When you first made your estate plans, you may have thought it was a one-and-done process. However, many people don’t realize that estate planning is a life-long process. In other words, you may need to make considerations later in life that affect your original estate plans.
People update their estate plans for many reasons. You may want to read the following reasons why you would need to update your estate plans:
You want to set up a generation-skipping trust
Did you recently welcome a grandchild into your life? One of the greatest things a grandparent can do for their grandchildren is to create a generation-skipping trust to help their grandchildren later in life. A generation-skipping trust would allow you to put assets aside for your grandchildren that could be used for higher education, wedding plans or business purposes.
You need to remove an heir
You may have created an estate plan with a certain family member in mind to receive a large portion of your assets. However, there may have been a recent falling out that’s made you reconsider their position in your estate plans. You may wish to update your estate plans to remove an heir.
You recently got married
If you recently got married, then you may wish to extend your estate plans to include your spouse. You could simply name your spouse as an heir. But, you may also name your spouse as a power of attorney who would be able to make decisions on your behalf if you suffered debilitating injuries or medical conditions.
You haven’t updated anything in a few years
It may be good to update your estate plans every few years even if none of the above scenarios apply to you. Over the years, you may accumulate new assets that you want to be included in your plans. By understanding your legal options, you can be sure your estate plans reflect your wishes.