Your estate plans will cover a lot of matters. For example, you’ll plan out who will inherit your hard-earned assets, and you’ll also name an executor to manage the process. You can even use your estate plans to name a power of attorney for your medical or financial matters or a guardian for your minor child.
However, estate plans are not something that you can simply create and forget. There are times when it’s only prudent to update your plans. Some key times to act include:
1. You just got married or divorced
After getting married, many people change their estate plans to include their spouses. So that there is no confusion over how assets are distributed during probate, testators may name their spouses as heirs. Additionally, testators may designate their spouses as powers of attorney to manage their finances and health on their behalf.
After divorce, many people go back and modify a lot of these things. This can help to guarantee that an unreliable or dishonest ex-spouse has no claim to the testator’s assets.
2. You want to include a child or grandchild
After having a child, many individuals alter their estate arrangements. People frequently set up trusts for their kids and designate guardians for them in case of emergencies. Furthermore, grandparents may set aside assets for the future of their grandchildren — especially if their own adult children are thriving.
3. You’re setting up business succession plans
Many people launch companies that they want to pass down through the family. Once a testator has children, they might want to create a business succession plan. This ensures that their company is handled by a person they can rely on to make the proper choices.
You can update your estate plans whenever you wish. You may need to ask for assistance and find out your legal choices if you’re making future arrangements.