You’ve drafted your will and set up your trust. You’ve signed all of your healthcare documents. You’ve dotted all your I’s and crossed all your T’s. Congratulations! You’ve taken the first step towards securing your future.
But, this is just the beginning of the ongoing estate planning process.
Life changes all the time, and your estate plan needs to keep up. Maybe you’ve welcomed a new member to the family, or had a falling out with an old friend. You’ll need to change your documents to reflect these changes. Below are a few important considerations you’ll want to keep in mind in order to keep your estate plan current.
Understanding the Estate Planning Process
The estate planning process starts with the three essentials: a durable power of attorney, which assigns an agent to handle legal and financial decisions on your behalf. An advanced healthcare directive, which assigns an agent to make health care decisions when you are unable, and outlines which life-saving actions should (or shouldn’t) be taken at the end of your life. In addition, a will, which describes how assets like bank accounts, real estate, and other possessions are to be distributed to your selected beneficiaries at your death.
Of course, these are just the basics. Many people choose to implement a trust-based estate plan, which performs all the functions of a will without the necessity of the court process that wills require. Revocable living trusts ease the administrative burden on family and loved ones and are better vehicles to protect assets in the event of your disability. Irrevocable living trusts can offer additional protections from creditors, predators, and the costs of long-term care. Estate planning also means reviewing and updating the ownership of assets to work with your plan—not to mention beneficiary designations on your retirement accounts, bank accounts, and insurance policies.
Your estate planning attorney will walk you through the estate planning process, explain your options, educate you to make informed decisions, and draft an airtight plan that will give you and your family peace of mind.
But the process doesn’t end there…
How and When to Update Your Estate Plan
Because life changes so often, you’ll need to periodically review your estate plan and make sure that it reflects your current wishes. Most experts recommend doing this annually. In addition to a regular review of your estate plan, you’ll need to be sure to change your documents whenever a major life event occurs, in order to reflect your new situation.
Here are a few life events that may necessitate estate plan changes:
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- A divorce or remarriage
- The birth or adoption of children or grandchildren
- A health emergency in the family that necessitates a loved one requiring special care
- The reaching of adulthood of one or more of your children
- A falling out with a friend or family member
- A changing financial situation
- Moving to another state
- Starting a new business
- A change in philosophy about how you want to leave your legacy
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Contact the Estate Planning Law Group of Georgia
Keeping up on your estate plan changes can be a dizzying task, which is why it’s important to work with an experienced professional. At the Estate Planning Law Group of Georgia, we have many years of experience helping people navigate their wills, trusts, and other essential documents. If you’re ready to update your estate plan—or to draft one in the first place—give us a call at (770) 822-2723 or fill out the form below and get started securing your legacy.
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