How often should you update your estate plan?

How often should you update your estate plan?

On Behalf of | May 14, 2024 | ESTATE PLANNING - Estate Planning

The process of estate planning does not stop from its creation. It is a continuous affair that would require constant check-ins and updates, when necessary. However, many are unsure how often they should update their estate plan.

Some may suggest that you should update your estate plan every three to five years. However, the uncertainty of life makes it difficult to gauge the number of months or years of when you should review and update your estate plan.

Instead, the following can help you determine if it is time to make updates:

Occurrence of major life events

Updating your estate plan to reflect your current situation and personal preference helps you ensure that your assets are distributed according to your latest wishes. This means that if your situation changes due to major life events, it is crucial to alter the terms of your estate plan tools or add suitable documents to accommodate those changes.

These major life events include marriage, divorce, birth or adoption of a child, death of a beneficiary, substantial changes in financial state, relocation, acquisition or dispossession of property and major health changes.

Changes in relationships

Sometimes, reasons as simple as changes in relationships with people named in your estate plan, such as executors, trustees, guardians or beneficiaries, are enough to prompt you to update your estate plan documents.

Pursue what benefits you

Whether you already have an existing estate plan in need of updating or are about to establish one, it is beneficial for you to work closely with a legal representative who is knowledgeable in estate planning to ensure you are creating a comprehensive plan that protects your wishes and your family’s financial security.