Plan For The Future With Confidence

Plan For The Future With Confidence

Mistakes to avoid when updating your estate plan

On Behalf of | Jul 19, 2022 | Estate planning

You already know the importance of establishing an estate plan once you have married, had a child, or accumulated wealth. However, updating your estate plan is just as important. Be careful about updating your plan, as many Maryland residents tent to forget certain elements.

Look at the whole picture

When initially embarking on estate planning, you evaluated the whole picture of your life to create those documents. Many people focus on updating wills and trusts but forget ancillary documents like powers of attorney for health care and financial obligations. Make sure you look at those documents, too, even if they don’t need updating. Avoid emotional reasoning when selecting agents to carry out your wishes and choose the best person for the job who has the time to devote to it. When reviewing your estate plan, you should concurrently review investments. Investment plans held outside of trust should have beneficiary designations. If they don’t, name someone, or you can change beneficiaries due to changed circumstances. As your life progresses, keep an asset cheat sheet to keep track of your investments. Place basic information on a spreadsheet and update it regularly.

Other considerations for updating your estate plan

If you have recently moved from another state, you may still want to review your estate documents. Although all documents will remain valid, review them for any wording or situations that could complicate matters after your passing.

Remember that reviewing your estate is for your benefit and that of your heirs. What may have worked 10 years ago may not be feasible now. Heirs may marry or divorce, have children, or go through other changes. Timely, regular review of estate plans will ensure that you wishes will be carried out and that your assets will pass to the right individuals.