Reasons to Update Your Estate Plan
A will or a trust outlines your desires for the splitting of your estate upon your passing. It also makes the probate and inheritance process much smoother for your friends and family. However, if you set up your estate plan years ago, there is a possibility that your estate planning goals may have changed. Anything such as a change in your relationships with people, a new job, getting married, or having children are just some types of life-changing events that would require an update of your existing estate plan. It is crucial that you review your estate plan regularly to make sure that it still reflects your current wishes.
Below, we will list the most common life changes that make it a good idea to update your will or trust on a regular basis:
Here are some questions that could help you assess if there were any changes to your assets:
- Did your estate increase or decrease in value?
- Are there any taxes associated with the way your current estate plan is set up?
- If you acquired more wealth, do you want a charity to receive a portion of your estate?
- Have you bought or sold a property?
- Has a loved one developed a sentimental attachment to a piece of jewelry or other property that you own?
- Would you like to ensure that someone specific receives a specific asset after your death?
There are many large and small asset changes that occur throughout each year that merit a review and revision of your estate plan to make sure everything is distributed according to your wishes.
Federal and state tax laws change all the time, and these changes could affect you and your beneficiaries. There are financial and legal strategies that probate attorneys can use to make tax planning more efficient for you and your loved ones.
Relationships and family dynamics change throughout the years.
- You get married.
- You get divorced.
- You get into a new committed relationship.
- You have children.
- You have children from a new relationship and children from a previous relationship.
- You have grandchildren.
- You have great-grandchildren.
- You have amazing friendships. You stop talking to those friends.
- One of your beneficiaries passes away.
If your estate plan is not updated to your current desires, there could be a much bigger fallout between friends and loved ones after your passing. If you have an updated will or trust, it will most likely fall in line with your family’s and loved ones’ expectations, leading to peace of mind for you and a smoother probate process for them.
If you moved to Florida from out of state or if you moved from another country, contact us at Easy Estate Probate to see if your will or trust is still valid. The probate process can be significantly different from your previous state or country. Another thing to consider is that tax rates vary from state to state and they change over time, so if you do not update your will, you could be missing out on important estate and tax planning options that could greatly benefit your heirs. Another thing to consider is that taxation and estate planning vary greatly from country to country, so you want to make sure to draft an estate plan that takes into consideration local and federal laws.