Setting up a trust might sound like a complex legal task reserved for those with deep pockets or complicated estates. But the truth is, creating a trust doesn’t always require hiring a lawyer. In fact, with the right information and tools, many people can set up a basic trust on their own, especially if their estate and family structure are relatively simple.
Let’s break down what a trust is, the reasons for setting one up, and the step-by-step process to do it yourself—without paying high legal fees. We’ll also go over some important considerations, so you can decide if going the DIY route makes sense for your situation.
What is a Trust?
A trust is a legal arrangement that allows someone (called the “grantor” or “settlor”) to place assets under the care of another person or institution (the “trustee”) for the benefit of one or more individuals (the “beneficiaries”). Unlike a will, a trust becomes effective immediately upon creation and funding.
There are many different types of trusts, but the most common for personal estate planning is the revocable living trust. This type of trust can be changed or revoked by the grantor during their lifetime and is typically used to avoid probate, manage assets during incapacity, and ensure privacy.
Why Set Up a Trust Without an Attorney?
Hiring an estate attorney and probate lawyer can be expensive, and for many people, the cost may not be necessary—especially if they have a relatively small estate and straightforward wishes. Creating a trust without an attorney offers a few benefits:
- Cost savings: Attorneys often charge hundreds or even thousands of dollars to draft trusts.
- Convenience: Online platforms and trust kits allow you to set up documents on your schedule.
- Privacy: You keep your personal financial details to yourself.
However, it’s important to be realistic. If your estate involves business ownership, blended families, large assets, or potential disputes, working with a probate law attorney might be the safer route.
Steps to Set Up a Trust Without an Attorney
If you decide to move forward on your own, here are the main steps you need to follow:
1. Decide What Type of Trust You Need
Most people who go the DIY route create a revocable living trust. This allows you to retain control of your assets during your lifetime and modify the trust as needed. Upon your death, the assets are transferred directly to your beneficiaries without going through probate.
Other types of trusts include irrevocable trusts, special needs trusts, and charitable trusts—but these are generally more complex and may require professional guidance.
2. Choose a Trustee
The trustee is responsible for managing the assets in the trust. In most cases, if you’re creating a living trust, you’ll name yourself as the trustee and appoint a successor trustee who will take over when you die or become incapacitated.
Make sure to choose someone trustworthy and capable of handling financial matters. This could be a family member, friend, or even a professional trustee or financial institution.
3. List the Assets You Want in the Trust
This step is often overlooked, but it’s one of the most important. A trust only controls the assets you transfer into it. These might include:
- Real estate
- Bank accounts
- Investment accounts
- Vehicles
- Personal property
- Business interests
Make a list of what you want to include and be specific.
4. Name the Beneficiaries
These are the people or organizations who will receive the assets in your trust after you pass away. You can divide assets equally or specify different distributions. For example, you might leave your home to one child and financial assets to another.
5. Create the Trust Document
This is where the legal language comes in. You can write your own trust document using templates from reputable online legal services or trust kits. These often include fill-in-the-blank forms for naming trustees, beneficiaries, and distributing assets.
Make sure the document includes:
- Your full legal name and the name of the trust
- The name of the trustee and any successor trustees
- A detailed list of beneficiaries
- Instructions for how assets should be managed and distributed
- Your signature and date
Though you don’t need a lawyer, it’s still important that the trust is legally valid in your state. Most states have specific requirements for how a trust must be signed, witnessed, and notarized.
6. Fund the Trust
Simply creating a trust document isn’t enough—you must transfer ownership of your assets into the trust. This process is called “funding” the trust, and it usually involves updating titles and account information.
- For real estate, you’ll need to execute a new deed transferring the property to the trust.
- For bank accounts or investment accounts, contact the financial institution for their process.
- For personal property, you may need to create an assignment of property document.
Without funding the trust, it won’t control anything—and probate might still be necessary.
7. Store and Share the Trust Document
Keep the signed and notarized trust document in a secure place, such as a safe or safety deposit box. Make sure your successor trustee knows where to find it and understands their responsibilities. You may also want to provide copies to key individuals or financial institutions, especially if your trust includes property or investments.
Other Tools to Consider Setup a Trust
A trust is only one part of a good estate plan. You may also want to create:
- A will (especially to handle anything not covered by the trust)
- A power of attorney for financial matters
- A healthcare directive or living will
- A HIPAA authorization for medical decisions
Using these tools together helps ensure your wishes are honored, no matter what life brings. Even if you’re setting up a trust without a lawyer, it’s wise to think about the big picture of making an estate plan.
Final Thoughts
Setting up a trust without an attorney is completely possible—and in many cases, it’s a smart, cost-effective way to manage your legacy. With the right tools, a bit of research, and attention to detail, you can create a legally valid trust that protects your family, avoids probate, and gives you peace of mind.
Just remember: while DIY works for simple cases, don’t hesitate to reach out to a qualified lawyer or estate planning professional if your situation is more complex. Whether you go it alone or get some help, making a plan is the most important step you can take for your future.
