Primer on Placing Assets in Your Living Trust

Use your Certification of Trust to show financial institutions and others as proof that you have a Living Trust. This is a general guide for placing assets into your Living Trust and may not apply to your estate plan.

What should be included or placed into your living trust:

• Your home
• Other real property you own whether in California or out of state
• Vehicles you purchase with cash or own outright

A note with regards to your vehicles you own outright, on the back of the pink slip, write the words TOD (Transfer on Death) followed by the name of your trust or another loved one. Example: TOD Jane Smith Revocable Trust dated 1-1-05.

You should also update the beneficiaries on the following to make your living trust the primary or contingent beneficiary

• Your life insurance policies
• Your bank accounts including checking, savings and brokerage.

A note with regards to your bank accounts – instead of placing these assets into your trust, you can simply update the POD (Payable on Death) designation with your financial institution to name either your trust or another loved one. If you indicate a loved one, they will not have to share this asset with others.

You SHOULD NOT place your retirement accounts including IRAs, 401k, or 403b accounts into your living trust. This is because these assets held by a living trust would need to be liquidated upon your death and any tax benefits to your heirs would be lost. But please be sure your primary and contingent beneficiaries for these retirements are updated and reflect your wishes.