You might think of estate planning as a one-and-done task, but there are many reasons to update your estate plan. Major life events in particular could have a huge impact on how your estate plan is carried out, but not all events require a change. These are X of the most important life events that call for a review of your estate plan.
Getting Married
If you created an estate plan before marriage, it’s time to have a discussion with your spouse about your mutual financial goals. Your priorities can change after getting married, so review your old plan and be sure that your spouse is included in your new plan as you wish.
Getting Divorced
After divorce, you may want to review your beneficiary and power of attorney designations and make changes. Although Arkansas law dictates that a will naming a former spouse as a beneficiary becomes invalid after the divorce, you should still update your will to ensure its validity.
Becoming a Parent
Welcoming children into your life is a major milestone in many lives. You want to be sure that your family is included in your estate plan, and adding a new family member is a cause to update wills, trusts, and other important estate planning documents. In addition to the distribution of your assets, an estate plan can also ensure that minor children are cared for if you become incapacitated.
Moving to Another State or Country
For example, if you create an estate plan in a neighboring state and move to Arkansas, you might need to create a new will that meets that state’s requirements. Other estate planning documents should also be reviewed by an Arkansas-based estate planning attorney to ensure their validity. Similar rules can apply if you buy property in another state but remain in Arkansas; in that case, speak with attorneys in both states.
Death of a Beneficiary or POA
Sometimes, a person you’ve named as a beneficiary or power of attorney dies before you. In those cases, you should update beneficiaries or POAs so you can be sure that your own wishes are carried out.
Major Increase or Decrease in Assets
Receiving an inheritance, starting a business, or getting a significant promotion – all can have a huge impact on your finances and assets. Whether your wealth increases or decreases, any major changes call for an update to your estate plan.
Time
The passage of time is one of the most often-ignored events that make an estate plan update necessary. It’s easy to forget about the importance of estate planning when you’re recently married or getting used to a new job, so you can always rely on passing time to remind you that it’s time to look over your estate planning documents. Typically, you should review and update your estate plan every 3-5 years.
Get Professional Legal Assistance with Your Arkansas Estate Plan
No matter the reason for updating your estate plan, the skilled law team at L. Jennings Law is here to help. We specialize in estate plans of all sizes and can help you find a custom solution that honors your wishes and meets your financial goals. Contact L Jennings Law today to get started with a consultation.
