ESTATE PLAN CHECKLIST UPDATE

No matter your wishes or intentions, it’s critical that you have all of your desires in writing. Your estate plan is only as complete, effective, and current as the documents you have in place. Take some time to carefully consider what life changes you may have missed since you originally put your estate plan in place, make the appropriate changes, and put a process in place to review your estate plan regularly. You may not have even thought about some of the most common reasons to review and revise your estate plan. So be sure to keep the beneficiaries on your insurance policies, retirement plans, IRAs, and account transfer on death addendums up to date. For example, if your will or trust says the money goes to your current spouse, but your beneficiary form indicates that it goes to your ex-spouse, the money may go to your ex. It’s also important to keep in mind that beneficiary forms often supersede a will and a trust. Or you’ve simply changed your mind about something. You could’ve moved to a new state with different laws, started a business, or gained new assets.

ESTATE PLAN CHECKLIST UPDATE

Maybe you’ve had a falling out with someone, or you’ve drifted apart, so you need to disinherit them, change your child’s guardianship, or update your power of attorney designation. Perhaps a new child has entered the family, or there has been a death in the family. You may need to update your plan documents if you’ve had a change in relationship status, such as a marriage, divorce, or the beginning or end of a domestic partnership.

Professionals generally advise that their clients review all of the documents in their estate plan every three to five years as well as after any major life changes. In addition to this, because your estate is continuously changing and the circumstances that affect your estate can shift over time, it is important to keep a close watch on your estate plan and make adjustments as needed. All too often, estate plans are incomplete, leaving important components unaddressed. Putting a plan in place is only the first step. Even if you own very little, your estate plan should address other decisions that need to be made in case you are unable to speak for yourself and when you die. Some people make the mistake of believing that an estate plan is only necessary for the wealthy, but if you have any assets, property, possessions, or loved ones to consider, and if you don’t want the state to make decisions for you, an estate plan is essential. This is why reviewing your estate plan is something you can’t afford to ignore. Nobody wants to think about meeting an untimely death, but the reality is we never know when our time will come.

With so many elements and moving parts, you may find it helpful to use a checklist for estate planning, particularly when it comes to reviewing your estate planning documents. Even if you work with an estate planner and financial advisor, it is your responsibility to take an active role in making sure your plan is complete and up to date. Estate planning is a complex process that is never fully finished.

Estate plan checklist