Trust Funding Guide & Checklist

Why Trust Funding Matters

Creating a trust is only the first step in effective estate planning. Funding your trust means transferring ownership of your assets to it so they are governed by its terms. Assets not titled in the name of your trust may be subject to probate and could undermine your planning goals.

General Instructions

• Wherever possible, re-title assets in the name of your trust.
• Use the full legal name of the trust:
  “[Your Name], Trustee of the [Name of Trust], dated [Date]”
• Keep copies of all documents related to transfers and re-titling.
• Notify relevant institutions (banks, investment firms, insurers, etc.).

Trust Funding Checklist

✅ 1. Real Estate

☐ Execute and record a new deed transferring ownership to the trust

☐ Update your homeowner’s insurance and title insurance to reflect the trust as owner

☐ If mortgaged, notify lender (some lenders may require approval)

✅ 2. Bank Accounts (Checking, Savings, CDs, etc.)

☐ Contact your bank to re-title the account to the trust

☐ Alternatively, open new trust accounts and transfer funds

☐ Update beneficiaries if applicable (for POD accounts)

✅ 3. Investment Accounts

☐ Contact your financial advisor or brokerage to re-title taxable investment accounts

☐ Provide them with a copy of the trust certificate or affidavit of trust

☐ Do not re-title retirement accounts (see below), but review beneficiaries

✅ 4. Retirement Accounts (IRA, 401(k), 403(b))

Do NOT re-title these accounts to the trust

☐ Review and update primary and contingent beneficiary designations

☐ Consider naming the trust as a contingent beneficiary when appropriate

✅ 5. Life Insurance Policies

☐ Update ownership to the trust (optional, depends on strategy)

☐ Update primary and contingent beneficiaries (often the trust or individuals)

✅ 6. Annuities

☐ Review and update beneficiaries

☐ Consider ownership changes on a case-by-case basis

✅ 7. Business Interests

☐ Transfer ownership shares (LLC, Corp, Partnership) to trust via assignment

☐ Update operating agreements or bylaws as needed

☐ Consult with your attorney and CPA

✅ 8. Vehicles

☐ In Massachusetts: Transfer title through the RMV, if advised

☐ Often best handled via a pour-over will unless high-value or collector vehicle

☐ Update insurance if title is changed

✅ 9. Personal Property

☐ Sign a general assignment of personal property to the trust (we provide this)

☐ For high-value items (art, antiques), consider appraisals and specific assignments

What Not to Put in Your Trust

• Retirement accounts (IRAs, 401(k), 403(b))—use beneficiary designations instead
• Health Savings Accounts (HSAs)—cannot be owned by a trust
• Certain U.S. Savings Bonds—consult before retitling
• Professional licenses or personal service contracts

Final Tips

• Keep an updated list of all assets owned by the trust
• Regularly review your trust funding—especially after major life events
• Store copies of all funding documents with your estate plan
• Let your successor trustee know where to find your records

Need Help?

Our office can assist with re-titling real estate, drafting funding letters to banks and institutions, and reviewing beneficiary designations. Don't hesitate to schedule a review meeting.