Founder
The one thing we can be certain about in life is that nothing is certain. Changes happen daily, and you must keep up with vital updates so your devices, career, and household run smoothly. However, people rarely think of updating or reviewing their estate plans.
An estate plan shouldn’t be a one-and-done deal. These legal documents should be reviewed and updated when circumstances or relationships in your life change, as is natural. At the Law Office of Angela Siegel, our estate planning team wants to remind you why it is essential to review and update your estate plan regularly.
The Importance of Regular Estate Plan Reviews and Updates
Life is constantly changing. As you move through the different stages of your life, significant milestones or major life events may mean you need to rethink your current estate plan to ensure your legal and final wishes are respected. Life in your 20s is significantly different than life in your 40s. Your priorities in your 40s may drastically differ from those in your 60s. An estate plan should be a “living” set of legal documents that change with you.
Reviewing your estate plan regularly and during significant life events can help you better control your assets and ensure that your goals and concerns are always addressed.
When Should You Review Your Estate Plan?
How often do you need to review your estate plan? A good rule of thumb is to review your current estate plan every three to five years. This time frame gives you the freedom and flexibility to revisit your plans and priorities and make changes when necessary. However, certain life events may mean reviewing and revamping your estate plan immediately. Life changes and milestones require an estate plan review to protect your family and assets and adjust for tax implications.
Milestone events and life changes that may trigger an immediate need to review your estate plan can include:
- Birth of a child – The birth of a child is a joyous occasion. It is also an occasion that can change your life. When you bring a child into the world, you will want to reevaluate your estate plan to include provisions that address your child’s guardianship and add them as a beneficiary.
- Death of a loved one – The death of a loved one can be painful, but the issues you face resolving their estate should spur you to reevaluate your estate plan. Inheritance and tax implications may mean adjusting your estate plan or moving assets. It may also mean you must reassign guardianship, power of attorney, or beneficiaries as needed.
- Divorce – Divorce is an emotional time in anyone’s life. However, you must review your plan and reassign beneficiaries, guardians, and power of attorney as needed.
- Significant career change or change in financial situation – Any significant change in your financial situation, for better or worse, should cause you to reevaluate your estate plan.
- Diagnosis of major medical condition – Again, the last thing you want to do when you or a loved one is diagnosed with a major medical condition is think about your estate plan or what would happen if you passed away. Unfortunately, addressing your final wishes and who you want in charge of making decisions for you if you are incapacitated is critical.
It would help if you also considered reevaluating your estate plan when minor children become adults or go away to college. Suppose you have a falling out with family members or have other issues. In that case, that is also an excellent time to review your estate plan and ensure your beneficiaries, guardians, and power of attorney positions get assigned to people you trust.
A Florida Estate Planning and Probate Attorney Can Help
Are you ready to create an estate plan? Do you need help reviewing and refreshing a plan you already have in place? The Law Office of Angela Siegel can help you. Contact our Florida office today and arrange a confidential consultation.