Trust Funding in Massachusetts: Why It's Essential After Creating Your Estate Plan

Why Funding Your Trust Matters After You Make an Estate Plan

Many families in Massachusetts take the important step to protect their loved ones and save them time and money by creating an estate plan. However, creating the plan is only the first step in the estate planning process. The next step is just as important: funding the trust.

What Does “Funding a Trust” Mean?

When you set up a trust, you are creating a special container to hold your money, property, and other assets. If you don’t take the step of transferring those assets into the trust, the container remains empty and ineffective. That’s where funding comes in. Funding is the critical process of retitling ownership of your accounts, property, or other assets into your trust, as well as updating beneficiary designations on retirement accounts and life insurance policies. 

Why Is Funding So Important?

If your trust is not funded, your estate plan may not function as you intended. For example:

• Your loved ones might still have to go through probate court.
• You lose privacy in your estate administration.
• Your family could face unnecessary delays and expenses when trying to access the resources they need.

By funding your trust, you make sure your hard work in creating an estate plan really pays off.

At Mulhall Withrow, we don’t just help you write your estate plan; we also help make sure it works. Here’s how:

• Full-Service Funding Assistance: For clients who want extra support, we offer the option to complete the paperwork and forms needed to fund the trust. This takes the burden off your shoulders and provides peace of mind that everything is done correctly. 
• Teamwork With Financial Advisors: We work closely with your financial advisors and financial institutions to guarantee assets are properly handled.
• Complimentary Reviews: We offer existing clients complimentary reviews of the estate plan to ensure it still reflects their wishes. We reach out to our clients every three years, but they are more than welcome to contact us sooner if they feel a review is necessary. Life changes, and so do your finances. These reviews help keep your plan up to date.

The Bottom Line

Creating an estate plan is a big step, but it is only the beginning. Funding your trust is what brings your plan to life. Our team is here to guide you every step of the way and to check in with you over the years to keep everything on track. With our help, you can feel confident knowing that your trust is fully funded and ready to protect your family.

If you have questions about whether your trust is funded, please contact us today at (781)-381-5287. We’d be honored to help you protect what matters most.