Trustee Checklist

Schedule a Consultation

Being named as a trustee is a big deal. It means someone trusted you enough to put you in charge of managing assets that matter deeply to them and to the people they love. But with that trust comes real legal responsibility. If you are a trustee in Atlanta, Georgia, or anywhere across the state, you need to know exactly what is expected of you. Georgia law is clear about your duties, and failing to follow through can expose you to personal liability. This trustee checklist is designed to walk you through your core responsibilities step by step, so you can serve with confidence and stay on the right side of the law. At Slowik Estate Planning, located in Atlanta, Georgia, we help trustees understand their obligations and handle trust matters the right way.

Table of Contents

What Does a Trustee Actually Do in Georgia?

Before diving into the checklist, it helps to understand the role itself. A trustee is the person, or institution, responsible for managing trust assets on behalf of the beneficiaries. You are not the owner of those assets. You are the steward. That distinction matters a lot under Georgia law.

Upon acceptance of a trusteeship, the trustee shall administer the trust in good faith, in accordance with its provisions and purposes. That comes directly from O.C.G.A. § 53-12-240, part of the Revised Georgia Trust Code of 2010. Good faith is not optional. It is the foundation of everything you do as a trustee.

Generally speaking, a trustee has three kinds of duties to the trust and its beneficiaries: a duty of impartiality, a duty of undivided loyalty, and a duty to administer the trust with care and prudence. Think of these as your guiding principles. Every decision you make should pass all three tests.

Your authority as trustee comes from the trust document itself. The document by which the trust was created generally provides the trustee with guidelines related to the scope and duration of the trustee’s authority, how assets are to be managed and distributed, and when and how to work with the beneficiaries. Read that document carefully. If anything is unclear, talk to an attorney before acting. Mistakes made early in trust administration can be costly and hard to undo. The team at Slowik Estate Planning is ready to help you review your trust documents and understand your duties from day one.

It is also worth noting that a trustee has a fiduciary responsibility to conduct their duties in a way that adheres to the rules of the trust and benefits the beneficiaries. A trustee must typically be at least 18 years of age and of sound mind. Georgia law also allows entities like banks or corporations to serve as trustees in certain situations.

Step One: Accept the Role and Notify Beneficiaries

The first items on your trustee checklist happen right at the start. Once you accept the role, the clock starts ticking on several important obligations. Do not assume that silence counts as acceptance or that you can simply start acting without formally stepping into the role.

One of your earliest duties is notifying the people who benefit from the trust. Under O.C.G.A. § 53-12-243, trustees must provide written notice of their name and address to qualified beneficiaries within 60 days of accepting the trusteeship or becoming aware of the trust’s existence. Missing this deadline can create disputes and signal to beneficiaries that you are not taking the role seriously.

Sharing information with certain beneficiaries is required by Georgia law. Sharing information with other family or friends may help to avoid conflict, if permitted by the terms of the trust. Transparency from the very beginning sets a positive tone for the entire administration process.

You also need to gather the key documents. Pull together the original trust agreement, any amendments, and related estate planning documents like wills that may affect how the trust operates. Review everything carefully. Read the living trust document and do what it says. Your authority is limited to what the document and state law permit. There may be duties required by state law even if they are not in the living trust document.

If the trust became irrevocable upon the grantor’s death, you will likely need to obtain a federal Employer Identification Number (EIN) for the trust. Meeting this deadline prevents potential disputes and ensures compliance with Georgia’s trust code. In Georgia, an EIN is generally required if the trust becomes irrevocable after the grantor’s death and remains active. Getting this done early keeps your tax obligations on track.

Step Two: Take Inventory and Protect Trust Assets

Once you have accepted the role and notified the right people, your next priority is knowing exactly what the trust holds. You cannot manage what you have not identified. A thorough asset inventory is not just good practice. It is a legal duty.

At the beginning of trust administration, the trustee should inventory all the trust’s assets, including investing and bank accounts, real estate, personal property, and any other assets. As part of the trust administration process, the trustee should identify and appraise all assets held within the trust. This inventory becomes your baseline for everything that follows, from investment decisions to distributions to final accounting.

Protecting those assets is just as important as finding them. Trusts often contain a mixture of assets, from cash to real property. A trustee is responsible for protecting and preserving these assets. Sometimes, this duty includes collecting on debts that are owed to the trust, such as rent. It may also require the trustee to obtain the necessary insurance for trust assets.

