While creating an estate plan is crucial for protecting you and your family, they do require updating from time to time. Different components of your plan must change according to your life, or they might no longer match your wishes.
Kiplinger explains a few essential aspects of estate plans to check to ensure they are up-to-date. By doing the following, you can rest easy knowing your estate plan still serves your best interests.
Wills are the cornerstones of most estate plans, so they must remain up-to-date. Make sure your initial selection of executor is still willing and able to perform the very important job. If you have not named a guardian for any minor children in your care, do so now. Without a stated guardian, the court will decide on your behalf should the unthinkable happen. Along with tangible assets, be sure to include any digital assets you own.
Trusts can benefit people of all levels of wealth, and the type of trust you have dictates the nature of your review. If you have a revocable trust, check your successor listing to ensure it still meets your needs. If not, make the necessary updates to ensure it is suitable. While you cannot make changes to an irrevocable trust, you can check in with your trustee to ensure they are handling all necessary duties.
Powers of attorney
There are two types of powers of attorneys. Financial powers of attorney have the authority to handle your financial matters, while health care powers of attorneys can make medical decisions on your behalf when you cannot. Because these selections are so important, make sure your original choice is still suited to the job. You should also make sure that any changes in your personal representative selection are well documented.
You should still review your estate plan every now and again, even if there are no major changes to your life. Conduct a thorough review once every three years or so to ensure it continues to meet your needs.