Trust Funding Checklist
Creating a trust is only step one. An unfunded trust is just a piece of paper. Here's what you need to transfer into your trust and how to do it.
Real Estate
- Prepare a deed — transfer from yourself to the trust (e.g., "John Smith, as Trustee of the Smith Family Trust")
- Record the deed — file with the county recorder where the property is located
- Check your mortgage — review for due-on-sale clauses (Garn-St. Germain Act provides exemptions for transfers to revocable trusts)
- Update insurance — notify your homeowner's insurance that the trust now holds title
- Property tax — check for reassessment triggers in your state (revocable trusts usually don't trigger reassessment)
Bank Accounts
- Take your trust document (or Certificate of Trust) to the bank
- Open new accounts in the trust's name, or retitle existing accounts
- Update the account holder to: "[Your Name], Trustee of [Trust Name]"
- Get the bank's trust department forms if needed
Investment Accounts
- Contact your brokerage — they have trust account transfer forms
- Provide the Certificate of Trust (they usually don't need the full trust agreement)
- Retitle accounts to the trust's name
- Check beneficiary designations — some brokerages allow trust as beneficiary without retitling
Vehicles
- Check your state's DMV — some states allow trusts on titles, some don't
- Update the title to the trust's name
- Update insurance policy to include the trust as an additional insured
- If your state doesn't allow trusts on titles, consider transferring the vehicle as a gift of personal property via a written assignment
Business Interests
- LLC membership interests — assign your membership interest to the trust via a written assignment
- Corporate stock — transfer shares to the trust (check the shareholder's agreement for restrictions)
- Partnership interests — review the partnership agreement for transfer restrictions
- Sole proprietorships — transfer the business assets individually
Personal Property
- Use a general assignment of personal property — a single document that transfers all personal property to the trust
- List specific valuable items (jewelry, art, collectibles) with descriptions
- This covers furniture, electronics, tools, and other tangible personal property
Intellectual Property and Digital Assets
- Copyrights, trademarks, patents — assign to the trust in writing
- Digital assets — include language in the trust granting the trustee access to digital accounts
- Cryptocurrency — transfer to a wallet controlled by the trustee
Beneficiary Designations
Some assets pass by beneficiary designation, not by ownership. These include:
- Life insurance — you can name the trust as beneficiary (check with your attorney about tax implications)
- Retirement accounts (401k, IRA) — be careful; naming a trust as beneficiary can accelerate distributions. Usually better to name individual beneficiaries directly
- Annuities — review beneficiary designations
What NOT to Transfer
- Retirement accounts (401k, IRA) — usually keep individual ownership to preserve tax benefits
- Health savings accounts (HSAs) — cannot be owned by a trust
- Vehicles in some states — check local law
- Assets with existing liens or encumbrances that restrict transfer
The funding sequence
Order matters more than speed. Each item below moves different property into the trust by a different mechanism — and a step done out of sequence usually has to be redone. This diagram matches the checklist sections that follow.
Not legal advice. This checklist is for educational purposes. Funding requirements vary by asset type and state. Consult a licensed attorney before transferring assets to a trust.