Any lawyers and/or CPA's? Where can I learn about estate trusts?

Wrecked944 · 05-29-2006, 11:25 AM

Specifically, I want to know the nuts and bolts of how "estate" and "living" trusts are implemented...accounting...audit control...asset and income distribution...investing strategies...schedules and deadlines for filing documents etc etc...the whole nine yards...

I've searched Amazon and found books aimed at people who want to write their own wills...and other books for relatives and heirs...but I really want to understand the mechanics of the process...and I am particularly curious to know if there are any software packages out there that can or do automate the process for those who manage trusts...

john70t · 05-29-2006, 11:55 AM

http://en.wikipedia.org/wiki/Estate_planning has some basics on the terminology.
Also the MA gov website should have links to free downloadable forms etc... Be careful, statory law will have precedence over any "universal forms". The local BAR assoc may be able to refer you to inexpensive attnys, it will be worth a hour's consultation.

esther · 05-29-2006, 07:36 PM

First and foremost - get an estate planning attorney that will go over the nuts/bolts with you...

BASIC BASIC BASIC Estate planning include but not limited to...
** attorney drafts a will based on what you want
Will has a pour-over provision to your trust.

** attorney drafts a trust agreement
trust agreement states what happens after you die...
while you are alive, you or attorney transfers your assets to be held by the "trust"

** when you meet with your attorney, they'll also talk about property POA and health POA (living will)

** Usually you are the Trustee who is in charge of the assets and income is reported on your 1040 -

** You die and your executor/successor trustee and attorneys handle your estate. Estate is comprised of probate assets and non-probate assets - assets held by your trust is considered non-probate asset. Probate is whole different topic...

Attorney decides if your estate goes through probate and/or if a 706 (estate tax return) is due... Trust agreement determines how separate trusts are created and how they are administered... (if you want to create separate trusts after you die)

Then you get into post-death trust administration...

I don't know how specific or what exactly you are looking for... VERY IMPORTANT TO GET A COMPETENT ATTORNEY... (preferably a CPA/JD) you don't want to screw this up - I've seen way too many nasty probate court cases and family fights...

esther · 05-29-2006, 07:41 PM

As for software that manages trusts, I use Quicken... and my boss (attorney) and his clients really appreciate the reports that are generated.

Wrecked944 · 05-30-2006, 03:22 AM

Thanks for the info. I guess I should have made it clear I'm not looking to write my will or set up a trust. I really just want to understand them. In my previous job, I did a fair amount of computer programming for a large corporation that handled trusts. Big trust accounts. But I only got to see a tiny portion of the whole thing. Now I am contemplating "backfilling" my understanding of trusts large and small so I can apply the knowledge in the future and, perhaps, do some more informed applications work in the field.

esther · 05-30-2006, 06:28 AM

Whenever I hear the term "Trust" I think of it on the individual level... The biggest trust (marital trust) I handled was $42M - Although paralegals have handled bigger trusts. "Trust" is such a general term... there are so many different types of trusts such as Living Trusts,Marital Trust (QTIP), Qualified Domestic Trust (QDOT), Credit Shelter Trust (Family Trust), Qualified Subchapter S Trust (QSST), Electing Small Business Trust (ESBT), Irrevocable Life Insurance Trust (ILIT)
Dynasty Trust, Grantor Trust, Simple Trust, Complex Trust, Foreign Trust
Real Estate Investment Trust (REIT), Charitable Remainder Trust (CRT) (Annuity or Uni) Charitable Lead Trust (CLT) etc etc

I'm not too familiar with types of trusts corporations (like Fortune 500 type corps?) handle...
Trusts are governed by the trust agreement and the state law. That's where the terms are outlined... As for software for estate planning/trust administration, try looking into CCH, Benchmark, Probate, FastTax but again most of these are used for the trusts individuals set up. Again, not sure about existing software for trusts that corporations handle....
Even after 10+ years of estate planning/tax paralegal work, there's still more for me to understand

Wrecked944 · 05-31-2006, 03:42 AM

Thanks again. This really helps. I'll google all of those software packages. As for my previous job, I was a programmer at State Street Corp. And I was told that the "trust" accounts we were managing were what I think you'd call "individual accounts." Big dollar amounts but relatively simple otherwise. That said, I was only extracting accounting and custody data and creating reports. So I was only able to see a TINY fraction of the whole business. I'm hoping to fill in the gaps in my understanding and use that knowledge in the future.