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What is the best way to disperse funds to heirs from trust accounts(bank accounts and life insurance with little or no tax?

Tulsa, OK |

I am the trustee of my mothers estate and need to disperse all funds left in her accounts. All life insurance policies have been paid to 4 siblings(including myself). Two annuities and a interst bearing life insurance policy have been deposited into the bank account entitled "revocable living trust". What is the best way to disperse funds to the heirs to avoid large taxes?

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Attorney answers 1


There is no best way to disperse funds to avoid large taxes. You as trustee must distribute monies from the trust in accordance with the terms and provisions of the trust. That is the only way for a trustee to act. In most situations, estate administration expenses, probate fees, debts and taxes are paid first and then finally distributions are paid to beneficiaries. These are general comments and you should retain an estates attorney to help you with your specific case if you have these type of questions.

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