The Wright Law Firm For You

When Should You Update Your Estate Plans?

Taking care of your family is your top priority. Creating an estate plan is an important part of providing for their future, but if you do not regularly review your plan, you could leave your loved ones unprepared for your death.

It can be difficult to know when to update your will and other essential documents. These three scenarios require a review of your estate plans.

1. A Move To Another State

Whether it’s for a new job or to be closer to family, you should take another look at your estate plans after a move out of state. Every state creates its own inheritance and tax laws, and you will want to understand how those laws can impact your estate documents.

2. Changes To Your Family

Whether your family grows or shrinks, you may want to modify the beneficiaries listed on your will, life insurance policy or retirement accounts. Marriage and divorces are common scenarios that require a change in beneficiaries, as is the birth or death of a family member.

Additionally, with the birth of a child, you will want to appoint a guardian to care for him or her if both parents pass away.

3. A Shift In Financial Circumstances

Any time your income or assets undergo a major change, you need to adjust your estate plans to account for tax implications. You may also want to reconsider your intentions regarding asset distribution.

Make sure you review your plans every few years. Changes in tax and inheritance legislation can significantly impact your estate plans.