When you enter retirement, there may be many different things you want to do and achieve. You have the time to travel, and you may even choose to move to another state.
One thing you can’t forget about is how important it is to update your estate plan and will. If you don’t do so regularly, you could fail to change something you were meaning to update. Then, if you pass away, you won’t be able to state your true intentions.
Why is it important to update your will and estate plan?
Estate plans have a few purposes including transferring assets and providing information about your wishes after death. They also take into consideration ways to reduce your tax liability and to protect you if you’re alive but unable to make decisions for yourself.
How often should you update your will or estate plan?
It’s a wise choice to update, or at least review, your estate plan each year in retirement. It doesn’t take long to review what you had in the will or estate plan last year. Most of the time, you’ll sign off on the fact that it needs no updates. However, major life changes will give you a reason to update the estate plan accordingly.
You should also update the estate plan when a major event happens. For example, if you sell your home, update your plan. If you move to another state, update the estate plan to match up with the new state requirements. If you have a new person to include in your will or someone to remove, do it as soon as you know that is what you want.
Updating your will and estate plan regularly is important, because it means you’re always sure of what will happen at the time of your death. If you update it regularly, there is also less of a chance that anyone can question your intentions. There will be multiple documents to look back through and see that you always had certain intentions or changed your wishes during portions of your retirement.
Your attorney can help you review your estate plan and guide you through updates and changes you may want to make as your life changes. Keeping your estate plan updated is the best choice for you, your family and your beneficiaries, who will struggle the most if it’s not clear what you want to take place upon death.