Many people forget that they have an estate plan. As a result, several years may pass without any changes to a will or other legal documents. This can cause a testator’s (the person who makes a will) last wishes to become outdated. If the testator passes away without making necessary changes to their estate plan, then family members may face conflicts, taxes and other legal issues.
There are times when a testator may want to consider updating their estate plan. Here are some.
1. Every 3 to 5 years
It is generally believed that an estate plan should be reviewed and updated every 3 to 5 years. People often acquire new and valuable assets every few years, which should be added to their estate plan.
2. After a marriage or divorce
Marriage is a significant event. People will likely need to adjust their estate plan to include their spouse. Conversely, it’s usually necessary to make changes after a divorce.
3. After having a child
An estate plan can be used to protect a child’s well-being and future. If a testator had a child, they may want to name their child as a beneficiary or name a child guardian who will care for them if they pass away.
4. After a serious medical diagnosis
A testator who has developed a serious medical condition may need to update their estate plan. An updated estate plan can include a power of attorney or living will to protect the testator’s future health care if they’re unable to speak for themselves.
5. After a beneficiary passes away
In some cases, a beneficiary may pass away before a testator. The testator may want to remove the deceased beneficiary to avoid issues for surviving beneficiaries.
Legal guidance can help testators update their estate plans.
