Estate plans should be reviewed regularly. In addition, there are several circumstances in the estate planner’s life when they should always consider reviewing and updating their estate plan.
When to review an estate plan
Major changes in the life of the estate planner are good times to take a look at the estate plan and ensure the beneficiary designations, how property and assets are distributed and who has been designated as the executor, guardian or agent are how the estate planner wants them to be.
Review your estate plan if:
- You just completed a major move;
- You just went through a divorce;
- A loved one died;
- You were just married;
- You just had a child or adopted a child; or
- Your assets or liabilities have significantly changed;
In addition, estate planners should keep designations on life insurance plans and retirement plans up-to-date. It is important for estate plans to comply with the laws where the estate planner lives which is why following up to ensure compliance after the estate planner moves to another state is important. Because estate plans care for the estate planner’s loved ones, it is important that changes in relationships triggers a review. Also, because the estate plan distributes the estate planner’s property and assets, any major changes should be reflected in the estate plan.
Think before you act
There are many things to think about when estate planning and that includes making time to review and update the estate plan as the estate planner’s life changes over time. Estate planning tools can help accommodate the different changes and ensure the wishes of the estate planner are achieved.