What is Trust Management?
Trust management involves creating, maintaining, and/or administering a legal entity—called a trust—that controls how your assets are managed, protected, and distributed during your life and after you pass. A trustee follows instructions you set to ensure your property, finances, and digital or physical assets benefit the people or causes you choose. To manage the trust is to follow the instructions outlined within the language of the trust to the best interest of the benefiting heirs.
Why Trusts Matter in Modern Estate Planning
TLDR; A trust lets you direct how your assets, those physical, financial, and even digital, are handled now and in the future.
How a Trust Works
The Three Roles in Trusts
A trust is a private legal arrangement where you (the grantor) craft a set of rules to manage and protect your assets, like your house, money, or investments. You name someone you trust (appropriately named the trustee) to manage those assets using these rules for the benefit of someone else (the beneficiary). Your beneficiary can be you, your family, or even a charity. Your trust will be the direct beneficiary of your established will. Trusts and wills go hand in hand.
Core Benefits to a Trust
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Keeps your affairs private
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Helps manage assets if you become incapacitated
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Allows structured distributions/payouts (age milestones, incentives, charitable giving, etc.)
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Supports modern estate goals: digital royalties, online revenue, intellectual property, pets, etc.
Is a Trust Right for You?
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Examples of Types of Trusts We Manage & Establish
1. Revocable Living Trust
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What it is: The most flexible type of trust. You can change it, add to it, or even dissolve it at any time during your life. You often act as your own trustee.
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Best for: Anyone who wants to maintain control over their assets while planning for the future. It's a popular choice for avoiding probate and managing assets if you become incapacitated.
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2. Irrevocable Trust
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What it is: Once you create this trust, you've essentially given up control of the assets you place inside it. You can't change the terms without the consent of the beneficiaries.
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Best for: High-net-worth individuals or those who want to protect assets from creditors and reduce estate taxes.
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3. Irrevocable Life Insurance Trust (ILIT)
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What it is: A specialized irrevocable trust designed to own a life insurance policy. When you pass away, the death benefit is paid to the trust, which then distributes it to your beneficiaries.
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Best for: Individuals with significant estates who want to ensure their life insurance payout isn't subject to estate taxes.
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4. Special Needs Trust (SNT)
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What it is: A trust designed to hold assets for a loved one with a disability. It's carefully structured so the assets do not interfere with their eligibility for government benefits like Medicaid or Supplemental Security Income (SSI).
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Best for: Anyone with a family member who has a disability and receives government assistance​
Digital & Virtual Asset Trust Planning
Explore our comprehensive trust planning services tailored to safeguard your digital and virtual assets. Secure your legacy with Cornerstone Legal PLLC.
Crypto & NFTs
Transferring digital assets—especially cryptocurrency wallets and password-protected accounts—creates a paradox where a Trust can transfer legal ownership, but not the private keys needed for access. A modern Digital Asset Trust resolves this by pairing fiduciary authority (financial power) with cryptographic security through a “dual-key” structure that separates legal rights from technical access.
E-Commerce Revenue
Most Terms of Service agreements prohibit the transfer of accounts between individuals. By establishing the trust itself as the account owner, you allow legal and technical ownership of your e-commerce business to pass seamlessly to successor trustees, while ensuring the account’s true, continuous owner remains the trust—not any individual.
Digital Library & The Cloud
Because cloud accounts function as non-transferable licenses rather than property, the Trust acts as a critical instrument of "lawful consent" to bypass privacy regulations like the Stored Communications Act that would otherwise block access. This authorization empowers a designated Digital Executor to legally "extract" and filter content from service providers, effectively converting temporary digital subscriptions into permanent, inheritable family archives.
What to expect with our Attorney in your Corner
1 - Jargon Free Transparency
2 - Customized Plans to Meet Your Goals
3 - Guidance on Funding & Ongoing Support
Suddenly a Trustee???
We help trustees remain compliant with the rules listed within the trust.
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Trustee Guidance
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Asset Transfers
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Beneficiary Distributions
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Accounting and Compliance
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Management of Complex Assets (including real estate, business interests, and digital assets)
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Filing Tax Forms (e.g., IRS Form 104)
The key takeaway? A trust allows you to control how your assets are managed and distributed, both during your lifetime and after you're gone.
Why a Trust Might Be Right for You (or Not)
While a will is a great first step in estate planning, a trust offers a few key advantages, mainly avoiding the public and often time-consuming process of probate court. This can save your loved ones a lot of time, money, and stress down the road.
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However, trusts aren't a one-size-fits-all solution. They come with a cost for setup and ongoing administration. If your assets are relatively straightforward (e.g., a simple savings account and a car), a will might be all you need. The decision really boils down to your goals and the complexity of your financial life.
Your Next Step: Don't Wait, We Educate
Choosing the right type of trust is a personal decision that depends entirely on your specific goals. Do you want to avoid probate? Protect your assets? Provide for a loved one with a disability? Your answers will guide your path.​Ready to explore your options? We have a wealth of resources to help you understand what's best for your situation. Call our Washington and Montana estate planning attorney to get personalized guidance on your trust and estate planning needs.
The Alphabet of Trusts
Each trust has a specific purpose; for everyday planning, many people use an RLT (Revocable Living Trust). When it comes to philanthropy, a CRT (Charitable Remainder Trust). To pass down a home, you might use a QPRT (Qualified Personal Residence Trust) to minimize taxes.
Need a Trust? Not Sure?
Our Attorney Can Help You Decide.
509-867-4070
