Estate plans are almost magical: you hire a trust attorney to set them up and they allow you to maintain control of your assets, yet protect you should you become incapacitated. They take care of your family and pets. And, if carefully crafted, an estate planning document reduces fees, taxes, stress, and time delays. An estate plan can even keep your family and financial affairs private. But one thing estate plans can’t do is update themselves.
Your estate plan was written to reflect your situation at a specific point in time. While it has some flexibility, the bottom line is that our lives continually change and unfold in ways we might not have ever anticipated. Your plan needs to reflect those changes.
If any of the following 5 reasons are relevant for you, call us now to schedule a meeting to revise your family estate planning.
#1 Marriage, Divorce, Death
Marriage, remarriage, divorce, and death all require substantial changes to an estate plan. Think of all the roles a spouse plays in our lives, including with respect to property rights. We’ll need to evaluate beneficiaries, trustees, successor trustees, executors/personal representatives, and agents under powers of attorney.
#2 Change in Financial Status
A substantial change in financial status – positive or negative – generally requires an estate plan update. These changes can be the result of launching, winding down, or selling a business; business and professional success; filing bankruptcy; suffering medical crisis; retiring; receiving an inheritance; or, even winning the lottery. You may wonder, “Why do I need an estate plan in this case?” The answer is: family estate planning ensures that your changing fortunes are adequately reflected in the distribution of your assets.
#3 Birth, Adoption, or Death of a Child/ Grandchild
The birth or adoption of a child or grandchild are life events that alter the contents of your estate planning document. They may call for the creation of gifting trusts, 529 education plans, gifting plans, and UGMA / UTMA (Uniform Gifts to Minors Act / Uniform Transfers to Minors Act) accounts. We’ll also need to reevaluate beneficiaries, trustees, successor trustees, executors/personal representatives, and agents under powers of attorney.
#4 Change in Circumstances
Circumstances change. It’s a fact of life – and when you’re the beneficiary or fiduciary of an estate plan, those changes may warrant revisions to the plan. Common examples include:
- Children and grandchildren attain adulthood and are able to serve in trusted helper roles
- Relationships change and different trusted helpers need to be named in your family estate planning document
- Beneficiaries or trusted helpers develop overspending or drug/gambling habits
- Guardians, executors, or trustees are no longer able (or no longer wish) to serve in their preassigned roles under the estate plan
- Beneficiaries become disabled and need a special needs trust to receive government benefits
- Guardians for minor children divorce, move to a new state, or are, otherwise, no longer appropriate to serve according to estate planning law
#5 Changes in Venues
Moving from one state to another always warrants estate plan review as state laws differ. Changes may be needed to ensure that you’re taking full advantage of – and not being penalized by – your new state’s estate planning law. This is also true when purchasing a second home outside of your state.
Don’t Let Your Estate Plan Go Stale!
An experienced attorney will always be available to update your family estate planning. Thus, whenever a major life change happens to you, reach out to your lawyer to look over your estate plan and make the necessary changes.
It may be difficult in some emotional situations – such as after a divorce or a death in your family – but an estate planning attorney is both knowledgeable and compassionate. Your matter will be dealt with professionally and with respect to your feelings.
An Estate Plan Is Created to Help, Not Hurt You
Old estate plans get stale just like old sandwiches do. You wouldn’t rely on last week’s ham sandwich for lunch; please don’t rely on your estate plan from yesteryear. At Miller Law Firm, PC, you will find an experienced and understanding attorney, specializing in estate planning law, ready to put your wishes in legal form and offer your family the protection they need.
You can visit us in one of our offices in King of Prussia, PA, and Lebanon/Lancaster, PA. We also help customers update their estate plan in and around:
- Phoenixville
- Wayne
- Plymouth Meeting
Call us now: (855) 936-3886!