CORE SERVICE
IOLTA Trust Accounting done right. Every month.
Your clients trust you with their money. We make sure your books prove it. Ethnum handles every aspect of your IOLTA trust account—reconciliations, ledger accuracy, bar compliance—so you never lose sleep over it again.
What Ethnum delivers
All
US Jurisdictions tracked, every rule, every month
What Is IOLTA Trust Accounting?
The most regulated part of running a law firm—and the most commonly mishandled.
IOLTA (Interest on Lawyers’ Trust Accounts) is a mandatory trust account that attorneys use to hold client funds—retainers, settlement proceeds, filing fees, and other money that belongs to the client, not the firm. Every US state bar requires attorneys who hold client funds to maintain a compliant IOLTA account.
The rules are strict: no commingling with operating funds, no overdrafts, mandatory three-way reconciliation, and meticulous per-client ledger tracking. Violating these rules—even by accident—can result in bar discipline, suspension, or disbarment.
Ethnum exists specifically to handle this. Our team understands IOLTA rules in all 56 US jurisdictions, and we maintain your trust accounts to the precise standard your bar requires—every single month, without reminders.
Account Type
Pooled IOLTA or Individual Trust — we handle both
Compliance Standard
Your specific state bar's Rule 1.15 — tracked daily
Reconciliation Frequency
Monthly — delivered by the 10th, every month
Audit Readiness
Always audit-ready — not scrambled together on request
Your Point of Contact
One dedicated accountant who knows your firm
What's Included
Everything your IOLTA account needs—handled completely.
Every line item below is performed by your dedicated Ethnum accountant, every month, without you asking. This is what “full-service” actually means.
Monthly 3-Way Reconciliation
The gold standard your bar requires. We reconcile your bank statement, your trust ledger, and your individual client ledgers every month—all three must match to the penny.
- Bank statement vs. trust ledger reconciliation
- Per-client ledger balances verified
- Discrepancies identified and resolved immediately
Per-Client Ledger Maintenance
Every client matter that touches your trust account gets its own ledger. We track every deposit, disbursement, and balance with precision and detail.
- Individual ledger for every active client matter
- Retainer deposits and disbursements logged in real time
- Zero-balance confirmation when matters close
Bar Rule Compliance Monitoring
Your jurisdiction's trust accounting rules are tracked daily. If your state bar updates a rule or notification requirement, we know about it before you do.
- All 56 US jurisdictions monitored for rule changes
- Proactive alerts when your rules change
- IOLTA bank interest reporting handled
Disbursement & Receipt Processing
Every incoming retainer and every outgoing disbursement is categorized, documented, and posted to the correct client ledger—accurately and promptly.
- Retainer and evergreen replenishment tracking
- Settlement disbursement documentation
- Cost advance and expense tracking per matter
Monthly Trust Account Report
A clean, attorney-friendly summary of your trust account activity delivered every month—showing what came in, what went out, and every client's current balance.
- Trust activity summary for the month
- Per-client balance snapshot
- Reconciliation status confirmation
Audit Support & Documentation
If your state bar audits your trust account, we have everything organized and ready. Every ledger, every reconciliation, every bank statement—documented and retrievable.
- Organized historical records going back to onboarding
- Audit-ready documentation on demand
- Direct support if you receive an auditor inquiry
HOW IT WORKS
From signed to compliant in 48 hours.
Once you’re onboarded, IOLTA trust accounting runs automatically every month. Here’s exactly what happens.
The Problem We Solve
What goes wrong when IOLTA isn't handled by a specialist.
These aren’t hypothetical risks. These are the exact situations Ethnum clients came to us to escape.
Commingling client and firm funds
Using trust funds to cover operating expenses—even briefly—is a bar violation that can result in suspension or disbarment, regardless of intent.
- Ethnum maintains strict separation between trust and operating activity, with a clear audit trail for every transaction.
Falling months behind on reconciliation
When reconciliations pile up, small errors compound into large ones. A missed $200 disbursement becomes a $4,000 discrepancy six months later.
- Monthly reconciliation performed on a fixed schedule—every account, every client, every month.
Failing a surprise bar audit
Bar audits arrive without warning. Firms that scramble to reconstruct records on the spot face the worst outcomes.
- Every Ethnum client is audit-ready at all times—books are always current and fully documented.
General bookkeepers making legal-specific errors
A bookkeeper who doesn't understand IOLTA will make trust accounting errors that they don't even know are bar violations.
- Every Ethnum accountant is trained specifically in legal trust accounting—not adapted from general bookkeeping.
Ethnum Compliance Checklist
3-Way reconciliation complete— bank, ledger, and client balances all match
No negative client balances — every client ledger verified at zero or above
No commingling detected — operating and trust funds fully separated
IOLTA bank interest properly remitted — per your state bar's instructions
Disbursements properly authorized — every outgoing payment documented
Closed matters zeroed out — no lingering balances on closed client ledgers
Before Ethnum: most new clients fail 2–4 of these checks in month one
93
Average Ethnum Trust Score
After 90 days with Ethnum, clients average a 93/100 compliance health rating — up from an average of 61 at onboarding.
