The value of periodically updating an estate plan

On Behalf of | Jul 28, 2020 | Estate Planning | 0 comments

Putting together an estate plan is only one part of preparing for the future. Residents in Oregon who neglect to update their plan throughout the years may encounter disappointment later on when their end-of-life desires no longer match the terms of their plan.

Experts recommend that people assess their plan every few years to guarantee everything remains relevant. Significant life changes may create the need for people to modify their plans in order to preserve their original goals and desires.

Reasons to update

Some of the more common reasons why people may need to update their plan include marriages, deaths or births within their family. They may also accumulate assets or notice a significant growth in their liabilities. Bank of America suggests some other unique reasons that would necessitate changes to a person’s estate plan, including the following:

  • They own a business and have the opportunity to sell it or merge with another entity
  • They have additional retirement plans not originally included in their estate plan, such as a 401(k)
  • They purchase or inherit a property in a different state than their primary residence
  • They notice changes to tax laws or other federal laws that impact their estate plan

Changes to personal desires

People who frequently check on their estate plan may recognize areas that require modification and then make timely changes. Forbes reminds people that a shift in their priorities or the things they find important may influence them to change aspects of their estate plan.

If significant changes affect heirs or beneficiaries, people may consider informing their family members about the changes that have taken place to encourage understanding and reduce conflict.