To make a living trust in Utah, you need a settlor with the same capacity required to make a will, a clear intention to create the trust, a definite beneficiary, and a trustee with real duties to perform. Utah's Uniform Trust Code sets out these requirements for every valid trust in the state.
Key Takeaways
- Utah trusts are governed by the Utah Uniform Trust Code at Title 75, Chapter 7 of the Utah Code.
- The capacity standard to create a trust is the same standard used for creating a will.
- Utah does not require every trust to be evidenced by a written instrument, but an oral trust can only be proven by clear and convincing evidence, which makes a written instrument the only practical option for a living trust.
- A properly funded Utah living trust avoids probate for the assets it holds and lets a successor trustee act immediately if you become incapacitated.
What Does Utah Law Require to Create a Living Trust?
Under Utah Code Section 75-7-402, a trust is created only if the settlor has capacity to create a trust, using the same standard of capacity required to create a will; the settlor indicates an intention to create the trust; the trust has a definite beneficiary or qualifies as a charitable or purpose trust; the trustee has duties to perform; and the same person is not the sole trustee and sole beneficiary.
Does a Utah Trust Have to Be in Writing?
Not as an absolute rule, since Utah law allows a trust to exist without a trust instrument, but the creation of an oral trust and its terms can only be established by clear and convincing evidence. For a living trust meant to hold a home and financial accounts, that evidentiary standard makes a complete written and signed instrument the only realistic, safe option. A written trust is also what Utah banks, title companies, and county recorders will actually rely on when you fund the trust.
Step-by-Step: Creating a Living Trust in Utah
- Decide what type of trust fits your goals; most Utahns start with a revocable living trust for probate avoidance and incapacity planning.
- Name your trustee, typically yourself while you are alive and competent, and name at least one successor trustee to take over later.
- Draft the trust instrument in writing, naming a definite beneficiary and giving the trustee real, enforceable duties, satisfying Section 75-7-402's requirements for creation.
- Sign the trust document while you have capacity, using the same capacity standard Utah applies to signing a will.
- Fund the trust by retitling your assets, starting with real estate and financial accounts, into the trust's name.
- Sign and record a new deed for any Utah real estate, transferring it from your individual name to yourself as trustee of the trust.
How Do You Fund a Utah Living Trust?
Funding is the step that actually delivers probate avoidance, and it is separate from simply signing the trust document. For real estate, you need a new deed recorded with the county recorder in the county where the property sits. For bank and brokerage accounts, contact each institution directly to retitle the account in the trust's name. Vehicles and life insurance generally do not need retitling the same way; life insurance proceeds pass by the policy's named beneficiary unless you name the trust itself.
Should Your Utah Trust Be Revocable or Irrevocable?
Most Utahns setting up a living trust for probate avoidance and incapacity planning choose a revocable trust, since it lets them keep full control and make changes as life circumstances shift. An irrevocable trust is a different tool entirely, generally used for specific goals like Medicaid planning or removing assets from a taxable estate, and it requires giving up control permanently. See our national comparison of revocable versus irrevocable trusts if you are unsure which structure fits your situation before drafting a Utah trust around it.
Can You Change or Revoke a Utah Living Trust?
Yes, as long as the trust is revocable and you have capacity. You can amend individual provisions, such as who serves as successor trustee or how property is distributed, or revoke the entire trust and unwind it back into your individual name. Any amendment should be in writing and signed the same way as the original trust instrument, and any asset moved back out of the trust needs a new deed or retitling to reflect the change. Utah does not require you to file trust amendments with any court or state agency, since a living trust is a private document rather than a public filing the way a will eventually becomes once it enters probate.
Does a Living Trust Avoid Probate in Utah?
Yes, for any asset actually titled in the trust's name. Because the trust legally owns those assets rather than you individually, there is nothing for a Utah probate court to transfer at your death. See how long does probate take in Utah to understand what a trust actually helps you skip.
Do You Still Need a Will in Utah If You Have a Trust?
Yes. Most Utahns with a living trust still sign a pour-over will to catch any asset never retitled into the trust and to name guardians for minor children, which a trust cannot do. See how to make a will in Utah for the state's specific will execution requirements, and consider a transfer on death deed in Utah as an additional or alternative tool for real estate that avoids probate without a full trust.
For the broader concept behind this structure, see our national guide on what is a living trust, and start with the full picture of your options at estate planning in Utah.
FastWill's trust package is built to meet Utah's UTC requirements for creation and includes funding guidance for Utah real estate and accounts.
Frequently Asked Questions
Does a Utah living trust need to be notarized?
Utah's Uniform Trust Code does not universally require notarization of the trust instrument itself, but a deed transferring real estate into the trust does need to meet Utah's standard deed execution and recording requirements, which typically include acknowledgment before a notary.
Can I be my own trustee of my Utah living trust?
Yes, most people serve as their own trustee while alive and competent, then name a successor trustee to step in upon incapacity or death.
What happens to property I forget to put in my Utah trust?
It stays in your individual name and typically has to go through probate, often caught eventually by a pour-over will that directs it into the trust after the fact.
Is a living trust required for Utah homestead property?
No, a living trust is optional. Utah's homestead exemption rules can be property- and fact-specific once a home moves into a trust, so confirm the details with a professional before transferring a homestead.
Does a Utah living trust need a separate tax ID number?
While you are alive and serving as your own trustee, a revocable living trust generally uses your own Social Security number for tax reporting. After your death, the trust typically needs its own tax ID once it becomes irrevocable.
