🕊️ You Die — Now What? Understanding the Responsibilities of a Trustee in California
When someone passes away, the first question their family often asks is:
“What happens now?”
If you have a living trust, the answer depends on one person — your trustee.
That trusted individual, maybe a spouse, adult child, or close friend, suddenly steps into one of the most important — and often misunderstood — legal roles in California estate law.
Let’s walk through what actually happens in the days and months after death… and what is (and is not) part of a trustee’s job.
🧩 Step 1: Becoming the Trustee
In California, when the trustmaker (called the settlor or grantor) dies, the successor trustee automatically steps into power under the terms of the trust document. No court order is needed — that’s one of the main advantages of having a trust instead of just a will.
However, the trustee can’t just start writing checks right away.
Their first legal duty is to formally accept the role — usually by signing an Affidavit of Successor Trustee and notifying banks, title companies, and the IRS that they’re now acting as the trustee of the trust.
📄 Example: When John Smith died, his daughter Rachel went to the bank with the trust and death certificate. She had to present an affidavit, her ID, and the trust tax ID before the bank would grant her control of the trust account.
🧾 Step 2: The Trustee’s Legal Responsibilities
Under California Probate Code §§ 16000–16015, a trustee’s responsibilities include:
- Fiduciary Duty
The trustee must always act in the best interests of the beneficiaries — not themselves. This means avoiding conflicts of interest, self-dealing, or favoritism.
- Keeping Beneficiaries Informed
California law requires trustees to keep beneficiaries “reasonably informed” of the trust administration process. Within 60 days of death, the trustee must send out a Notice to Beneficiaries and Heirs (Probate Code § 16061.7).
⚖️ Real story: A trustee once ignored this rule and waited a year to notify the beneficiaries. The court later suspended her as trustee — and she had to personally pay the legal fees.
- Inventorying and Protecting Assets
From real estate to retirement accounts, the trustee must locate and safeguard all trust assets, often filing an Inventory and Appraisal with estimated values.
They also handle things like:
- Changing locks or maintaining insurance on property
- Collecting rent or dividends
- Consolidating bank accounts under the trust’s name
- Paying Debts and Taxes
Before distributing anything, the trustee must:
- Pay outstanding bills or funeral costs
- File final income taxes and trust tax returns
- Sometimes deal with property reassessments under Proposition 19
🏠 Example: If the trust includes a family home, the trustee might need to file a Parent–Child Exclusion to avoid a major property tax increase.
- Distributing Assets
Once all debts and taxes are paid, the trustee distributes assets to the beneficiaries exactly as the trust instructs. They must keep detailed records and provide a final accounting if any beneficiary requests it.
🚫 What a Trustee Is Not Responsible For
Trustees often feel overwhelmed — but there are clear limits to their job:
❌ They don’t pay out of their own pocket (except for mismanagement or fraud).
❌ They aren’t financial advisors (though they should act prudently).
❌ They don’t mediate family conflicts — though they often end up trying.
❌ They don’t make new estate planning decisions — their role is to follow the trust, not rewrite it.
💡 Example: A trustee once thought she could “fix” her late father’s outdated trust by changing how property was divided among siblings. The court invalidated her changes and ordered her to personally reimburse the other heirs.
💔 The Emotional Side
Trustees aren’t just administrators — they’re often grieving family members. California law gives them enormous power but also immense pressure: deadlines, taxes, appraisals, and sometimes ungrateful relatives.
Many trustees eventually hire an estate planning attorney to help them meet their legal obligations and avoid personal liability.
⚖️ Pro tip: A trustee can (and often should) use trust funds to pay for professional legal or accounting help. It’s not a personal expense.
🌿 The Heart of It
When you appoint a trustee, you’re really choosing who will carry your voice after you’re gone. Their work is both legal and human — protecting your legacy, resolving your final affairs, and ensuring that your wishes are honored with integrity.
A trust doesn’t avoid all complexity — but it replaces chaos with clarity and care.
✳️ Final Thought
If you’ve been named as a trustee in California, take a breath. You don’t have to do everything alone. You just need to understand your duties, document your actions, and get help when you need it.
That’s how you honor both the law — and the person who trusted you with their legacy.
This article is for general informational and educational purposes only and is not intended to provide legal, financial, or tax advice. The content is believed to be accurate at the time of publication but is not a substitute for personalized professional advice.
The information provided here does not create an attorney-client relationship. If you require legal advice, please consult with a qualified attorney who can assess your specific situation. This firm does not accept any liability for actions taken or not taken based on the contents of this article.