Tech Tip #206: Which Funds Can and Cannot Be Kept in a Trust Account

Trust-Account-Funds

When it comes to properly handling trust accounts firms must be aware of the types of funds that can be kept in a trust and those that cannot. Settlement funds, unearned income, judgment funds, and third-party funds can all be kept in trust accounts. Personal funds, earned income, payroll, and any funds that the attorney is not the fiduciary trustee should not be kept in a trust account.  Learn more about how three-way reconciliation reports can solve your trust audit worries.

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