How to Put Assets Into a Revocable Trust


How to Put Assets Into a Revocable Trust

A revocable trust, also known as a living trust, is a legal document that allows individuals to transfer their assets into a separate entity for management and distribution purposes. It offers flexibility and control, as the trust can be modified or revoked during the grantor’s lifetime. If you are considering setting up a revocable trust, here are some steps to guide you through the process of putting assets into it.

1. Identify the assets: Start by making a comprehensive list of the assets you want to transfer into the trust. This may include real estate, bank accounts, investments, vehicles, and personal belongings. It is essential to have a clear understanding of the assets you own and wish to include.

2. Create the trust: Consult an attorney to draft the revocable trust document. This legal document will outline the terms and conditions of the trust, including the assets to be transferred, the beneficiaries, and the trustee’s responsibilities.

3. Fund the trust: To transfer the assets into the trust, you will need to change the ownership or title of each asset. For real estate, this involves preparing and recording a new deed that transfers the property to the trust. For bank accounts and investments, you will need to contact the financial institutions and provide them with the trust’s details.

4. Update beneficiary designations: If you have life insurance policies, retirement accounts, or any other assets with designated beneficiaries, review and update the beneficiary designations to align with your trust. This ensures that these assets will be distributed according to the trust’s instructions.

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5. Consult professionals: It is advisable to consult professionals such as attorneys, financial advisors, and accountants during the process of funding your trust. They can provide guidance on the legal and tax implications, ensuring that you make informed decisions.

6. Maintain proper records: Keep detailed records of all the assets transferred into the trust. This includes copies of the deeds, account statements, and any supporting documentation. Regularly review and update these records as your assets change.

7. Review and update the trust: Life circumstances change, and it is crucial to review and update your trust regularly. Considerations such as marriage, divorce, birth of children, or significant financial changes may require modifications to the trust document.


1. Can I remove assets from a revocable trust?
Yes, as the grantor, you have the power to remove assets from a revocable trust at any time.

2. Can I add assets to a revocable trust after it is created?
Yes, you can add assets to a revocable trust at any time by following the same process of changing ownership or title.

3. Are all assets eligible to be included in a revocable trust?
Most assets can be included in a revocable trust, including real estate, bank accounts, investments, and personal belongings. However, assets such as retirement accounts and certain types of insurance policies have specific rules and considerations.

4. Do I still have control over assets in a revocable trust?
Yes, as the grantor, you retain control over the assets in a revocable trust. You can manage, use, sell, or gift the assets as you see fit.

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5. Can I be the trustee of my own trust?
Yes, you can act as the trustee of your revocable trust and manage the assets. However, it is advisable to appoint a successor trustee to handle the trust’s administration after your passing or if you become incapacitated.

6. Will transferring assets into a revocable trust affect my taxes?
No, transferring assets into a revocable trust does not trigger any immediate tax consequences. The trust is treated as an extension of yourself for tax purposes.

7. Can a revocable trust protect my assets from creditors?
A revocable trust does not offer asset protection from creditors. It is primarily used for probate avoidance and estate planning purposes. To protect assets from creditors, other types of trusts may be more suitable, such as irrevocable trusts.

In conclusion, putting assets into a revocable trust involves identifying the assets, creating the trust document, changing ownership or title, and updating beneficiary designations. Consulting professionals, maintaining proper records, and regularly reviewing the trust are crucial steps in ensuring the smooth management and distribution of assets.