Under O.C.G.A. § 53-12-261, a trustee of an express trust has all powers over the trust property that an unmarried competent owner has over individually owned property, as well as any other powers appropriate to achieve the proper investment, management, and distribution of the trust property. That is broad authority, but remember, every power you exercise must align with your fiduciary duties.

You also need to keep trust assets completely separate from your own personal assets. A trustee must keep the trust’s assets separate from the trustee’s own property, and the trust’s assets must be readily identifiable. Mixing personal funds with trust funds, even accidentally, is a serious breach of your fiduciary duty. Open dedicated trust accounts and title assets in the name of the trust. If the trust holds interests that could include things like pet guardianships or other unique provisions, make sure you understand and honor those specific terms as well.

Step Three: Manage Investments and Handle Trust Administration

Managing trust assets wisely is one of your most ongoing responsibilities. Georgia law holds trustees to a prudent investor standard. That means you must make investment decisions that a reasonable, careful person would make given the trust’s goals and the needs of the trust beneficiaries.

Article 16 of the Revised Georgia Trust Code (O.C.G.A. §§ 53-12-340 through 53-12-364) governs trust investments. The prudent investor rule requires you to consider the trust’s overall investment strategy, not just individual assets in isolation. You must weigh risk against return, diversify holdings where appropriate, and always keep the beneficiaries’ interests front and center.

You are allowed to hire professionals to help you. A trustee may employ and compensate, out of income or principal or both, persons deemed needful to advise or assist in the administration of the trust, including agents, accountants, brokers, attorneys at law, investment brokers, realtors, appraisers, and tax specialists. Delegating to qualified professionals is not a sign of weakness. It is often the smart and legally sound approach.

Ongoing trust administration also includes managing income and expenses properly. Under Article 17 of the Revised Georgia Trust Code, the Georgia Principal and Income Act (O.C.G.A. §§ 53-12-380 through 53-12-455), you must properly allocate receipts and expenses between principal and income. This matters because some beneficiaries may be entitled to income now, while others are entitled to the principal later. Getting this allocation wrong can harm one group at the expense of the other, which is exactly the kind of impartial treatment the law requires you to avoid.

You must always be impartial when you carry out your duties as trustee. You cannot show any bias toward any one beneficiary. Because each beneficiary’s needs are different, you do not have to treat everyone the same. But you must act in each beneficiary’s best interest in an unbiased way. When in doubt, reach out to Slowik Estate Planning for guidance before making a decision that could be challenged later.

Step Four: Keep Records, File Taxes, and Account to Beneficiaries

Good record-keeping is not just a best practice. It is a legal requirement. Article 12 of the Revised Georgia Trust Code (O.C.G.A. §§ 53-12-230 through 53-12-232) addresses accounting obligations. You need to keep detailed, accurate records of every transaction, distribution, and communication related to the trust.

Maintaining detailed and accurate records of the trust’s asset values, financial transactions, and distributions is essential for transparency, fulfilling tax obligations, and demonstrating fiduciary duty. Proper documentation also supports effective decision-making and future planning.

Tax obligations are another major piece of your checklist. Trustees must file necessary federal and state tax returns and pay taxes owed by the trust. Timely and accurate tax filings help avoid penalties, ensure compliance with tax laws, and protect the trust’s assets. Trusts that generate income are generally required to file a Form 1041 with the IRS. Georgia also has its own income tax requirements for trusts. Missing deadlines or filing incorrectly can result in penalties that reduce what is available for beneficiaries.

You also have a duty to account to the beneficiaries. Keep a detailed list of everything the trust receives and spends. Records should include amount of checks written or deposited, dates, reasons, and names. Beneficiaries have the right to know how you are managing their interests. Providing clear, regular accountings builds trust and reduces the chance of disputes.

Under Article 14 of the Revised Georgia Trust Code (O.C.G.A. §§ 53-12-300 through 53-12-308), a trustee who breaches their duties can face serious consequences. Too often, trustees breach their duties. Some of the most common ways they do this include breaches of trust, funds misappropriation, poor management, fraudulent acts, failure to act, and engagement with a competitor. Keeping clean records protects you just as much as it protects the beneficiaries. Contact Slowik Estate Planning in Atlanta, Georgia, if you have any questions about your accounting obligations.

