August is National Make-A-Will Month—a timely reminder to review your estate plan and make sure your wishes, documents, and decisions still reflect your life today.
An estate plan review is a good idea whenever your family, finances, or priorities change. But even if nothing major has changed, an outdated estate plan can create confusion or leave important decisions unaddressed.
While a Will is an important part of an estate plan, it is only one piece of the puzzle. Your estate plan may also include a Power of Attorney, Health Care Proxy, beneficiary designations, trusts, and other planning documents.
This August, take a few minutes to ask yourself: Does my estate plan still reflect what I want today?
Here are seven reasons why it may be time for an estate plan review.
1. Your Family Circumstances May Have Changed
Life does not stay the same—and your estate plan should not necessarily stay the same either.
Marriage, divorce, the birth or adoption of a child or grandchild, or the death of a loved one can all affect how you want your estate handled.
For example, the person you originally named as your executor, trustee, agent, or beneficiary may no longer be the person you would choose today.
During an estate plan review, take a look at the people you have named throughout your documents and ask whether they are still the right choices.
Ask yourself:
- Are my beneficiaries still correct?
- Is my executor still someone I trust to handle my estate?
- Would I still want the same person making financial decisions for me?
- Have my family relationships changed since my documents were prepared?
2. Your Will May Be Outdated
Having a Will does not necessarily mean you are finished with estate planning.
Your Will should reflect your current wishes and circumstances. If it was prepared many years ago, it may contain decisions that no longer make sense for your family.
You may also have acquired new assets, sold property, moved, or experienced other changes since your Will was created.
August’s National Make-A-Will Month is a good reminder to pull out your Will and actually read it.
Ask yourself:
If I were creating my Will today, would I make the same decisions?
If the answer is no—or even “I’m not sure”—it may be time for an estate plan review.
3. Your Beneficiary Designations May Not Match Your Will
One of the most commonly overlooked parts of an estate plan is the beneficiary designation.
Certain assets, including many retirement accounts and life insurance policies, may pass directly to the individuals named as beneficiaries. These designations may operate separately from the instructions in your Will.
That means you can have a carefully prepared Will and still have outdated beneficiary designations working against your overall plan.
For example, if you named a beneficiary years ago and your family circumstances have since changed, that designation may no longer reflect your wishes.
During your estate plan review, make sure you know:
- Who is listed as a beneficiary on your accounts
- Whether your primary beneficiaries are still correct
- Whether contingent beneficiaries are still appropriate
- Whether your beneficiary designations coordinate with the rest of your estate plan
4. You May Need to Revisit Your Power of Attorney
Estate planning is not only about what happens after death.
A Power of Attorney can allow someone you trust to handle financial and legal matters on your behalf if you are unable to do so yourself.
Your circumstances may have changed since you originally selected your agent. Perhaps the person you named has moved, become unavailable, or is no longer the person you would want handling your financial affairs.
An estate plan review is an opportunity to make sure your Power of Attorney still reflects your wishes and that the person you selected is someone you trust.
Planning for incapacity can be just as important as planning for the distribution of your assets.
5. Your Health Care Wishes May Have Changed
Your estate plan should also address decisions about your health care.
Documents such as a Health Care Proxy and other advance directives can help communicate your wishes and identify the person you want making health care decisions if you are unable to make them yourself.
Your views about medical treatment and end-of-life care may change over time. The person you originally selected to make health care decisions for you may also no longer be the right choice.
During an estate plan review, consider whether your health care documents still accurately reflect your wishes.
You should also make sure the people closest to you know where these documents can be found.
6. Your Financial Situation May Be Different
Your estate plan was created based on the circumstances you had at the time.
But your financial picture may look very different today.
Perhaps you have:
- Purchased or sold a home
- Acquired additional investments
- Started or sold a business
- Received an inheritance
- Opened new retirement accounts
- Acquired other significant assets
- Experienced a substantial change in your finances
Changes in your assets can affect how your estate plan should be structured.
For some individuals and families, a trust or other planning strategy may make sense depending on their goals and circumstances.
An estate plan review can help identify whether your current plan still works with what you own today.
7. Your Estate Plan Should Be Coordinated as a Whole
Perhaps the most important reason to review your estate plan is that your documents should work together.
Your Will, trusts, Powers of Attorney, Health Care Proxy, beneficiary designations, and asset ownership should not be viewed as completely separate pieces.
Instead, they should be considered as parts of one overall plan.
Having a Will does not automatically mean every asset will pass according to that Will. Likewise, having a Power of Attorney does not address what happens to your assets after death.
The goal of an estate plan review is to look at the bigger picture and determine whether your documents and decisions continue to work together to accomplish your goals.
When Should You Review Your Estate Plan?
There is no single schedule that works for everyone, but certain events should prompt you to take another look.
Consider an estate plan review after:
- Marriage or divorce
- The birth or adoption of a child or grandchild
- The death of a beneficiary, executor, trustee, or agent
- A significant change in your finances
- Buying or selling real estate
- Moving to another state
- Changes in family relationships
- Changes in your health or circumstances
- A change in your wishes
- A significant amount of time passing since your documents were prepared
Even when nothing major has changed, periodically reviewing your plan can help ensure it continues to reflect your wishes.
Make August Your Reminder to Review
National Make-A-Will Month is a useful reminder that estate planning is something we should not put off indefinitely.
But creating a Will is only the beginning.
Your estate plan should account for more than what happens to your property after you die. It can also help address who will make financial and health care decisions for you if you become unable to make them yourself and how your assets should be coordinated with your overall goals.
This August, take a few minutes to locate your estate planning documents and ask yourself:
Are these documents still accurate?
Are the people I named still the people I trust?
Do my beneficiary designations still match my wishes?
Has anything changed that could affect my plan?
If you are unsure, an estate plan review may be a good place to start.
At Monteleon Law, we help individuals and families understand their estate planning and elder law options and develop plans designed around their unique circumstances.
Contact us today to schedule a consultation and ensure your power of attorney documents protect what matters most.
For more information on estate planning and elder law, visit our Resources page to explore previous blog articles, newsletters, and our informative webinar series.
This article is intended for general informational purposes only and does not constitute legal advice. Estate planning and elder law considerations vary based on individual circumstances and applicable state law. If you have questions about your own estate plan, consult with a qualified attorney.
