While probate is a necessary legal process for many estates, it can be time-consuming, expensive, and emotionally draining. Thankfully, a well-structured trust can help your family avoid probate entirely.
At Petrelli Previtera, we work with individuals and families across Philadelphia to avoid probate and simplify the transfer of wealth. We often see costly errors that could have been avoided with better planning. Some of the most common mistakes include failing to fund the trust fully, forgetting to update beneficiary designations, and assuming joint ownership is enough. Many also overlook the importance of regularly reviewing and updating their estate plan.
Whether you’re creating a new trust or serving as a trustee, this checklist will guide you through the key legal and administrative steps.
Key Takeaways
Why Avoid Probate?
Probate can be a lengthy and public process that exposes your estate to court oversight, unnecessary delays, and additional costs. Avoiding probate helps keep your affairs private, allows assets to be distributed more quickly, reduces legal fees and court costs, and can prevent public disputes or legal challenges between heirs.
Trust Administration Checklist: What Trustees Need to Do
☑ Read the Trust Document Carefully
Understand the grantor’s wishes
Identify key terms and beneficiary designations
☑ Notify Beneficiaries and Interested Parties
Provide a copy of the trust or summary
Answer initial questions about distributions and timeline
☑ Inventory the Assets
Identify all trust-owned assets
Confirm title and ownership are in the name of the trust
Appraise assets if needed
☑ Secure and Manage Assets
Continue paying bills and managing investments
Protect property from loss or damage
☑ File Required Tax Documents
File final income tax return for the deceased (Form 1040)
File fiduciary tax return (Form 1041)
Handle any required estate tax filings
☑ Pay Debts and Liabilities
Notify creditors
Pay valid debts, taxes, and expenses
☑ Maintain Records and Reporting
Keep receipts, statements, and transaction logs
Provide accounting to beneficiaries when requested or required
☑ Distribute Assets According to the Trust
Follow specific instructions in the trust
Ensure timing and conditions are met
☑ Close the Trust
After distributions are complete and taxes are paid
Maintain a copy of the final accounting and trust closure documents
We’re Here to Help
Serving as a trustee comes with serious legal responsibility. Whether you’re setting up a new trust or navigating the steps above, our Philadelphia trust administration attorneys can guide you.
Let’s simplify the process together. Schedule a consultation with Petrelli Previtera today.