Many people forget about their estate plan after the first draft. However, there are many reasons to return to an estate plan. As life goes on, you may need to consider updating your will, trust and other legal documents that make up your estate plan.
Here are a few questions you should ask yourself when considering whether you should update your estate plan:
How long has it been since the last update?
It is generally recommended that an estate plan be updated every three to five years. This generally helps make certain that you are regularly reviewing its contents and making adjustments for your life changes.
Have you recently moved?
It is important to be aware of state estate planning laws. If you have recently moved from one state to another, you may need to alter your estate plan so that it follows your current state’s laws.
Have you bought or sold real estate?
Many people leave real estate to their beneficiaries. Whether you have recently sold a house or bought another house, it may be time to make changes to your estate plan. That may be critical if you intended to divide things evenly between your heirs, for example, and your real estate was part of that equation.
Has your marital status changed?
People often include their spouse in their estate plan. A spouse may be a primary beneficiary or a power of attorney. Major changes can be made to an estate plan after marriage or divorce, especially if there are children (or stepchildren) involved.
Have you developed a medical condition?
It is important to be aware of how an estate plan can benefit you if you have serious medical conditions. You may need to appoint a power of attorney or draft a living will. These documents can help determine how you are cared for if your health deteriorates.
Making changes to your estate should not be difficult. Experienced legal guidance can help you make the changes you want to see to your estate plan.
