Is it time to update your estate plan? Many people change their estate plans every three to five years. After about five years, many people have new assets they want to add to their estate plans. However, an estate plan can be changed at any time. Some people alter their estate plans after marriage, divorce, childbirth or new medical issues.
While it may seem clear that you need to update your estate plan, do you know what you should change? There are a few estate planning matters you can focus on as you update your plans, including:
Alter the executor of the estate
Your executor of the estate is responsible for settling your estate after you pass away. You may have, at one time, chosen an executor that was trusted and responsible. However, you may need to alter your executor because they may have passed away or shown they can not handle the responsibility of the role.
Adjust your advance health care directive
You can not always expect your life to go exactly as you plan. You may have developed a serious health condition that could make it hard for you to care for yourself. After a medical diagnosis, you may want to consider making alterations to your advance health care directive so family and friends are aware of how you would want to be cared for.
Consider your taxable estate
You may be more susceptible to estate taxes as your assets grow. You may need to learn how your estate could be taxed after you pass away and how you can protect your assets. Many people use trusts to avoid estate taxes so their beneficiaries gain a full inheritance.
You can learn more about what you can update in your estate plan by reaching out for legal help.
