We create transparency and provide you with confidence.
California statutory law requires most trustees to provide an annual accounting to the trust’s beneficiaries. Even if it is not legally required, an annual accounting that details a trust’s income and expenses keeps your clients informed and establishes faith that the trust is being managed according to the grantor’s wishes.
Performing this routine review can uncover unseen or unrecognized issues early and keep them from compounding into larger problems in the future. This review also instills confidence in your clients that the assets are performing well, and that no one is “dipping into the pot” for personal gain.
How BPM can help
BPM presents a detailed accounting of all transactions associated with trusts, estates, guardianships or conservatorships for court use in California. Our services allow the court and beneficiaries to review and approve your actions as a trustee. There may also be challenging situations where the court will require fiduciary accounting, including an estate in probate, a dispute among beneficiaries or a trustee facing legal action. When litigation is required, BPM provides detailed expert analysis and court testimony if needed.
- Review the trust agreement to understand the nuances of the trust and the grantor’s intentions when they initially set it up.
- Identify and analyze the assets held in the trust to determine if there was activity which resulted in comingling or other transactions contrary to the trust agreement.
- Collect and organize documents and information used to prepare fiduciary accountings.
- Prepare detailed schedules, summaries and specific supplements.
- Adhere to fiduciary accountancy mandated by the Union Principal and Income Act (UPIA) and the Probate Code.
- Provide accounting documents for beneficiaries, probate court and legal proceedings.
Our approach
Our team understands the unique complexities and subtle nuances of detailed and accurate trust accounting. We create transparency and provide you with confidence and peace of mind in your role as a fiduciary. We can also educate your clients on their responsibilities as trustees and manage the day-to-day financial transactions for larger trusts. Our approach reduces the potential for controversy and provides each stakeholder with an understanding of all financial issues.
BPM can also ensure valuations of closely held business interests or other assets meet the strict IRS appraisal requirements for gift or estate tax purposes.
Integrating BPM’s Fiduciary Accounting Services into your annual trust administration from the start instills client confidence in your legal team, often leading to additional work and referrals for your firm. It also reduces the necessity for costly historical research when a 706 is filed and the chance that disagreements between beneficiaries will result in litigation.
Contact us today and let us help you protect your clients’ interests.
