Your estate plan is the roadmap your loved ones follow for the distribution of your assets once you pass away. Adults who have already set this up can’t forget that it exists. Instead, they need to schedule time to review it and update it.
There are certain situations that mean you may have to update the estate plan before the time you have it scheduled. Even if nothing in your life changes, you need to review your estate plan every three to five years.
Life events that require you to review the plan
Reviewing your estate plan when your family composition or your wishes for your assets change is crucial. Some life events that might lead to you having to change your will include:
- Getting married or divorced
- Having a new child, including through adoption
- Minor children aging into adults
- Having grandchildren
- An heir, beneficiary, or power of attorney dying or becoming incapacitated
Moving to a different country or state
You also need to check the estate plan if you have major changes in your assets. You should ensure that you still own everything that’s named in the estate plan. If you buy new assets, add them. If you sell assets, remove them. Having assets named on the estate plan that you don’t currently own can cause major problems if you pass away. And, loved ones may fight over assets you own that aren’t in the estate plan.
Making sure you have everything in order in your estate plan is crucial so you can take care of your loved ones after you pass away. The plan must be set based on your wishes and circumstances. Taking the time to discuss this with someone familiar with estate planning may help you find the solutions you need to keep your plan up-to-date.