What to Do When Someone Dies Trust Version

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Losing a loved one is one of the hardest things a family can go through. When that person had a trust in place, you might feel relieved knowing there is a plan. But even with a trust, there are still important steps you need to take right away. If you are a successor trustee, a beneficiary, or a family member trying to figure out what happens next, this guide is for you. At Slowik Estate Planning in Atlanta, Georgia, we help families work through trust administration after a death, step by step.

Table of Contents

Understanding the Role of a Successor Trustee in Georgia

When someone passes away and they had a revocable living trust, a successor trustee steps in to take over. This is the person or entity named in the trust document to manage things after the original trustee (usually the person who created the trust) can no longer serve. Think of it this way: the trust creator set up the rules, and now it is your job to follow them.

Under the Revised Georgia Trust Code, found at O.C.G.A. Title 53, Chapter 12, trustees are required to manage the trust in good faith and in the best interests of the beneficiaries. This is a fiduciary duty, which means you are legally responsible for every decision you make on behalf of the trust. You cannot simply do what is most convenient for you. You must act in the interest of the people the trust is meant to benefit.

One of the first things to understand is that your authority as a successor trustee does not come from a court. It comes from the trust document itself. You do not need to go through probate to take control of trust assets. That is one of the biggest advantages of having a trust. However, you still have real legal obligations to meet, and missing them can expose you to personal liability.

Under O.C.G.A. § 53-12-243, you must provide written notice of your name and address to qualified beneficiaries within 60 days of accepting the role or becoming aware of the trust’s existence. This is not optional. Failing to send this notice can create disputes and legal problems down the road. You should also locate the full trust document, any amendments, and all supporting estate planning paperwork as soon as possible.

If you have been named a successor trustee and are not sure where to begin, contact Slowik Estate Planning. Our office is in Atlanta, Georgia, and we work with trustees across the area to help them understand their duties and avoid costly mistakes.

Securing the Death Certificate and Notifying Key Parties

Before you can do almost anything as a successor trustee, you need certified copies of the death certificate. This document is the official proof that the trust creator has passed away. Banks, financial institutions, government agencies, and title companies will all require it before releasing any information or transferring any assets.

A death certificate is an official recording of the cause, date, and place of death, signed by a physician. In Georgia, you can get certified copies through the funeral home, the Georgia Department of Public Health’s Office of Vital Records, or through the county probate court. The first certified copy of a Georgia death certificate costs $25, and any additional copies are $5 per certified copy.

How many copies do you need? More than you might think. Experts recommend securing 10 to 20 certified copies of the death certificate for the purpose of settling the estate and closing out your loved one’s finances. You will need copies for each financial institution, each piece of real property, insurance companies, the IRS, and any other entity holding assets in the trust.

Certified death certificates are available to requestors having a direct and tangible interest to the decedent, including primary family members or legal representatives of the family. As the successor trustee, you qualify as a legal representative. All vital records offices in Georgia can now obtain birth and death certificates from any county within the state, meaning you do not have to visit the county in which the person died in order to obtain a copy.

Once you have the death certificates in hand, you need to notify beneficiaries. You should also notify Social Security, any pension administrators, life insurance companies, and financial institutions where the decedent held accounts. Keep records of every notification you send. This protects you as a trustee if questions arise later.

An estate planning attorney in Atlanta can help you create a checklist of every party that needs to be contacted and make sure nothing falls through the cracks.

Taking an Inventory of Trust Assets and Avoiding Probate

One of the most important early tasks is figuring out exactly what is in the trust. You need a complete inventory of every asset the trust owns. This includes real estate, bank accounts, investment accounts, personal property, business interests, and anything else titled in the name of the trust. This is not just good practice. It is a legal duty under Georgia law.

Under O.C.G.A. Title 53, Chapter 12, the Revised Georgia Trust Code of 2010 lays out the administrative duties of trustees in detail, including the duty to keep records of all trust property. You are responsible for knowing what the trust owns, how much it is worth, and how to protect it from loss or damage.

Here is a key point that surprises many families: not all assets automatically end up in a trust just because one exists. If the trust creator forgot to retitle certain assets into the trust’s name before they died, those assets may not be covered by the trust at all. They could end up going through probate under O.C.G.A. Title 53, Chapter 5, which governs Georgia’s probate process. This is called a “pour-over will” situation, and it can add time and cost to the administration process.

As you take inventory, look for deeds, vehicle titles, bank statements, brokerage account statements, insurance policies, and tax returns. Check that each asset is properly titled in the name of the trust. If you find assets that were not transferred into the trust, you may need to open a probate estate to handle them separately.

Working with an Atlanta estate planning lawyer at Slowik Estate Planning can help you identify any gaps in trust funding and figure out the best way to handle assets that were left outside the trust. Every situation is different, and having legal guidance makes a real difference.

Tax Obligations After a Loved One’s Death

Taxes are one area where many successor trustees get tripped up. When the trust creator dies, the tax situation changes significantly. A revocable living trust becomes irrevocable at the moment of death. That means it is now a separate taxable entity and likely needs its own Employer Identification Number (EIN) from the IRS.

Under Internal Revenue Code § 671, while the grantor was alive and the trust was revocable, the trust’s income was reported on the grantor’s personal tax return. That changes at death. Once the trust becomes irrevocable, the trust must file its own tax return, Form 1041, for any income earned by the trust after the date of death.