Step Five: Make Distributions and Close Out the Trust

One of the most meaningful parts of your role is making distributions to beneficiaries. This is where the grantor’s wishes become reality. But distributions must be made correctly, on time, and in accordance with the trust document. Getting this wrong can expose you to personal liability.

Trustees are tasked with ensuring that distributions are made to beneficiaries in accordance with the trust’s stipulations, whether that means distributing funds for educational expenses, health needs, or other specific purposes outlined in the trust. The trustee must also say “no” when that is needed to abide by the terms of the trust, refusing to make requested distributions that run afoul of the terms. Saying no is sometimes just as important as saying yes.

If a beneficiary is a minor or has a disability, Georgia law gives you options for how to handle distributions. A trustee may distribute to the beneficiary’s conservator or guardian, to the beneficiary’s custodian under “The Georgia Transfers to Minors Act,” or to any other person who has the care and custody of the person of the beneficiary. Make sure you document your reasoning for any distribution decision you make.

When the trust has fulfilled its purpose and all assets have been properly distributed, you can move toward closing the trust. This involves preparing a final accounting, obtaining receipts from beneficiaries, resolving any remaining tax obligations, and formally terminating the trust. Article 3 of the Revised Georgia Trust Code (O.C.G.A. §§ 53-12-40 through 53-12-45) addresses trust modification and termination. Closing a trust properly protects you from future claims and gives everyone involved a clean ending.

Throughout this entire process, remember that you do not have to do it alone. Slowik Estate Planning, based in Atlanta, Georgia, works with trustees at every stage of trust administration. Whether you are just starting out or wrapping up a long-running trust, having knowledgeable legal support on your side makes the whole process smoother and safer for everyone involved. We encourage you to reach out and schedule a consultation today.

FAQs About Trustee Checklist in Atlanta, Georgia

What is the first thing I should do after being named a trustee in Georgia?

Start by reading the trust document carefully from beginning to end. Then gather all related estate planning documents, notify qualified beneficiaries in writing within 60 days as required by O.C.G.A. § 53-12-243, and obtain a federal Employer Identification Number (EIN) if the trust is or becomes irrevocable. Contacting an estate planning attorney early, like the team at Slowik Estate Planning in Atlanta, Georgia, helps you avoid common mistakes right from the start.

Can a trustee in Georgia be held personally liable for mistakes?

Yes. Under Article 14 of the Revised Georgia Trust Code (O.C.G.A. §§ 53-12-300 through 53-12-308), a trustee who breaches their fiduciary duties can be held personally liable. This can include being required to restore lost assets, pay damages, or even be removed from the role by a court. Keeping thorough records and following the trust document closely are your best protections. Every case is different, and prior results do not guarantee similar outcomes.

How often do I need to account to beneficiaries as a Georgia trustee?

Georgia law requires trustees to keep beneficiaries reasonably informed about the trust and to provide accountings. The trust document may specify how often formal accountings must be provided. Even if it does not, providing annual accountings is considered a strong best practice. Detailed records of all transactions, distributions, and expenses protect you and give beneficiaries the transparency they are entitled to under the Revised Georgia Trust Code.

Can I get paid for serving as a trustee in Georgia?

Yes. Georgia law generally allows trustees to receive reasonable compensation for their services unless the trust document states otherwise. What counts as “reasonable” depends on the size and complexity of the trust, the time you spend, and the nature of the work involved. If you are unsure what compensation is appropriate, consult with an attorney before paying yourself to avoid any appearance of self-dealing or a breach of your fiduciary duty.

Do I need an attorney to handle trust administration in Georgia?

You are not legally required to hire an attorney, but doing so is strongly recommended. Trust administration involves legal duties, tax filings, investment decisions, and beneficiary communications that carry real liability if handled incorrectly. An experienced estate planning attorney can help you avoid costly errors and ensure you are fully compliant with Georgia law. Slowik Estate Planning in Atlanta, Georgia, is available to guide trustees through every step of the process. Reach out today to schedule a consultation.

More Resources About Trustee Tools and Templates

Services

All Services

Testimonials

Jake is a person who really cares about his work. Can't recommend him enough and definitely telling my friends and family about his services.

- Catherine B.