What is an inter vivos trust?

An inter vivos trust, also known as a living trust, is a type of trust that is created while the trust maker, also known as the settlor, is still alive. This type of trust is created to transfer legal title of the assets that the trust maker owns into a trust. This type of trust is used for many reasons, but the most common use is to manage the trust maker’s assets without the need for a court-supervised administration after their death. In California, an inter vivos trust is created when the trust maker writes a document, known as a trust deed or trust document, which states how the trust maker would like their assets distributed. The trust deed will also include the name of the trustee that will be named to manage the assets and carry out the trust maker’s wishes. The trustee will be responsible for distributing the trust maker’s assets according to the instructions in the trust deed, and is also responsible for filing any tax returns due on behalf of the trust. When an inter vivos trust is established, the trust maker typically names themselves as the initial trustee. However, they can also choose to name another individual or an institution, such as a bank or trust company, as the trustee. Once the trust is established, the assets within the trust will avoid the probate process, and will be available to the beneficiaries of the trust after the trust maker’s death.

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What is an inter vivos trust?

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