Fiduciary accounting is a foundational skill for professionals who advise or serve estates, trusts, and their beneficiaries, yet it is frequently misunderstood and incorrectly applied. Missteps in allocating income and principal or interpreting governing documents can lead to beneficiary disputes, compliance issues, and fiduciary liability.
This course delivers a practical, step-by-step introduction to fiduciary accounting, with a focus on applying the Uniform Fiduciary Income and Principal Act (UFIPA) and common trust and estate provisions. Participants will learn how to identify controlling documents and laws, analyze receipts and disbursements, exercise fiduciary discretion appropriately, and accurately calculate beneficiary distributions.
Designed for professionals seeking clarity and confidence in fiduciary accounting, this program provides practical frameworks, examples, and planning insights that can be immediately applied in real-world trust and estate administration.
Publication Date: June 2026
Designed For
This course is designed for professionals who work with estates, trusts, and fiduciary clients and need a clear, practical foundation in fiduciary accounting principles.
Topics Covered
- Foundations and purpose of fiduciary accounting
- Governing documents and statutory authority
- The fiduciary accounting and reporting process
- Income versus principal allocation rules
- Distribution calculations and beneficiary entitlements
- Planning considerations and illustrative case examples
- Planning and Examples
Learning Objectives
- Identify governing documents and fiduciary income and principal laws that control fiduciary accountings
- Explain how to allocate common receipts and disbursements between income and principal in accordance with UFIPA
- Differentiate fiduciary accounting income from taxable income for estates and trusts
- Apply fiduciary rules to calculate mandatory and discretionary beneficiary distributions
- Evaluate how proper allocations promote fiduciary compliance and equitable beneficiary treatment
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Accounting (2 hours)
Program Prerequisites
None
Advance Preparation
None
Instructor
Klaralee R. Charlton
Klaralee Charlton is a Partner at 3i Law in Denver, Colorado. She practices fiduciary tax, estate administration, and business transactional law. As part of her practice, she guides clients through the process of administering a loved one’s estate including the collection, valuation, management and transfer of assets including financial accounts, real estate, and business interests with a focus on minimizing estate and income tax liability. Klaralee also works closely with trustees of ongoing trusts to ensure compliance and prepares clients’ fiduciary income tax returns annually.
Klaralee has written and lectured on topics including estate and gift tax, fiduciary income tax reporting and U.S. regulations governing the valuation of small family businesses. She is an active member of the Colorado Bar Association, Tax Section and Adjunct Profession at the University of Denver, Graduate Tax Program.
She earned her J.D. in 2011 from the University of Utah, S.J. Quinney College of Law, her LL.M. in Tax Law from the University of Denver in 2013, and her B.A. in political science in 2009 from Bryn Mawr College. She is admitted to practice in both Colorado and Montana.