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Documents Needed to Transfer Assets into a Trust
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10 Common Pitfalls for Estate and Trust Administrators to Avoid

Don't take a lump sum distribution from a pension plan, IRA, or deferred compensation plan.

When you’re trying to figure out exactly how much the estate owns, you may be tempted to liquidate everything into cash. Don’t give into that temptation when it comes to any sort of pension plan, IRA, or deferred compensation plan. As soon as you cash out, the estate owes income taxes on every penny that the decedent hadn’t already paid tax on.

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