There is also an important tax benefit to understand. Under IRS § 1014(a)(1), assets that pass through an estate generally receive a stepped-up basis to the fair market value at the date of death. This can significantly reduce capital gains taxes when beneficiaries eventually sell inherited assets. However, this rule has important limitations for irrevocable trusts. Under IRS Revenue Ruling 2023-2, assets held in an irrevocable trust that are not included in the decedent’s gross estate do not receive a stepped-up basis. This is a critical planning issue that can affect the tax bill for your beneficiaries.

Georgia does not have a state estate tax, but federal estate tax rules still apply. For 2026, the federal estate tax exemption is set under current law, and estates above that threshold may owe federal estate taxes. If the estate is large, you should consult a tax professional and an attorney who handles Estate Tax Planning in Atlanta Georgia to make sure everything is handled correctly.

Do not guess when it comes to taxes. The IRS and the Georgia Department of Revenue both have strict rules, and mistakes can be costly. Reach out to Slowik Estate Planning for guidance on the tax side of trust administration.

Distributing Trust Assets to Beneficiaries

Once you have gathered the death certificates, taken inventory, handled the tax filings, and paid any valid debts or expenses of the trust, you are ready to distribute assets to beneficiaries. This is often the step families are most eager to reach, but it must be done carefully and in the right order.

The trust document controls how distributions are made. You must follow those instructions exactly. You cannot decide to give one beneficiary more than the trust says, even if you think it would be fair. Under O.C.G.A. § 53-12-300, a trustee who violates any obligation owed to the beneficiaries can be found in breach of trust. That can mean personal financial liability for you as trustee.

Before making any distributions, make sure all debts, taxes, and administrative expenses have been paid or set aside. Distributing assets before settling these obligations can leave you personally responsible for any shortfall. Also, consider whether any beneficiary has special circumstances. For example, if a beneficiary has a disability and receives government benefits, an improper distribution could affect their eligibility. If the trust includes provisions for minor children or pet guardianships, those must be honored as well.

For real property held in the trust, you will need to prepare and record a deed transferring the property to the beneficiary. For financial accounts, you will need to present the death certificate and trust documents to the institution. Keep records of every distribution you make, including the date, amount, and recipient. This accounting protects you if any beneficiary later questions how the trust was administered.

If the trust involves multiple beneficiaries, complex assets, or any potential for disputes, working with an Asset Protection Lawyer at Slowik Estate Planning can help you protect yourself and ensure the process goes smoothly. Our office is located in Atlanta, Georgia, and we are ready to help you every step of the way.

FAQs About What to Do When Someone Dies Trust Version in Atlanta, Georgia

Does a trust in Georgia have to go through probate after the creator dies?

Generally, no. One of the main benefits of a revocable living trust is that assets held inside the trust pass directly to beneficiaries without going through the Georgia probate process under O.C.G.A. Title 53, Chapter 5. However, if the deceased had assets that were never transferred into the trust, those assets may still need to go through probate. This is why it is so important to make sure a trust is fully funded during the creator’s lifetime. Slowik Estate Planning can help you review whether all assets were properly titled and what steps to take if some were not.

How long does a successor trustee have to notify beneficiaries in Georgia?

Under O.C.G.A. § 53-12-243, a successor trustee must provide written notice of their name and address to all qualified beneficiaries within 60 days of accepting the role or becoming aware of the trust’s existence. This notice should also inform beneficiaries of their rights under the trust. Missing this deadline can create legal disputes and expose the trustee to liability. If you are unsure who qualifies as a beneficiary or what information must be included in the notice, contact Slowik Estate Planning in Atlanta for guidance.

What happens if two people die at the same time and both are connected to a trust?

Georgia law addresses this situation under O.C.G.A. Title 53, Chapter 10, the Simultaneous Death chapter. When the order of deaths cannot be determined, the law provides rules for how property is distributed. For example, under O.C.G.A. § 53-10-2, if the devolution of property depends on priority of death and it cannot be determined who died first, each person is treated as having predeceased the other for purposes of their own property. A well-drafted trust should include language that addresses simultaneous death scenarios directly. If yours does not, the default Georgia rules will apply.

Do trust assets get a stepped-up tax basis when the trust creator dies?

It depends on the type of trust. Under IRS § 1014(a)(1), assets included in the decedent’s gross estate generally receive a stepped-up basis to fair market value at the date of death, which can reduce capital gains taxes for beneficiaries. However, IRS Revenue Ruling 2023-2 clarified that assets held in an irrevocable trust that are not included in the decedent’s gross estate do not receive this stepped-up basis. This distinction has significant tax implications and is an important reason to work with an attorney who understands both trust law and federal tax rules when planning and administering a trust.

Can a successor trustee be held personally liable for mistakes made during trust administration?

Yes. Under O.C.G.A. § 53-12-300, a trustee who violates any obligation owed to beneficiaries can be found in breach of trust and held personally liable for resulting damages. This includes making unauthorized distributions, failing to pay trust debts before distributing assets, failing to properly notify beneficiaries, or mismanaging trust investments. The good news is that working with an experienced attorney can help you avoid these pitfalls. Slowik Estate Planning in Atlanta, Georgia, works with successor trustees to make sure every step of the administration process is handled correctly. Each case is unique, and prior results in other matters do not guarantee a similar outcome in yours.

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