For most clients, the act of simply completing their estate plan is a difficult enough step to take. However, one of the biggest mistakes that clients can make is to take that newly completed estate plan and file it away, never to look at it again for years or even decades. Life is always changing, and your estate plan needs to change with it. The failure to keep up with life changes and updating your estate plan could be disastrous and could involve your estate being tied up in probate court after your death.
Clients should make a practice out of reviewing their estate plans every two to three years. This review can be done individually or with an attorney. The key for when reviewing estate documents is to ask yourself, “does my current estate plan represent my current life situation?” If the clients have gone through any major life changes, such as a divorce, a new marriage, or a major move, they should consider updating their estate plans. If the client had an ex-spouse listed as the trustee, power of attorney or recipient of his or her property, odds are he or she will want to make changes in these estate documents. Similarly, if the individual created an estate plan when he or she was single but is now married, his or her estate plan should be updated to reflect that fact.
Death also leads to a number of changes. Clients may have selected a person to serve as guardian of their minor children, but if that person has passed away, the parents will want to select a new person to serve in this role. Similarly, if the individual chosen as power of attorney or trustee is now deceased, this fact will need to be reflected in the documents.
A major move can also require estate document changes. If the client has a revocable trust and sells his or her home that is in the trust only to purchase a home later, one of the first steps he or she should take is to have the new home put into the trust. The mistake of not doing this can be devastating for the family and can require the home to be processed by probate later. Different states also have different probate laws. If you had estate documents prepared by an attorney in one state and moved to a new state, you will need to connect with an attorney in your new state to have your documents updated.
Other life events can require changes in your estate documents, such as the birth or adoption of a child. If the client has suddenly come into a lot of money or has inherited a significant amount of assets, his or her estate plan will need to be revised to reflect this, as well.
It is important to stay in contact with your estate attorney after your initial plan is executed. I consider all attorney-client relationships to be ones that I maintain throughout time. I am here to assist you with your estate planning needs, including those as they change over time. The last thing I want is for the last time I see a client to be the date of his or her estate execution.
At Sullivan Law, we offer estate planning packages at a flat and reasonable fee. We also offer free consultations to discuss what your needs are, what you would like to do, and how that can be best accomplished. Everyone’s needs are different, and your wishes should be clearly listed and understood.
Call us at 248.917.1351 or email at asullivan@sullivanlawonline.com to schedule your free consultation today. We look forward to working with you!