National Estate Planning Month: A Timely Reminder
October is National Estate Planning Month—a timely reminder to revisit and refresh your estate plan. Many of us created our estate plans years ago, believing they were set for life. While your original plan may have been well-considered, life changes rapidly, and an outdated estate plan can lead to unnecessary complications or fail to reflect your true intentions.
Here are seven reasons to revisit your estate plan this month:
Beneficiaries
It's essential to verify that your named beneficiaries still align with your current relationships and intentions. Life changes, and your estate plan should reflect those changes to ensure your assets go to the right people.
Life Events
Significant life events such as marriage, divorce, childbirth, adoption, or the loss of a loved one warrant updates to your estate plan. These changes can have a profound impact on your wishes and should be accurately captured in your plan.
Financial Changes
If you've experienced financial changes like a new job, a promotion, purchasing real estate, or starting a business, it's time to take another look at your estate planning documents. These developments can alter your financial landscape considerably.
Tax Law Updates
Both state and federal tax law changes can create new obligations or opportunities for your estate planning strategies. An updated plan ensures that you're taking advantage of these changes and avoiding any potential pitfalls.
Relocation
Moving to a new state can affect your estate plan due to differing legal requirements and regulations. It's crucial to adjust your documents to comply with local laws and ensure they're enforceable.
Regular Reviews
Even if you haven't experienced major life changes, it's wise to review your estate plans every 3 to 5 years for accuracy and relevance. Regular checks help confirm that everything is still in order.
Health Issues
Changes in health—either personal or among loved ones—might necessitate updates to healthcare directives or power of attorney arrangements. It's essential to ensure your medical wishes are respected in any circumstances.
Updating an estate plan doesn’t have to be overwhelming. Embrace the peace of mind and clarity that comes from knowing your plan reflects your current wishes. We suggest scheduling a consultation with a professional or starting to review your documents this month. Don't wait to ensure your legacy is preserved as you intend.