Is it time to review your estate plan?

On Behalf of | Mar 3, 2021 | Estate Planning

After creating your estate plan, you may let it sit for a few years untouched. But you should not leave it as-is indefinitely. Your estate plan must accurately reflect your life at the time of your death. As such, it is important to keep it updated.

But how do you know when to review it? How often should you update it? Is it a constant concern, or do you only need to worry about occasional maintenance?

Review after life changes

Forbes discusses the importance of reviewing your estate plan. First, this timeline looks different for everyone. If your life does not undergo many changes, you will not need to update or review your plan as often. Experts often suggest that you review your plan any time you face major change in:

  • Your beneficiaries or the structure of your loved ones and family
  • Your finances and assets
  • Where you live

Examples include divorce, marriage, debt or inheritance. Moves are important to factor in too, because every area has its own laws on estate planning. You want to ensure your plan remains valid no matter where you go.

Concentrate on these areas of your estate plan

Barring these changes, experts suggest you review your plan once every 3 years. You do not have to review the entire thing. Some potential areas of concentration include your beneficiaries, health care proxy, trusts and will.

It is up to you to decide the best time for a review. Just know that you should not put it off indefinitely, or you risk complicating matters for your loved ones after your death. If you want more guidance, you could consider discussing the matter with a legal expert.