One of the most important things that an individual can do for themselves in life is to create a comprehensive estate plan. There is a common misconception that an individual does not need an estate plan until they are older, but this is simply not the case. It is a good idea to start the estate planning process early in one’s adult life to ensure that all wishes are accounted for. A person does not necessarily need to have a lot of assets in order to create an estate plan. This is because as they acquire more assets over time, the estate plan can be updated. It is very important to keep one’s estate plan updated over the years to ensure that one’s assets are protected.
When Should I Update My Will?
One of the components of an estate plan that needs to be regularly updated is a will. When an individual creates a will, they are designating who they want their belongings to be passed down to after they die. It is easy to think that it is only necessary to create one draft of a will and never make any changes, but this is simply not true. Each time a new asset is acquired or sold, the will should be updated. Another important time to update a will is when a relationship is formed or broken. For example, if an individual has a child, they may want to update their will to include them as a beneficiary. Another time in which a will should be updated is in the event of a divorce. Of course, an individual does not want their former spouse to continue being the major beneficiary of their assets. With any major change in a relationship, whether it is a positive or negative change, it is crucial to ensure the will reflects such relationships.
There are other components of an estate plan that need to be reconsidered over time as well. This can include charitable giving, trusts for beneficiaries, guardianship, and more.
If you have questions about creating or modifying any parts of an estate plan, contact our firm today.
Juan C. Velasco, Esq. is a trusted attorney who concentrates on bankruptcy, family law, real estate, and estate matters who has been serving the New Jersey area for over 25 years. If you are in need of experienced legal counsel, please contact Velasco Law Office and we will be happy to assist you.