Why You Need To Keep Your Estate Plan Up-to-Date
Everyone should consider estate planning, regardless of age or financial situation. Many people believe they only need to create an estate plan once and never update it. However, this myth can lead to disastrous consequences for your family and loved ones. We will discuss why you need to keep your estate plan up-to-date and the potential risks you face by neglecting this important task.
Changes in Life
Many things can change in your life, such as your marital status, family situation, assets, or business interests. These occurrences can significantly impact your estate plan. Marriage, divorce, a growing family, or inheriting assets should all reflect adequately on your current estate plan. Otherwise, it can result in unintended beneficiaries, delays in probate, or even contested wills.
Tax Laws Changes
Tax laws are continually changing, which can significantly affect your estate plan. If you created your estate plan before tax laws changed, it may not be as effective in tax planning as it could be. As a result, your heirs may be subject to significant estate taxes during distribution. By working with an attorney, you can keep your estate plan updated and take advantage of relevant tax planning strategies.
Outdated Document Language
Estate planning documents, such as wills and trusts, are written in legal language, making them difficult for non-lawyers to understand. If you created your estate plan some time ago, you run the risk of the language failing to make sense in today’s context, making it ineffective or ambiguous. You can benefit from reviewing and updating your estate plan regularly, ensuring your language accurately reflects your intentions.
Changed Beneficiary Circumstances
Another reason why you need to keep your estate plan up-to-date has to do with your beneficiaries. Their circumstances may look different now than they did several years ago, making your estate plan obsolete. For instance, if you named someone as a beneficiary when creating your estate plan, you might want to adjust inheritance amounts or remove beneficiaries you don’t feel comfortable with. You could also find yourself in trouble if you leave your estate to a beneficiary with significant debt since that can come out of your assets before they get it.
Estate planning can be overwhelming, especially if you don't have a clear understanding of the process. That's why it's crucial to work with Vancouver Wills and Trusts—a team of trusted estate planning attorneys who can guide you through the process seamlessly. We will help you create an estate plan that reflects your goals, values, and intentions and ensure it is up-to-date to avoid issues. Don't leave the future of your family in doubt! Contact us today to start your estate plan.