Life Events that Should Prompt an Estate Plan Review

Your life isn’t one static trajectory, so why should your estate plan be? Outside of not writing a will or any advance directive at all, the most common error made in estate planning is the failure to periodically update legal directives as momentous events occur over the course of a lifetime. And, although your life may present you with circumstances that extend far beyond the following list, it may be useful to know that these are the life events which should prompt the consideration of a change to your estate plan.

A Change In Residence

When you move to another state, your estate plan should be updated in accordance with local tax laws.

Death or A Change of Heart (Beneficiaries)

Children—When you have a new baby, it’s important to add them to your estate plan to make sure they’re taken care of in the event that you or your spouse become unable to care for them.

Marriage—A new marriage brings with it two possible sources of change to the beneficiaries of your estate plan, namely a wife and step children.

Divorce—In the middle of a divorce, most couples are experiencing emotional upset and turmoil. They’re filing loads of paperwork with the county in which they were married, much of which outlines their wishes for dividing assets and liabilities. But, once the divorce is finalized, don’t forget to update your estate plan in accordance with the agreed-upon terms.

Death—In the event that any of your beneficiaries pass away, you’ll need to update all documents accordingly.

A Change in Medical Condition

This one may or may not necessitate an actual change in your estate plan, but it should absolutely prompt a thorough review.

A Change In Assets/Liabilities

Assets and liabilities are really what comprise your estate plan, so a significant change in the value of your portfolio should prompt its revision. For instance, if you buy or sell real estate or start a successful business, a reassessment of the plan is in order.

Whether or not a great change has occurred, make sure you and your estate planner review your entire estate every three years minimally. And, not everything is about assets or liabilities that can be financially valued. It’s entirely possible for your executors or trustees to become inappropriate for any number of reasons, in which case a revision of your durable/medical durable power of attorney is called-for. Specifying legal directives like these are important because they dictate who is responsible for your well-being and able to make decisions on your behalf in the event that you’re unable to do so yourself. Take care of yourself and your loved ones by establishing and regularly maintaining an estate plan with a professional estate planning lawyer. Robert M Nelson, Esq. has been counseling and advising North East Ohioans with their estate plans for more than 40 years. His experience ranges from simple wills for individuals and young married couples to very sophisticated plans utilizing living in irrevocable wills. To create a plan tailored to your specific circumstances or simply review an existing plan with a trusted local estate attorney, call him at 440-653-5388 or fill out the contact form on his website today!