I am often asked "When do I need to amend or revise my estate planning documents?"
I recommend that if any of the following events occur, you should review the potential effect of such event on your estate planning documents, your plan of disposition, and your estate planning in general to determine whether your Will and Trust should be amended by a Codicil and/or Amendment or revised in its entirety. You should also consider how these event affect your Durable Power of Attorney for Finances and your Advanced Health Care Directive.
CHANGES IN FAMILY RELATIONSHIPS
1) Your marriage or remarriage;
2) Dissolution of your marriage (divorce) or annulment;
3) Birth of a child or grandchild;
4) Adoption of a child;
5) Adoption of a child by one of your children;
6) Marriage of a child or grandchild;
7) Dissolution of marriage (divorce) or annulment or marriage of a child or grandchild;
8) Serious or terminal illness of a spouse, child, or grandchild;
9) Disability of a spouse, child or grandchild;
10) Death of a spouse, child or grandchild;
11) Significant changes in your attitude toward a beneficiary or by a beneficiary toward you (the testator); and
12) Development of or detection of a beneficiary's financial irresponsibility;
CHANGES IN ECONOMIC CIRCUMSTANCES
1) Increase or decrease in your personal wealth; receipt or prospect of receipt of a substantial inheritance or gift;
2) Substantial increase or decrease in value of a significant asset;
3) Substantial increase or decrease in life insurance;
4) Major increase or decrease in income;
5) Significant change in business interests, such as a new partnership, new corporation, dissolution of partnership or corporation, etc.
6) Acquisition or sale of significant asset or substantial property;
7) Acquisition or sale of property in another state; and
8) Retirement from business or profession.
EXTERNAL CHANGES
1) Changes in law; (State and federal income, estate and gift taxes, inheritance taxes, property, trust or probate law.);
2) Change of residence to a different state;
3) Death of proposed/nominated executor, trustee, guardian or conservator; and
4) Estrangement from proposed/nominated executor, trustee, guardian or conservator.
MISCELLANEOUS
Any special circumstances relating to a spouse, child, or grandchild;
Any special needs such as education, health, support, business, etc.; and
Any event or circumstance unique to your situation.
For information on estate planning and elder law issues, please visit our website and sign up for our free monthly e-newsletter.