While the vast majority of us recognize that putting some version of an estate plan in place is important, the reality is that a mere one-third of American adults actually have taken steps to create an estate plan. There are many reasons why people put off establishing an estate plan, such as procrastination and mistakenly assuming that estate planning is only something that those with a significant number of assets must do. However, the reality is that anyone can benefit from putting an estate plan in place, especially those with vulnerable loved ones or other dependents who rely on them. Taking the time to work with a trusted and compassionate estate planning attorney ensures that your vision for the future remains safe and secure, allowing your loved ones to enjoy ongoing stability even after you have passed on. One component of a comprehensive and effective estate plan is establishing a trust. Not only can trusts minimize the need for a lengthy legal process known as probate, but these valuable estate planning tools can provide financial security for your beneficiaries in a manner that aligns with your wishes and goals.
In the previous two posts, we’ve explored the key steps that loved ones need to take in the aftermath of losing a loved one and how to prepare for navigating probate in the wake of this loss. This post will explore some options for circumventing probate in Oregon or Washington by using trusts as estate planning tools to support your vision for your continuing your legacy. We will touch upon topics such as understanding trust administration in Oregon and Washington, what happens after a trust is triggered, and how enlisting the guidance of a highly experienced and caring Oregon trust administration attorney can help you articulate and achieve your estate planning goals.
What is Trust Administration in Oregon and Washington State?
Essentially, trust administration refers to the legal process of managing and distributing trust assets after the grantor (the person who set up and funded the trust) passes away. Trusts are legal tools that can be used to hold and manage financial assets and property. One of the advantages of setting up a trust is that it can reduce the need for probate, which allows an individual’s assets to be managed and transferred to the designated beneficiaries in a more streamlined fashion (i.e., without the need of the court’s oversight). When a trust is established, a reliable individual known as the trustee will be appointed and tasked with several responsibilities. Upon the death of the grantor, the trustee will oversee the trust administration process and ensure that all tax returns are filed and that the assets are distributed according to the grantor’s wishes. As a trustee, there may be questions that arise during the trust administration process. Enlisting the guidance and support of a Washington and Oregon trust administration lawyer can help you understand your trustee responsibilities and make key decisions with greater confidence.
Understanding the Key Responsibilities of the Trustee
State laws in Oregon and Washington state set forth the duties and responsibilities of a trustee. The trustee’s primary role is to administer the trust “solely in the interests of the beneficiaries.” In other words, the trustee must act in ways that support the best interests of the trust and its designated beneficiaries and avoid taking any actions that could go against these interests. When a trustee is appointed to oversee a trust, they bear a fiduciary responsibility to uphold the terms of the trust. Some of the trustee’s responsibilities may include notifying and communicating with the beneficiaries, reviewing and safeguarding the assets placed in the trust, paying any necessary debts and taxes, and keeping clear accounting records. Moreover, once the time arrives for the trust’s assets to be dispersed among the named beneficiaries, the trustee will oversee this process to ensure that it proceeds smoothly and occurs in accordance with the trust terms. If you are in need of legal help for trustees in the greater Portland or Vancouver area, reach out to Myatt & Bell, P.C., for the customized support you deserve.
Common Trust Administration Issues and Misunderstandings
As a designated trustee, it’s helpful to recognize some common trust administration issues that may arise. By acknowledging these potential areas of concern, you can take steps to avoid them and prepare to address them swiftly and effectively, should the need arise. One misunderstanding that can occur concerns beneficiaries that demand a trust distribution too early. For example, if the terms of the trust clearly state that a beneficiary may draw from the trust when they reach a certain age or after a specific date, the trustee may receive a request from the beneficiary to access their funds prematurely. With a skilled and knowledgeable trust administration lawyer by your side, you can determine the most strategic course of action that resolves the matter successfully. Another potential trust administration issue can happen when the trustee is unsure of their legal duties or simply overwhelmed by the number of responsibilities they carry. The caring and trusted team of estate planning and trust administration attorneys at Myatt & Bell, P.C., is ready to step in and help you resolve these concerns with greater ease and confidence.
Frequently Asked Questions (FAQs) About Trust Administration
Whether you have been named to serve as a trustee and you are unsure of what this role encompasses, or you simply wish to know more about the trust administration process in Oregon or Washington, the highly skilled legal team at Myatt & Bell, P.C., is ready to support you. We’re happy to answer any questions you may have, starting with the following.
What’s the Difference Between Trust Administration and Probate?
Many people have questions about trust administration vs. probate key differences. Essentially, probate is a court-supervised legal process, while trust administration is generally private and faster—but it still requires some degree of legal oversight.
Does a Trustee Need a Lawyer?
Technically, no. However, seeking legal guidance ensures that the trustee fulfills all of their legal obligations and protects the best interests of the trust and its beneficiaries.
Can Beneficiaries Dispute the Trust?
Yes, but truly valid trust disputes usually are limited. Working with a skilled attorney can help resolve contentious issues or avoid them altogether.
At Myatt & Bell, P.C., we are committed to helping our clients and their families feel secure and hopeful about the future. Our personalized estate planning and trust administration legal services are designed to protect your best interests and safeguard your legacy. Please reach out to our Portland, Oregon office at (503) 641-6262 or our Vancouver, Washington office at (360) 360-0212 today to get started with an experienced and caring trust administration attorney.
The content on this blog is for general informational purposes only and does not constitute legal advice. The author of this blog is not an attorney, and the views expressed are solely those of the author. Always seek the advice of a qualified attorney for legal guidance regarding your unique situation.
