A step-up in basis can significantly reduce capital gains taxes when inherited assets are sold. Learn how it works, when it applies, and why the timing of a property transfer can make a major difference for beneficiaries.

ABLE accounts and special needs trusts can both help protect SSI and Medi-Cal benefits, but they serve different purposes. In many cases, using both can provide the right balance of long-term asset protection and flexibility for everyday expenses.

Trustees in California have a duty to keep beneficiaries reasonably informed about a trust and its administration. Learn what information trustees may be required to provide, when beneficiaries can request updates or accountings, and how poor communication can lead to trust disputes and court involvement.

The 5 by 5 rule is a trust provision that may allow a beneficiary to withdraw the greater of $5,000 or 5% of the trust’s value each year without relying on the trustee’s discretion. However, the rule is not automatically included in every trust, and unused withdrawal rights may not carry over. Beneficiaries should review the trust carefully before assuming the provision applies.

Once a college student turns 18, parents no longer automatically have the authority to manage their finances or make medical decisions on their behalf. Financial and health care powers of attorney can allow a trusted person, often a parent, to step in and help during an emergency. Putting these documents in place before the student leaves for college can prevent unnecessary complications later.

In most cases, a trustee can sell trust property without getting formal permission from every beneficiary. However, the trustee must still follow the terms of the trust, act in the beneficiaries’ best interests, make reasonable decisions about the sale, and keep beneficiaries appropriately informed. Clear documentation can also help protect the trustee if the sale is later questioned.

A trust and probate may involve many of the same responsibilities after someone dies, but the biggest difference is court involvement. Learn why probate often requires ongoing court approval, while trust administration can give a trustee more flexibility to manage assets, make distributions, and close out the estate.

Non-U.S. citizens can legally buy, own, inherit, and sell real estate in California, even if they do not live in the United States. While ownership itself is generally straightforward, foreign buyers may face additional considerations involving financing, taxes, property title, and estate planning. Understanding these issues before purchasing can help prevent complications later.

Refinancing a home held in a revocable living trust can create an unexpected problem if the property is removed from the trust and never transferred back. Years later, families may discover the mistake after a loved one passes away, potentially resulting in probate or a Heggstad petition. After refinancing, homeowners should always verify that the property is still properly titled in the trust.

Proposition 19 lets eligible Californians transfer their property tax base to a new home — but only if they follow the rules. Learn how to keep your low tax bill when relocating or downsizing.