California real estate is commonly transferred to a revocable living trust by recorded deed. The deed, title, lender and property-tax implications should be reviewed for the specific transaction.