Clients gain peace of mind when creating an estate plan. Creating a plan protects your family for the future. So how do you know when your estate plan needs updating? Typically, any changes in your life, personal or financial circumstances are reasons to update your plan.
Here are three scenarios where you should review your plan.
A common reason for updating your estate plan is changes in life events. Marriage, divorce,the birth or adoption of a child, or the loss of a loved one are significant changes in everyone’s lives. When those changes happen though, it should also signal that you should update your estate plan. Your life can get busy during these family events, don’t let too much time pass before you review your estate plan.
Health-related changes in your life are another important reason to update an estate plan. If you, your spouse, or family members develop serious health issues, your estate plan should take that into account. In addition, if a family member undertakes significant caregiving responsibilities, you may want to talk with an attorney about how that affects your estate plan.
Change in Beneficiary
Changes in address of family members, death within the family, and even estrangement may require a review of your estate. You should also consider designations of non-family beneficiaries. If your estate plan includes gifts to charities, you may need to make changes as your activities and interests change.
If your estate plan is 3-5 years old, it is time to review it with your attorney. An annual review, by you, may be ideal. Consider what has happened throughout the year and what may come. You also need to carefully consider the people appointed to manage your estate plan. Are they still appropriate and willing to manage your wishes? This review will help you determine whether there is a reason to update your estate plan with your attorney.