Who This Is For
IOLTA trust accounting for every kind of law firm.
Whether you’re a solo practitioner or a multi-attorney firm, if you hold client funds, this service is built for you.
Solo Practitioners
You're handling everything alone. IOLTA compliance shouldn't be one more thing on your list. We take it completely off your plate—flat monthly fee, no surprises.
Small Firms (2–10 Attorneys)
Multiple attorneys, multiple matters, multiple trust transactions. We maintain per-attorney and per-matter ledgers so everything is always separated correctly.
High-Volume Trust Activity
Personal injury, real estate, immigration, and family law firms with high retainer and settlement volume. We handle the complexity without breaking a sweat.
New Firms
Setting up your IOLTA account correctly from day one is the most important thing you can do. We configure everything properly before your first client dollar arrives.
Firms with Messy Books
Behind on reconciliations? Unexplained discrepancies? We clean everything up first, then maintain your account going forward. No judgment—just solutions.
Multi-Partner Firms
Complex trust activity across multiple partners and practice groups. We track every client ledger and provide partner-level reporting on trust activity.
Jurisdiction Coverage
Your state's rules. Known cold. Updated daily.
IOLTA rules vary significantly by state—from how interest is calculated and remitted, to reconciliation format requirements, to notification obligations. Ethnum tracks every jurisdiction’s rules in real time.
All
US jurisdictions with active rule tracking
Daily
Frequency of compliance updates reviewed
0
Bar violations by Ethnum-managed firms
48h
Alert time when your state's rules change
Key IOLTA rules we track by state:
- Reconciliation format — some states require a specific three-way format; others require additional schedules
- Interest remittance — rules on when and how IOLTA interest must be remitted to your state's foundation
- Eligible institutions — not all banks qualify as approved IOLTA depositories in every state
- Notification requirements — some states require bar notification when trust accounts are opened or closed
- Record retention periods — how long you must retain trust account records varies by jurisdiction
- Overdraft notification — most states require your bank to notify the bar of any trust account overdraft
Your Monthly Deliverables
What lands in your inbox by the 10th of every month.
No chasing, no reminders. Every deliverable is prepared, reviewed, and sent by your dedicated Ethnum accountant on a fixed schedule.
- Delivered by the 10th
Three-Way Reconciliation Report
The core compliance document your bar requires. All three legs reconciled and documented in your state's required format.
- Bank statement reconciliation
- Trust ledger reconciliation
- Client ledger reconciliation
- Prepared and delivered by your dedicated Ethnum specialist
- Delivered by the 10th
Client Ledger Summary
A complete snapshot of every client matter's trust balance — what came in, what went out, and what's currently held.
- Per-client opening and closing balance
- All deposits and disbursements itemized
- Zero-balance confirmation for closed matters
- Flags for any unusual activity
- Updated Monthly
Ethnum Trust Score
Your firm’s compliance health rating, updated monthly based on reconciliation accuracy, rule compliance, and ledger integrity.
- Score from 0–100 across 5 compliance dimensions
- Month-over-month trend tracking
- Specific flags for any score reductions
- Action items if your score dips below 90
Works With Your Stack
We plug into the software you already use.
No migration, no disruption. We connect directly to your existing practice management and accounting software—typically configured within 48 hours of onboarding.
What Attorneys Say
From attorneys who made the switch.
Common Questions
IOLTA trust accounting — answered plainly.
Yes. In virtually every US jurisdiction, any attorney who holds client funds — regardless of the amount or duration — is required to maintain a compliant IOLTA account. The threshold is whether you hold any client funds, not how much.
For most firms, our initial clean-up takes 2–4 weeks depending on how far behind the reconciliations are. We've handled backlogs of 2+ years. Once clean, monthly maintenance keeps everything current going forward.
We identify it, trace it to the source, document it, and resolve it. You'll receive a clear explanation of what happened and what was done to fix it. We don't bury issues — radical transparency is one of our core principles.
A pooled IOLTA holds funds for multiple clients in a single account with separate internal ledgers. An individual trust account holds funds for one client or matter. Ethnum handles both — and can help you determine which structure is right for your practice.
Almost certainly yes. We work with all major legal-approved IOLTA depositories and integrate with Clio, MyCase, Smokeball, PracticePanther, QuickBooks, Xero, and most other legal or accounting platforms. If you use something else, ask us — we've likely seen it.
Pricing is customized by firm size, trust account volume, and the number of active client matters. Most solo and small firm engagements range from $500–$1,200/month — typically 60–70% less than an in-house hire. Schedule a call for a firm-specific quote.
Ready for clean, compliant trust accounting?
Schedule a free 20-minute discovery call. We’ll review your current IOLTA setup, identify any gaps, and show you exactly what Ethnum will do differently — with no obligation.